Bermuda

Wealth of HNWI in Singapore showing healthy growth


By added on 16/11/2010

The wealth of HNWIs in Singapore is growing at 35.6 per cent, whereas wealth of HNWIs is growing at 17.1 per cent globally and 25.8 per cent in APAC, a report released this week has shown.

The 'HNWI in Singapore Wealth Management Industry – Trends, Analysis and Forecast (2010-2015)' analyzes the needs and behaviour of HNWIs in Singapore and provides a detailed analysis of factors driving the wealth of HNWIs and challenges faced by the wealth management firms in Singapore.

The population of HNWIs is growing at 35.6 per cent in Singapore, whereas it is growing at 18.9 per cent globally and at 30 per cent in APAC.

The growing wealth and population of HNWIs in Singapore provides a huge opportunity for wealth management companies to increase their revenues and customer base.

HNWIs in Singapore are demanding frequent personal interactions with their wealth managers. They want their managers to possess better product knowledge, be open to new ideas, and personally interact with them on a regular basis. They want them to understand their needs and the risk associated with a particular investment product. One of the major reasons why HNWIs change their wealth managers is their failure to understand the needs of clients.

The key findings of the report include:

  • HNWIs are giving more importance to personal interactions.
  • Equities to be the preferred asset class
  • Past performance and transparency in operations are the major criteria for selecting wealth managers.
  • HNWIs are more dependant on their financial advisors for making decisions about investment.
  • Wealth management firms adopting better customer relationship management solution and gaining expertise in third party and in-house products will lead the race.