Traditional and alternative investments
Although Hongkongers acknowledge the potential risk involved with alternative investments, they recognise that these asset types can offer real capital growth opportunities whilst helping to diversify risk.
We surveyed 1,000 non-retired Hongkongers to find more about retirement planning – their expectations, attitudes and challenges faced.
Key findings from this research
- Hong Kong-denominated savings or timed deposits, stocks, and mutual funds are the top three financial instruments that Hongkongers include in their retirement plans.
- 91% of Hongkongers surveyed are aware of at least one type of alternative investment. Awareness is significantly higher among those who are financially literate and have plans for retirement.
Alternative investments comprise a diverse range of asset classes which are not the traditional stocks, bonds or cash, such as real estate, digital assets, insurance-linked securities, private equity and securitised credit.
- 53% own at least one type of alternative investment product in their investment portfolios.
- 59% are interested in adding alternative investments into their pensions funds.
Ownership of and interest in alternative assets
Alternative investment types that Hongkongers are most interested in, if managed by a fund manager:
Hedge funds
77% interested
Insurance-linked securities
54% interested
Private equity
52% interested
“There is interest among Hongkongers to include alternative investments in their pensions schemes. They are a means to optimise risk whilst achieving their retirement goals.”
Roger Lau
Head of Pensions and Retirement, Hong Kong