China News Service, Chongqing, December 13 (Liu Xinyu) On the 12th, the Hurun Research Institute and Sunshine Life released the "2021 China High Net Worth Group Wealth Risk Management White Paper" (hereinafter referred to as the "White Paper") in Chongqing. The product is favored by high-net-worth families, and 93% of high-net-worth people have invested in liquid financial assets including savings, currency funds, and short-term government bonds.
Hurun Report Chairman and Chief Research Officer Hurun introduced on the spot that the "White Paper" focused on exploring the current status and future needs of high-net-worth individuals in corporate and family wealth risk management, and interpreting their business operations, asset allocation, children’s education, and health care. The risk management measures and challenges implemented in the plan mainly include insights into current economic development and policy changes, business risk management and response for high-net-worth individuals, asset allocation risks and responses for high-net-worth individuals, children's education risks and responses, and health care risk management And response, portraits of Chinese high-net-worth individuals, etc.
The picture shows on the 12th, the Hurun Research Institute and Sunshine Life released the "2021 China High Net Worth Group Wealth Risk Management White Paper" in Chongqing.
Photo by Liu Xinyu
"We define Chinese families with assets of RMB 10 million and above as'high-net-worth families'." Hu Run's interpretation of the "White Paper" stated that this study targets high-net-worth families and covers multiple first-tier cities and new first-tier cities in China. Cities and second-tier cities will be stratified from September to November 2021 according to dimensions such as gender, age, region, and household net worth. Random sampling will be used to interview 599 high-ranking financial, trade, manufacturing, and technology industries. Representatives of net worth population conduct quantitative research.
Among them, 60% of the interviewees were entrepreneurs or start-up partners, major shareholders, males accounted for 63%, females accounted for 37%, and the average age was 43 years old. At the same time, 14 high-net-worth individuals from different industries and regions were interviewed. In an in-depth qualitative interview, there were "first generation" born in the 1970s, "successors" and "second generation" born in the 90s.
The "White Paper" pointed out that in addition to mobile wealth management products, 88% of high-net-worth households widely deployed safety products such as life insurance and commercial pension insurance, as well as high-return investment products such as stocks and gold; 70% of high-net-worth households deployed Critical illness insurance, accident insurance and other protection products; 45% of high-net-worth families have capital investment in special products such as jewelry, antiques, art, and wine.
From the perspective of the allocation of financial instruments, 34% of the investment funds of high-net-worth households are used for the allocation of liquid financial instruments, followed by the allocation of investment and security financial instruments, respectively, with 27% and 26%; protection-oriented financial instruments account for household investment 20% of funds, special financial instruments account for a relatively small proportion of household investment funds, only 16%.
Among the above-mentioned high-net-worth individuals, 41% of respondents believe that they are prudent investors who are willing to take certain risks for income, but will not try high-risk investments under the attraction of high returns; balanced type accounts for 29% and will consider them comprehensively Risks and returns, with moderate risk tolerance.
Qualitative research shows that high-net-worth individuals will not rush to invest funds in areas outside the scope of their knowledge.
The "White Paper" shows that high-net-worth individuals are concerned about long-term wealth development and changes.
In terms of personal and family wealth risks, 47% of high-net-worth individuals worry about “the growth rate of household assets is too slow”, 39% worry about “the lack of wealth inheritance planning”, and 36% think that “there is a lack of professional planning for wealth” at present. High-net-worth individuals generally have higher requirements for long-term wealth appreciation and preservation. "If you don't advance, you will retreat" is the lasting motivation for them to actively engage in wealth creation and wealth management.
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