SJP Money Relationship Monitor 2023 – The Wealth Journey

Welcome to the fourth edition of the Money Relationship Monitor 2023 for Hong Kong by St. James’s Place Asia (“SJP Asia”). In this report, we examine how moving along the wealth journey impacts Hongkongers’ investment and lifestyle decisions, as well as the value they place on astute financial advice as a means to help them realise and secure their wealth aspirations.

In previous years, our study has looked at Hongkongers’ money management practices in the context of the COVID-19 pandemic, inflation, and market volatility. This year, as investors face higher interest rates, continued cost of living pressures, and an uncertain geopolitical environment, we look at how financial planning, investment priorities, and lifestyle decisions are
influenced by respondents’ wealth levels.

The insights shed light on the varying financial priorities and challenges faced by individuals across five different stages of wealth, who are generally in a position to save and invest their income.

Firstly, the financially stable group who have sufficient income to save after covering their monthly expenses. Financial security takes it a step further where they not only save but also have the capacity to invest if they choose to after paying their monthly expenses. The financially flexible have enough assets or investments to sustain their living expenses for up to a year if the need arises. Financial freedom goes even beyond this, signifying more than adequate investments or assets to generate enough passive income to support lifestyles on an ongoing basis. Finally, financial abundance represents the highest level of financial well-being, indicating not only stability and freedom but also a surplus of income beyond what is required for a comfortable life.

By examining each wealth level in turn, we have been able to paint a clear picture of the financial needs, challenges and opportunities for Hongkongers throughout their wealth journeys.

"Financial advice remains a priority for most when it comes to managing one’s wealth, especially as one continues to advance the wealth ladder. Even as AI and assisted research rise in popularity and show potential to simplify the financial advice process, there is still no replacement for personal and tailored financial advice that is the result of a trusting relationship with a professional financial adviser, who is adequately equipped to understand one’s unique financial situation and can help with mapping and achieving financial goals."

Oliver Wickham,
Asia Partnership Director

Key findings

About the Research

The Money Relationship Monitor 2023 is an independent research study commissioned by St. James’s Place Asia (“SJP Asia”) in collaboration with Sandpiper to understand the priorities and perceptions of investors in Hong Kong. For the report, we surveyed 1,000 people in Hong Kong through interviews conducted online in February and March 2023.

Information and/or opinions presented in our research are provided for research informational purposes only. It should not be relied upon as financial advice, and it does not constitute a recommendation, an offer or solicitation. No responsibility can be accepted for any loss arising from action taken or refrained from based on this publication. All information presented herein is considered to be accurate at the time of production, but no warranty of accuracy is given, and no liability in respect of any error or omission is accepted.

Please note that the value of an investment with St. James’s Place will be directly linked to the performance of the funds selected and may fall as well as rise. You may get back less than you invested.