Asia-Pacific retained its spot as the global leader for HNWI population and wealth in 2016, despite a deceleration in pace, according to a report by Capgemini.

Capgemini’s 2017 Asia-Pacific Wealth Report (APWR) revealed HNWI population rising 7.4% and HNWI wealth rising 8.2% in 2016, compared to 9.4% and 9.9% in 2015.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

The deceleration was driven by slowdown in China and Japan, which accounted for 73% of the Asia-Pacific HNWI population and 68% of HNWI wealth in 2016. China grew 9.1% in 2016 compared with 16.2% a year ago, while Japan grew 6.3% compared with 10.9% last year.

However, the average Asia-Pacific (excluding Japan) wealth manager-held HNWI portfolio recorded a return of 33% in 2016, versus 24.6% for HNWIs in the rest of the world. Compared to the previous year, HNWI allocations to equities and cash rose 4.4 percentage points and 4.3 percentage points, respectively.

Offshore favoured

Asia-Pacific HNWIs were also found to have a larger inclination towards offshore investment, with Hong Kong and Singapore being the most preferred offshore destinations. The study found Asia-Pacific (excluding Japan) HNWIs holding 44.7% of assets outside their domestic market as against 41.8% of HNWIs in the rest of the globe.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Also, overall satisfaction among Asia Pacific HNWIs was found to be muted, driven by concerns regarding fee transparency and overall value offered by wealth managers.

Capgemini head of global banking and capital markets Anirban Bose said: “We project that Asia-Pacific will surpass US$40trn  in HNWI wealth by 2025 if Emerging Asia capitalises on its tremendous potential to grow at 12.9 percent annually – exceeding the 10.2 percent rate of 2016 – and if Mature Asia grows at 6.4 percent or higher, which it accomplished in 2016 at 6.9 percent.”