How do high net worth (HNW) investors in Asia expect the markets to perform in the near future? And what are their thoughts on current topics in the financial markets? The LGT Asia Investor Sentiment survey ascerts the investor sentiment as well as the views on the global economy, trade and other related topics of high net worth investors in Singapore and Hong Kong on a quarterly basis.
The first edition of LGT Asia's Investor Sentiment survey published in February showed that Hong Kong- and Singapore-based HNW investors are generally constructive in their outlook on equity markets, the global economy and China for 2019. The surprise finding is that despite this view, respondents are somewhat bearish on the CNY. This might suggest that investors think that a weaker Chinese yuan (CNY) could be part of the 'tool box' for the authorities in China to facilitate a soft landing. A further surprise is the high levels of cash in investor portfolios; this may suggest that while being generally positive on equities, investors want to have cash on hand to buy into market dips over the coming 3 to 6 months.
The LGT Asia Investor Sentiment survey was conducted for the first time between 15 and 24 February 2019, covering 154 HNW investors in both Singapore and Hong Kong, for a total of 308 respondents. The online questionnaire featured 60 percent male and 40 percent female respondents, with 54 percent being between the ages of 31 and 50. All respondents reported that they have liquid, investable assets of at least one million US dollar, with 43 percent holding two to five million US dollar. Eighty-six percent of respondents reported that they have (at least one) private banking account. During the survey period, the S&P 500 rose +0.61 percent, the Hang Seng Stock Index gained +3.27 percent and the Singapore stock market advanced by +1.43 percent (all in USD terms).