SC Group Publishes 'Expectations Asset Report'... "66% of Korean Asset Owners Revise Life Goals"

Survey of 15,649 Wealthy Individuals Worldwide
One-Third of Korean Wealthy Show Weakened Investment Confidence
Top Reason: 'Financial Market Volatility'

Cover of SC Group Expected Assets Report. Photo by SC Group

[Asia Economy Reporter Song Seung-seop] More than half of Korean asset owner groups have reset their life goals after COVID-19. Additionally, one-third showed a passive attitude due to weakened investment confidence caused by COVID-19.

According to the "Expected Asset Report" published by SC Group on the 22nd, Korean asset owner groups tend to reset their life priorities in a more future-oriented way. Among the respondents who reset their life goals, 66% in total, 46% chose "health improvement." 39% set a more comfortable retirement as their top priority.

This survey was conducted online from June to July across 12 markets worldwide, including Asia, Africa, and Europe. The subjects were 15,649 asset owners classified as emerging affluent, affluent, and ultra-affluent. In Korea, 1,082 people participated in the survey.

Although asset growth through proactive investment rather than cash savings is necessary for new goals, Korean asset owners’ investment confidence has rather weakened. The report diagnosed that Korean asset owners have a strong risk-averse tendency and may not be able to utilize digital tools that simplify investment or asset management. Factors affecting investment confidence included financial market volatility (40%), insufficient income (33%), and low interest rates (28%).

The confidence decline was particularly prominent among the emerging affluent. 47% of the emerging affluent responded that they lost investment confidence, nearly twice as many as the ultra-affluent (27%). The report interpreted this as meaning that support measures are needed to help the emerging affluent, who are still building assets, recover their investment confidence.

Also, 31% of the asset owner group answered that they plan to retire before age 65. Nevertheless, 38% of respondents revealed that they are currently not saving or investing for retirement. Among those preparing for retirement, the main expected income sources after retirement were "deposit products (40%)" and "government pensions (38%)." As a result, an analysis suggests that a gap may arise between the current actions (retirement preparation) and future expectations (life goals) of the asset owner group.

Colin Chiang, Head of Wealth Management Division at SC First Bank (Executive Director), emphasized, “Cash savings alone are insufficient for longer lifespans and achieving new life priority goals, so long-term investment is essential for asset owner groups,” adding, “To achieve new goals, it is necessary to build a diversified investment portfolio and immediately implement the necessary measures.”

This content was produced with the assistance of AI translation services.