Recently, HSBC released a middle-class study in 2022. The middle class in Hong Kong is becoming more cautious about investing due to the impact of the COVID-19 pandemic.
Most people hoard cash. In addition, they aim to own real estate and invest in a foreign education for their children.
41% of middle-class Hong Kongers describe their outlook on wealth investing as cautious or very cautious. This is 11 percentage points higher than in the pre-COVID era.
According to a survey of 1,043 Hong Kong residents with liquid assets of $128,000 (HK$1 million), 60% say they hold more cash.
Many survey respondents see real estate investing as a means of preserving wealth. 40% plan to buy property in Hong Kong. 28% plan to buy property overseas in the next two to three years.
About a third of respondents plan to send their children to study abroad. Parents are estimated to spend about $195,000 (HK$1.53 million) per child to study abroad.
The UK is the top destination, with 40% choosing a British education. Following the UK are Canada (17%), and Australia and New Zealand (16%).
The Generation Y middle-class group is looking forward to early retirement. More than half of Gen Y wants to retire at 56.
61% of respondents would cut their expenses to achieve early retirement. 55% would take on part-time jobs or set up their own business to increase income.