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Wealth in Singapore: Sizing the Market Opportunity - Industry will experience the highest growth

05-03-2017 03:28 PM CET | Industry, Real Estate & Construction

Press release from: Wealth in Singapore

ResearchMoz added Latest Research Report titled " Wealth in Singapore: Sizing the Market Opportunity " to it's Large Report database.

Singapore is one of the world’s pre-eminent offshore investment centers, with 81% of the wealth invested in funds sourced from non-residents. However, the onshore market is a major source of assets under management (AUM) in its own right, with 1.0 million affluent individuals despite the city state’s small population. As a regional trading hub Singapore’s growth rates are closely tied to the health of regional powerhouses such as China, India, and Indonesia; however, even with growth slowing in some of these economies, Singapore’s Wealth Market will continue to post rates that are the envy of the developed world.

Key Findings

HNW individuals totaled 29,600 in 2015, a tiny proportion of the overall population and well below the levels seen in the US or Switzerland.
HNW liquid assets are expected to grow by roughly 7.5% a year between 2015 and 2019.
Bonds will be the fastest-growing asset class, but more due to greater availability than client demand.
While Singapore attracts significant offshore investment, residents are also keen to invest abroad – 34% of AUM is invested offshore

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Synopsis

Verdict Financial’s “Wealth in Singapore: Sizing the Market Opportunity” analyzes the Singaporean wealth and retail savings and investments markets, with a focus on the HNW segment. The report is based on our proprietary datasets.

Specifically the report:

Sizes the affluent market (both by the number of individuals and the value of their liquid assets) using our proprietary datasets.
Analyzes which asset classes are favored by Singaporean retail investors and how their preferences impact the growth of the total savings and investments market.
Examines HNW clients’ attitudes towards non-liquid investments, such as hedge funds, property and commodities.
Identifies key drivers and booking centers for offshore investments by Singaporean HNW clients.

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Table of Contents

EXECUTIVE SUMMARY
Singapore's small domestic wealth market is as attractive as its large offshore sector
Key findings
Critical success factors

SIZING AND FORECASTING THE SINGAPOREAN WEALTH MARKET
While primarily a major offshore center, Singapore also has a substantial onshore element
Offshore investors do not book in Singapore to keep their funds in deposits
In contrast, managed funds are dominated by offshore AUM
Favorable domestic conditions will drive further expansion in onshore wealth
A sizable proportion of Singapore's population will move into the affluent market in the coming years
The bulk of Singapore's onshore wealth is concentrated in the hands of the affluent
HNW portfolios above $10m in AUM will experience the highest growth

DRIVERS OF GROWTH IN THE SINGAPOREAN WEALTH MARKET
Total retail investments growth moderated in 2015 but should bounce back
Growth in retail savings and investments will rise and steady in the coming years
Onshore wealth is still largely a deposit game - a stabilizing factor for future savings and investments growth
Wealth invested directly in the equity and bond markets has risen, but deposits will have an enduring allure
Deposits have been a drag on wealth growth, and this is set to continue
Singaporeans tend to favor deposits, with little change forecast
GDP growth is moderating once again and inflation is negative

About ResearchMoz

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