Thailand
Cash holdings by Asia’s rich rise to 5-year high -survey
SINGAPORE: Rich Asians boosted their cash holdings to the highest level in five years as they sought to buffer their wealth against any downturn in buoyant financial markets, according to a survey by Capgemini SA.
High-net-worth individuals, or those with at least $1 million in investable assets, were also moving into cash to provide ammunition to re-enter the market at lower levels in the event of a correction, the Capgemini survey of wealthy people in the Asia-Pacific region excluding Japan said. Cash holdings rose to about 25% of financial assets in the second quarter, from 21% in the 2016 survey.
Despite the shift to cash, Asia’s rich remained heavily invested in equities, with the proportion also rising to a five-year high of 28%, the survey said. The rise in equities and cash holdings came at the expense of investments in alternative assets such as structured products, hedge funds and property.
The Asia-Pacific region, including Japan, saw slower growth in the number of millionaires and in total wealth in 2016, when compared with the previous year, Capgemini said. Total wealth rose 8.2% to $18.8 trillion, with Indonesia and Thailand recording the fastest expansion, compared with 9.9% growth the previous year.
Source: https://www.bangkokpost.com/business/world/1355564/cash-holdings-by-asias-rich-rise-to-5-year-high-survey