2022 Insights into High Net Worth Asset Allocation Trends – ResearchAndMarkets.com

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DUBLIN–(BUSINESS WIRE)–The “High Net Worth (HNW) Asset Allocation Trends 2022” report has been added to from ResearchAndMarkets.com offer.

This report analyzes HNW asset allocation strategies in 19 key markets, with a particular focus on the drivers of investment choices now and over the next 12 months. The report is based on the findings of the publisher’s annual survey of World Heritage Managers.

Uncertainty is a key investing theme in 2022 as we enter a new economic cycle. Monetary tightening aimed at curbing inflationary pressures in a context of slowing economic growth and rising geopolitical concerns caused significant market volatility, mainly on the downside.

Investors can no longer rely on the availability of cheap money to support asset price growth; they are therefore eager to explore new parts of the financial markets to seek returns that are increasingly difficult to obtain. In the coming year, the alternatives will be the clear winners, but wealth managers will also have to contend with higher cash and near-cash allocations as investors wait for opportunities to arise.

Scope

  • 67% of wealth managers expect demand for HNW alternatives to increase over the next few years as investors seek uncorrelated returns, while only 7% expect a decline.

  • Demand in the equity sector is shifting towards defensive stocks, with investors abandoning growth stocks due to rising inflationary concerns.

  • While HNW bond allocations have declined significantly, there has been an internal reshuffling within the average HNW fixed income portfolio. This has benefited high yield bonds, which now constitute 3.8% of HNW bond holdings.

Reasons to buy

  • Learn how inflationary concerns and resulting market upheavals are affecting investor behavior in the HNW space.

  • Learn about investment trends as we enter a new economic cycle and adjust your service proposition based on a detailed understanding of affluent investors’ investment preferences.

  • Identify the best way to promote investment products by learning what drives investment choices.

  • Find out how and why investment preferences will change over the next 12 months.

  • Give your marketing strategies the edge needed to attract new customers by using insights from our HNW investment driver data.

Main topics covered:

1. Summary

1.1 Market Overview

1.2 Main results

1.3 Critical success factors

2. Overview

2.1 Risk assets were the big winners in 2021, attracting strong HNW inflows

3. Detailed Asset Allocation Preferences

3.1 Demand is growing for safe-haven currencies

3.2 Market volatility drives demand for fund products

3.3 Greater accessibility drives demand for direct alternatives

3.4 ESG infiltrates all components of wealth management

3.5 Credit risk paid off, but higher allocations pose risk

4. HNW Investment Drivers and Forecasts

4.1 Uncertainty is the main issue to be addressed in 2022 investment strategies

4.2 The alternatives will clearly win as investors seek uncorrelated returns

4.3 Provision of cash management tools is essential as liquidity issues drive demand for cash and near-cash products

4.4 Inflation is a key investment theme in 2022

4.5 Sharp price increases in the commodity sector attract investors

4.6 A more liquid real estate portfolio will make it easier for investors to exit real estate

5. Appendix

5.1 Additional data

5.2 Abbreviations and acronyms

5.3 Definitions

5.4 Methodology

5.5 Secondary sources

5.6 Further reading

Companies cited

For more information on this report, visit https://www.researchandmarkets.com/r/gfn4yb

Source: Global Data

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