Do Well, Invest Well

Asia’s digitally connected next generation of high-net-worth individuals are spearheading a new era of wealth management philosophies, underpinned by social and impact investment awareness

- Chris Davis

As Asia’s next generation of high-net-worth individuals (HNWIs) take over management of their own financial legacies, they do so with a strong sense of responsibility, according to Jan Boes, head of the client strategy office for UBS Global Wealth Management’s Global Family Office APAC. “They are aware of the hard work previous generations put into creating wealth, and they want to be responsible stewards,” he says.

While many of Asia’s younger HNWIs aspire to use their wealth to effect positive change, they share a number of fundamental beliefs and aspirations with the previous generation. They are aware of the need to sustain the wealth through the generations and those with children also want to set a good example. “Wealth, to this younger generation, is often viewed as a means to an end, but not an end in itself,” says Boes, who says next-gen HNWIs place value on purpose and belief. The focus on socially responsible investment strategies, he adds, often drives the dynamics of the relationships between clients and their wealth advisors and private banks.

BROADENING INVESTMENT INTERESTS

When it comes to putting their wealth to work, Boes says investment preferences among next-gen HNWIs tend to be more diverse than among the previous generation. “In order to reduce complexity, they would opt to work with a few key trusted financial partners,” he says.