Market volatility, family feuds fuel Hong Kong’s wealth transfer anxiety: Sun Life survey
In Hong Kong, there were 198 ongoing lawsuits over deceased estates as of the end of September, the second largest category among cases
Nearly half of Hong Kong residents are concerned that their wealth will not last beyond their children, citing market volatility and inheritance disputes, according to a survey by Canadian insurer Sun Life.
The survey covered 500 respondents from Hong Kong, including some from mainland China. They were among over 3,000 people aged 18 and above from Asia who were polled in October on the topic of legacy planning.
Sun Life found that 44 per cent of Hong Kong residents expressed fear over their wealth transfer, and only 14 per cent believed their children would stick to their wishes regarding their legacy.
In addition, 54 per cent said they worried about potential conflicts over their assets, while the same figure among high net worth individuals with investible assets of more than US$1 million was 64 per cent.
“The current financial market is not stable, where [it is easy for] the heirs to lose money,” said Christine Yeung, deputy CEO of life and health at Sun Life Hong Kong.
Yeung said such concerns led to rising demand for trust-like insurance products, which enabled the affluent to allocate their assets based on the age of the heir.