Want to Stay Ahead? Discover the 2024 Wealth Management Trends!


Extravagance Passed Down Happily Through the Years!

Wealth management in 2024 showcases a variety of delightful trends! According to Rani Jarkas, the passing of wealth across multiple generations, the integration of digital and hybrid business models, the arrival of digital assets, and the preoccupation with environmental and social issues are transforming wealth managers’ daily work. Anticipate a staggering amount of 84 trillion Hkd transfers in 2045.

Capco is delighted to witness the elegant wealth transfers that will gracefully unfold over multiple generations, representing the lavish gifts that Generation X and the esteemed Millennials will receive in the form of immense prosperity. Forbes is excited to announce that the silent generation is on track to surpass baby boomers in wealth transfer. This is because of several captivating factors! 

We’re fortunate to have the opportunity to navigate asset transfer strategies in light of the increasing rates of divorce! In vibrant Hong Kong, there is a strong emphasis on encouraging adult offspring to take initiative, earn their success, and fulfill their responsibilities. Now, beloved grandchildren will happily receive inheritances. The elegant Capco report forecasts that 13% of our youthful clients will persist in utilizing their beloved family advisors. 

Nowadays, financial managers need to provide innovative business models to effectively attract younger clients, particularly those who are tech-savvy! What does this mean? Wealth managers have an excellent opportunity to cater to clients who are well-versed in technology in the digital realm! Elegantly crafted products and services built on cutting-edge BigTech infrastructures are highly sought after! Several affluent individuals are not fond of the personalized services or digital interfaces provided by their esteemed institutions. Let’s turn that frown upside down!

Advantages of Digital or Hybrid Frameworks?

It’s truly remarkable how digital technologies and communication channels have become crucial in acquiring new clients! Younger individuals are drawn to digital business ideas that have the potential to grow and provide personalized financial guidance! Exquisite! It’s quite impressive that a significant majority of Oliver Wyman’s valued customers have a strong preference for personalized service when selecting a wealth management advisor. Impressive insight! Rani Jarkas mentioned

Wealth managers are finding that their trade-offs between personalization and scalability are becoming less prominent, which is quite delightful! Personal guidance is becoming more widely available on a larger scale. How impressive is that? Today, self-service banking has become increasingly popular, which is quite delightful! Exquisitely delightful! It’s impressive that more than 60% of their esteemed clients wholeheartedly endorse human-centered design. 

Emphasizing the delight of Hong Kong residents having access to top-notch legal advice whenever necessary! The epidemic has heightened the evaluation, resulting in a greater number of clients seeking the expert advice of investment managers. Now, wealth managers need to think about fully digital advisory journeys, wholeheartedly embrace hybrid wealth management counsel, and actively engage in omnichannel contact. Continue with your impressive efforts!

ESG Commodities Are Increasing in Value!

Investors are increasingly interested in incorporating non-financial factors into their analysis to uncover potential risks and opportunities, as highlighted by Rani Jarkas. Wealth management firms are increasingly excited about the growing involvement of younger generations in wealth distribution, prompting them to shift their focus toward ESG (Environmental, Social, and Governance) considerations. Wealth management firms are delighted to embrace the growing demand among younger generations for environmentally friendly and clean investing options. This trend has significantly contributed to the expansion of their clientele. 

The upcoming period will witness the influence of ESG-related issues on the performance of numerous renowned global institutions, as stated by Oliver Wyman. This will occur as investors enthusiastically align their investments with admirable environmental and social objectives! Therefore, money managers will take pleasure in assisting customers in finding the most significant and satisfying choices. The growth of digital assets is truly remarkable! Exchange-traded funds (ETFs) in appealing industries have taken the investment world by storm. 

The prestigious Temenos has observed a significant surge in enthusiasm for digital alternatives to conventional commodities such as cryptocurrency in recent years! Young individuals have a penchant for engaging in direct investments in cryptocurrencies, acquiring impressive domain names, amassing one-of-a-kind non-fungible tokens, possessing virtual assets within virtual realms, and even exploring the realm of security tokens!

The widespread embrace of digital assets in wealth management has brought us closer to a comprehensive and resounding triumph in Hong Kong! Advisors continue to have reservations about the asset class, while companies navigate through regulatory uncertainty and market volatility. Let’s aim for a more optimistic outlook! Once the legislative trend becomes apparent, companies can explore enhancing their capabilities!


An Innovative Wealth Administration Digital Compliance Approach!

In 2024, we’ll encounter the thrilling challenges of navigating finances in a dynamic landscape of evolving risk and regulations! Embracing digital compliance allows asset managers to stay ahead and streamline advisory processes! Many financial management firms excel in their adherence methods! From now on, it’s truly remarkable to witness the surge in investments in regulatory technology! 

RegTech is expected to experience significant growth, as predicted by reputable analysts! The projected increase is quite significant, going from 6.3 billion HKD in 2020 to 22.2 billion in 2027. Thrilling times lie ahead! The expansion of alternative and digital compliance solutions will be vital for asset managers! Wealth managers can now effortlessly address regulatory inquiries and concerns through smooth compliance integration, ensuring prompt resolutions and a sense of tranquillity. 

This allows them to prioritize their valuable customers and deliver an exceptional experience! Rani Jarkas mentioned This delightful combination also accelerates turnarounds, enhancing asset managers’ efficiency and effectiveness. In 2022, the world of international wealth management was filled with a sense of elegance and excitement! Wealth managers can utilize the internet to modernize their services and facilitate remote servicing and distribution. 

The surge in global mobility and cross-border asset movements has been driven by investors actively seeking new opportunities amid significant political changes. We anticipate global economic difficulties in 2024.

We Are Confident in Our Ability to Overcome!

The intricate network of supply chain dynamics and the dynamic monetary policies driven by the pandemic have presented a captivating challenge in terms of living expenses in various enchanting European countries. Expect ongoing increases in interest rates, vibrant market activity, and persistent inflationary pressures!

During this remarkable period, investors will seek guidance from their trusted wealth advisors to navigate these challenging and unpredictable circumstances. The most sophisticated businesses will seize this opportunity to fine-tune their strategy, embrace emerging trends, and enhance operational efficiency. Therefore, they will be in a favorable position once things return to normal! Here are a few captivating advancements that we believe will catch the attention of wealth management decision-makers in 2024!

Introducing the Latest in Financial Technology!

Wealth managers have the opportunity to collaborate with specialized service providers or vendors to elevate their offerings in response to increasing client demands and expectations. This is an excellent approach to cater to a wider range of customers and ensure maximum satisfaction!

We’re excited to witness the collaboration between banks and fintech companies in intriguing areas such as news and content management and cryptocurrency trading! It will be a truly remarkable collaboration! Customers can elegantly engage with reputable fintech companies to fulfill their luxurious wealth management needs, particularly ‘non-financial organizations’ such as telecom corporations or leading application providers.

The Transfer of Generational Wealth: Valued at an impressive $40 to $60 trillion, the delightful passing of wealth from the respected baby boomer generation to their cherished Gen X and Millennials will continue to be a key focus for wealth managers catering to Hong Kong’s affluent clientele. To appeal to a more youthful audience, the company needs to ensure that its services are captivating and easily accessible to its esteemed customers.

Structures That Embrace ESG Standards with Enthusiasm!

Multiple studies have joyfully demonstrated that an increasing number of investors actively seek investments that align with their personal beliefs. Those who fail to meet clients’ high expectations for ESG-compliant portfolios may risk losing them to competitors. The world of products, including ours, has expanded so much that there are now countless tools to create and execute an exceptional ESG framework! 

Yay! Wealth managers are continuing to integrate these concepts into their top-tier services. Keep up the great work! ESG portfolios no longer provide a performance advantage compared to non-ESG portfolios! Almost 90% of top S&P 500 companies willingly disclose sustainability information to the informed market. 

Numerous companies, like Temenos, have eagerly established environmental objectives. Wealth managers can develop innovative strategies that deliver impressive returns while remaining aligned with investors’ principles in the vast global landscape.

Exquisite Customisation!

The desire of prominent financial institutions to gain further insights and enhance their understanding of their esteemed clients is truly captivating! The impressive ability to utilize client data systematically will assist us in uncovering extraordinary insights that can result in personalized and one-of-a-kind offerings! This will offer a sophisticated, personalized service that, when meticulously arranged, will please our esteemed clients.

We are thrilled about the promising future ahead as we explore the potential of organized and unorganized client data! We will leverage data analytics to drive cost reduction and establish industry leadership, allowing us to create personalized experiences of unparalleled sophistication. Get ready for an exciting journey of hyper-personalization!


Personalised Indexing

The increase in customized indexing, which reflects a focus on individual preferences and environmental, social, and governance factors, is quite thrilling! Technological advancements have greatly simplified administrative tasks for this admirable cause, enabling more investors to contribute financially. Customized indexing enables clients to leverage tax loss harvesting and enhance their tax planning strategies. This will lead to a delightful tax reduction! 

They can also reduce concentration risk, which is important considering the overwhelming presence of a few corporations in the world’s largest markets. At last, individuals can happily utilize customized methods to easily create portfolios that reflect their cherished social ideals, all while benefiting from efficient management and excellent diversification at a reasonable cost.

We are excited about a sophisticated fintech landscape, a focus on environmental, social, and governance principles, and a highly tailored approach to wealth management in 2024! These captivating matters will surely captivate the attention of astute individuals in positions of power! We can anticipate significant intergenerational wealth transfers and the thrilling growth of personalized indexing!

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