7 out of 10 rich people say “Let’s wait and see”… If you invest, 2nd place is deposit, 1st place is

It turns out that South Korea’s rich plan to maintain their asset portfolio and watch the market this year. This is because they view the economic outlook for this year as negative and believe that it is difficult to expect positive investment results. Real estate was most often cited as an asset with a high intention to make additional investments, but there was also great interest in deposits, a representative safe asset.

Hana Bank’s Hana Financial Management Research Institute published the ‘2024 Korea Wealth Report’ report containing these contents on the 25th.

According to the report, 7 out of 10 rich people (those with more than 1 billion won in financial assets) responded that they would keep their asset portfolio the same. Compared to 5 out of 10 in the previous year’s survey, the number of rich people taking a ‘wait-and-see approach’ has increased. Continuing from last year, there were many rich people who predicted that the real and real estate economy would not be good this year as well.

The number one asset with the highest intention to make additional investments this year was real estate, but the response rate decreased from 32% last year to 24% this year. Continuing from last year, preference for deposits (22%) remained high, followed by intention to invest in stocks (16%) and bonds (9%). The number of respondents saying they have no plans to make additional investments was 16%, a significant increase from last year (5%), which was analyzed as the result of the wealthy deciding that it would be difficult to expect good investment news due to the unfavorable economic situation this year.

Hana Bank PBs selected bonds and split-purchase exchange-traded funds (ETFs) as products to watch out for this year. Bonds were seen as a good time to invest in that you can enjoy interest income and capital gains when interest rates are lowered this year. He advised that short- and long-term bonds should be managed appropriately considering volatility. In addition, it was suggested that although interest rate cuts have a positive impact on the stock market, split purchase ETFs are effective to prepare for volatility. In order to manage risk from a long-term perspective, he advised that a strategy of diversifying investments in safe assets such as foreign currency deposits and foreign currency insurance should also be established.