Bringing you live news and features since 2006 

Asian retail investors eschew financial advice


The majority of Asian retail investors are self-directed, or do-it-yourself (DIY) investors, not relying on financial advisors to make their investment decisions. 

One in three respondents to Cerulli Associates' proprietary survey of 4,000 retail investors across wealth tiers in China, Hong Kong, Taiwan, and Singapore indicated that they do not have a financial advisor, with nearly 40% of mass retail investors indicating they have no access to financial advice. 

This is one of the key findings of Cerulli's inaugural report on Asian retail investors titled Asian Investor Segmentation: Unlocking Retail Investors' Secrets. 

While there is limited access to financial advice in the mass retail segment, almost three in 10 investors across all wealth tiers are served by an advisor but do not use them, preferring to make their own investment decisions. 

"This indicates that two in three retail investors do not seek financial advice for investment-related decisions," says Cerulli senior analyst Shu Mei Chua, who led the report. 

The remaining Asian investors are largely collaborators. About 30% have a consultative relationship with their financial advisor, but make most of their final decisions on their own. "Only 4% of Asian investors are fully reliant on their financial advisors to make their investment decisions," Chua adds. 

The under-reliance on financial advice shapes the way Asian investors obtain their investment information. "Our survey showed that financial websites are the main source of information for DIY investors. They also like to gather investment information by reading the papers," says Yoon Ng, Asia research director with Cerulli

Latest News

Morningstar has published a review of the European ETF market for the first quarter 2024, which finds that it gathered..
ETF data consultant ETFGI reports that assets invested in the global ETF industry reached a new record of USD12.71 trillion..
Calastone has published an ETF white paper which examines several of the processes that take place across the lifecycle of..
Adapting product lines to fit into changing methodologies and meet shifting demand is essential to remaining relevant in the industry..

Related Articles

Kristen Mierzwa, FTSE Russell
Index Investments Group (IIG), a division within index provider FTSE Russell, has extended its range of indices through two new...
US ETF issuers of active ETFs are facing an increase in fees from the big custodian firms, such as Charles...
Taylor Krystkowiak, Themes ETFs
Themes ETFs opened its doors in December 2023, with an introductory suite of 11 ETFs – seven thematic and four...
Konrad Sippel, Solactive
At the end of March, financial index specialist, Solactive, published its 2024 annual report on future trends.  ...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by