While the sample is not specific to wealth management, the views displayed may be indicative of attitudes that wealth advisors should take note of and tackle.

Hong Kong pre-retirees and retirees fall short on financial planning for later life, with more than half having financial plans that span less than a year, while fewer than 10 per cent have long-term financial plans for the next 10 years, a survey finds.

The data comes from the Sun Life Asia Financial Resilience Index, from Sun Life, which draws views from more than 6,000 respondents across Hong Kong, the Philippines, Indonesia, Malaysia, Singapore, and Vietnam. The study aims to explore respondents’ financial planning habits, levels of awareness, and risk preferences. While the sample is not specific to wealth management, the responses may be indicative of attitudes that wealth advisors should take note of.

In parallel, Sun Life has launched its new RetireFree Immediate Annuity Insurance (RetireFree), which delivers annuity income.

Among Hong Kong respondents, the survey found that more than half (54 per cent) lack a financial plan that extends beyond one year, while only 9 per cent are planning more than 10 years ahead. Over the next 12 months, managing daily expenses (60 per cent) stands out as the top financial priority compared with saving for retirement (32 per cent), which ranked only fourth, reflecting a lack of awareness among most respondents about the importance of retirement planning. 

Some 55 per cent of respondents identified themselves as conservative investors; 91 per cent of the respondents said they are feeling the effects of persistent price increases, with close to half (45 per cent) noting its significant impact on their ability to cover monthly expenses.

Sun Life noted that Hong Kong Census and Statistics Department data shows that Hongkongers’ life expectancy is increasing – as of 2023, the average life expectancy for men and women was 83 and 88, respectively. Despite this, the Sun Life Asia Financial Resilience Index highlights gaps in long-term financial planning among Gen X (respondents aged 43 to 58) and Baby Boomers (respondents aged 59 or above).