Press release

Laid-back and Money-oriented Men in Hong Kong Face Higher Risks of Loss, reveals Fidelity Men’s Wealth Management Study

Fidelity Worldwide Investment (Fidelity) today announced the launch of the Fidelity Men’s Wealth Management Study, which examines Hong Kong men’s current investment behaviour, and attitudes towards investment and retirement planning.

HONG KONG, 24 May 2012 – Fidelity Worldwide Investment (Fidelity) today announced the launch of the Fidelity Men’s Wealth Management Study, which examines Hong Kong men’s current investment behaviour, and attitudes towards investment and retirement planning. The study is the latest in Fidelity’s Investor Education Series and aims at analysing men’s self-perceived investment strategy and exploring areas of opportunity where Fidelity can help them to better plan their investments or control their finances. 530 males aged 25-54 were interviewed for the study in April 2012. Men earn more than women on the whole, while there is a big difference of earnings between married males and females. There are more men than women who earn more than HK$40,000 on a monthly basis. Thus, their investment attitudes and behaviour are comparatively influential.


Men in general bear higher investment risks

The study shows that men are more active accumulators of wealth, owning on average more investment products than women (3.9 vs. 2.5), and with a higher propensity to invest ($3,000 vs. $2,000 per month), aiming primarily for wealth accumulation, followed by retirement protection. Men also tend to grow wealth by reviewing investment portfolios more frequently and investing more actively compared to women, with 72% reviewing their portfolios at least once a month and over one-quarter reviewing them at least once a week. Additionally, around one-third (32%) of men perceive themselves as aggressive investors, who are ready to accept considerable volatility and even negative fluctuation in their investments.


‘Laid-back’ men are more impulsive investors and face higher risks of loss

Men’s investment behaviour and even investor performance divide into distinct bands according to their self-perceived personality types. ‘Workaholic’ and ’money-oriented’ men have the highest expectations on their investment returns, with more of this type going for very short-term investments. Prudent and conservative investors, meanwhile, are more likely to be ‘family men’.


The ‘laid-back’ type of personality, though, tends not only to be impulsive investors, but also have the highest chance to lose, with nearly 70% of them have lost in investment in the past two years. Their investment losses are substantially higher than for the other personality types – 16% of liquid assets vs. 3%-5% for the others. Men of this type of personality also review their investment portfolios less often than others, with 36% of them reviewing their retirement portfolios only once a year. They are also more reliant on online platforms when making investment decisions.


Negligence of retirement planning

Men show less concern over their retirement planning than women, with over half reviewing their retirement portfolios once a quarter or less often, while over half review their investment portfolios at least a few times a month or more. At the same time, men tend to own more aggressive investments in their retirement portfolios, with stock being the most popular investment product among them. This shows an inadequacy in their understanding of the role of Mandatory Provident Fund. In general, men consider it appropriate to begin investing at the average age of 24.5, but 30.8 for retirement planning. Ideally, one should begin both when one starts his working life.


Around 86% of men rely heavily on themselves to make investment decisions, but most of those who have lost money (71%) blame their losses on an unfavourable investment environment rather than their own decisions. In particular, impulsive and speculative investors are more exposed to losses in their investments. The amounts of their losses average 50% more than gains.


“Men in Hong Kong should be more aware of their own investment stance and the likely effects in terms of performance,” says KP Luk, Head of Institutional Business, Hong Kong, of Fidelity. “ ‘Laid-back’ and ‘money-oriented’ personality types in particular tend to expose themselves to potentially large investment losses, and could safeguard themselves more by prudent awareness of their own tendencies. Men should be more aware of their inclinations to make investment decisions themselves without reviewing their decisions when things go wrong, and they should consider seeking professional guidance and support to achieve optimal outcomes for themselves and their dependents.”


The final conclusions and recommendations are that men’s aggressive investment attitudes in themselves do not lead to poor investment performance, but need to be balanced with prudence and care in investment decisions, as well as professional advice. The negative consequences of wrong decisions can be severe, and men need to take responsibility and guard against these, adopting overall a less laid-back and more wealth-accumulating-oriented or prudent investment approach.


Fidelity’s Recommendations:

  • Retirement investment and personal investment are equally important. One should begin both when one starts his working life and consider the overall factors when planning.
  • Regularly review personal investment and retirement portfolios.
  • Investment requires planning. Impulsiveness often goes hand in hand with losses.
  • It is important to hold realistic expectations of investment returns.
  • One should invest according to the amount of his liquid asset.
  • Having self-confidence is good, but seeking professional advice for wealth management is as important.


- Ends -



About Fidelity Worldwide Investment

Fidelity Worldwide Investment is a global leader in asset management, providing investment products and services to individuals and institutions in the UK, continental Europe, the Middle East and Asia Pacific. Established in 1969, the company has over 5,000 staff in 24 countries and manages or administers client assets of US$262.6bn. It has over 7 million customer holdings and manages more than 740 equity, fixed income, property and asset allocation funds. The company’s fund managers receive research from one of the largest proprietary research teams, based in 12 countries around the world. Fidelity Worldwide Investment is an independent asset management company which is privately owned.


Data as at 30 Dec 2011



Rowena Kwok

Head of Corporate Communications, Hong Kong

Tel: +852 2629 2782