SINGAPORE (July 13): As the COVID-19 pandemic takes its toll on lives, jobs, and economies, investors worldwide have concluded that life will never be the same again.
An Investor’s Watch survey by UBS revealed three quarters of investors anticipate permanent lifestyle shifts, with two thirds saying the pandemic has altered how they think about their finances.
The survey was conducted with over 3,750 wealthy investors across 15 countries.
Overall, the survey also revealed seven in 10 will reduce travel and trips to the office going forward, while half of those surveyed intend to move closer to family.
Of those who said the pandemic has affected how they think about their money, 56% worry about not having enough saved if there is another pandemic, while 58% worry about working longer to make up for retirement losses.
Investors are also thinking of their loved ones as well, with three out of five worrying about being a financial burden to their family if they get sick, and 54% wondering if they can leave enough money for the next generation as a result of this pandemic.
In Singapore, seven in 10 investors plan to travel less, while 64% plan to move closer to family. 90% of Singapore investors also said staying healthy is their top priority, higher than the Asian average of 86%.
However, the pandemic may be an opportunity that Singapore investors might want to capitalise on. Nearly nine out of ten, or 88% of Singaporean investors say that they see volatility as an opportunity, compared to 82% of Asian investors and 79% of investors worldwide.
Generationally, millennial investors surveyed were more inclined to say that the pandemic affected them financially, and were more concerned about their finances than older generations.
73% of millennials felt they were financially impacted by the pandemic, and 74% said the pandemic impacted how they think about their money, compared to the overall average of 67%.
In addition, while millennials are most concerned about having to work longer to make up for losses, having enough money saved, and losing their job in the current environment, they want to see their money make a societal impact.
Roughly a third increased financial support for family and friends, while 69% are interested in sustainable investing and 60% in philanthropy due to COVID-19.
Tom Naratil, co-president of UBS Global Wealth Management and president of UBS Americas noted, "As investors navigate the COVID-19 crisis, they are seeking the latest insights and more tailored advice on how to achieve their financial goals. The pandemic is causing many of them to rethink how they'll fund their liquidity, longevity, and legacy needs. That means wealth managers have an opportunity to play an even more important role in their clients' lives and prepare them for the post-pandemic environment."
