KUALA LUMPUR, Dec 23 — Affluent Malaysian investors demand greater diversification strategies amid economic uncertainty, according to a survey conducted by United Overseas Bank (Malaysia) Bhd (UOB Malaysia).
In a statement today, it said investors were turning to diversification strategies to mitigate risk and achieve long-term risk-adjusted returns in the current economic climate.
“Some 65 per cent of affluent Malaysians classified themselves as practical and moderate investors while 26 per cent consider themselves prudent and conservative.
“Only seven per cent of respondents assumed a more aggressive investment position,” it said in the 2015 UOB Malaysia Wealth Management Survey.
The affluent Malaysian investors are categorised as customers who have investable assets of RM150,000 and above.
UOB Malaysia Chief Executive Officer, Wong Kim Choong said the findings confirmed how current market uncertainties were encouraging more cautious investment behaviour and fuelling demand for a balanced and diversified investment portfolios.
He said 67 per cent of respondents preferred low-risk asset classes such as fixed deposits while unit trusts were ranked second with 59 per cent of capital inflows allocated to this asset class.
Equities and bonds were ranked the lowest by investors with respondents allocating 44 per cent and 40 per cent to the two classes, respectively.
The survey conducted in May 2015 involved a total of 102 customers from UOB Malaysia’s Privilege Banking and Wealth Banking segment. — Bernama
