Accenture sees strong demand for digital assets among Asian investors, but hesitation among consultancies
There is strong demand for digital assets among investors in Asia, but wealth management firms remain reluctant to back them, according to a new report of the consulting giant Accenture.
The report, titled The Future of Wealth Management in Asiasaid that although a large number of Asian investors have already allocated capital to digital assets and many more want to invest in them this year, few consultancies are willing or able to support their clients in this process. topic.
According to survey results published in the report, more than half of Asian investors now hold digital assets in some form, either directly in the form of cryptocurrencies or other tokenized assets, or indirectly. in the form of crypto investment funds.
Additionally, an additional 21% of respondents said they plan to invest in digital assets by the end of 2022.
On average, digital assets now make up 7% of Asian investors’ portfolios. That makes it a “top-five asset class” among Asian investors, and more popular than foreign currencies, commodities and collectibles among investors surveyed, according to the report.
Despite this strong demand for digital asset investments, fully two-thirds of wealth management firms surveyed said they would not consider offering digital assets to their clients at all, while only 24% said stated that they plan to do so for the future.
Due to the lack of support from professional wealth managers, wealthy investors find themselves seeking advice “in unregulated forums, including peer-to-peer advice on social media,” the report said.
Commenting on the results, Nicole Bodack, Accenture Group Head of Growth Markets, said it was clear that investors are looking for new products to invest in, and that includes digital assets.
Bodack added that it is essential that advisory services are there to welcome investors “as they grapple with market volatility, longer life expectancies and a plethora of information on investments available online”.
The report’s findings are based on two surveys: one of approximately 3,200 participating investors and the other of more than 500 financial advisors at Asian wealth management firms.
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