Hana Financial Research Institute Publishes the '2025 Korea Wealth Report'
More than half of the wealthy (those holding financial assets worth 1 billion KRW or more) viewed the real estate market outlook negatively this year. Many wealthy individuals responded that they would invest in financial products instead of real estate, with a particularly high preference for gold and bond exchange-traded funds (ETFs). More than half also indicated they would continue investing in virtual assets this year. Additionally, it was found that 'Young Rich' (wealthy individuals aged 40 or younger) tend to actively invest in stocks.
Hana Bank's Hana Financial Research Institute announced on the 16th that it published the '2025 Korea Wealth Report' containing these findings. Now in its 17th year of publication, the report provides an in-depth analysis of wealthy individuals' asset management methods, the asset management of the Young Rich, and virtual asset investment behaviors that have garnered increased attention since the U.S. presidential election at the end of last year.
Wealthy Individuals Prefer Gold, Bonds, and ETFs Over Real Estate This Year
More than half of the wealthy forecasted both the real economy and real estate market negatively this year. Due to the bleak economic outlook, they were also reluctant to adjust their asset portfolios, and among those willing to adjust, many responded that they would increase their proportion of financial assets.
Among financial assets, excluding deposits (40.4%), gold (32.2%) was identified as the asset with the highest investment intention this year. Next, demand for bonds (32.0%), which tend to rise in price when interest rates fall, was high. Notably, wealthy individuals who had not yet invested in bonds showed a higher tendency to start investing compared to other products. ETFs (29.2%) ranked third, followed closely by direct stock investment intentions (29.0%).
On the other hand, real estate investment intentions among the wealthy were relatively lower this year. The intention to purchase real estate in 2025 was 44%, down from 50% the previous year, while the intention to sell increased to 34% from 31% the previous year.
The Hana Financial Research Institute interpreted this as a strategy to either wait for market instability to subside before seeking the next opportunity or to diversify financial investments. They emphasized the need to note that wealthy individuals, who have traditionally grown their wealth through real estate, are showing a changed attitude this year.
Wealthy Individuals: "Virtual Assets Are Risky but Have High Growth Potential"
Wealthy individuals agreed on the 'riskiness' of virtual assets (coins) from an investment perspective but also saw high growth potential. This perception was common regardless of asset size or age.
A survey targeting the 'mass affluent' holding financial assets of 100 million KRW or more and the 'wealthy' holding 1 billion KRW or more showed that the proportion holding virtual assets has increased by an average of 15% annually over the past three years.
As of last year, one-third of the affluent either held virtual assets or had experience holding them. Among virtual asset investors, 34% held four or more types of coins, indicating an increase in the number of coins held compared to the past. They tended to purchase coins frequently rather than investing a lump sum. Additionally, over 70% of the affluent investing more than 10 million KRW in virtual assets, and the average investment amount was more than double that of past investors.
Currently, 5 to 6 out of 10 virtual asset investors responded that they would continue investing this year. Three out of ten were undecided, and only one out of ten had no intention to invest.
The primary reason for investing in or showing interest in virtual assets was 'returns.' Other reasons included investment accessibility and a favorable environment, which increased responses citing growth potential as a reason for investment.
Yoon Sun-young, a researcher at Hana Financial Research Institute, stated, "The expectation of growth potential in virtual assets among the wealthy signifies the maturation of this sector."
'Young Rich' Show Higher Preference for Stocks
Classifying Hana Bank customers by age and asset size revealed that the number of Young Rich customers has increased by an average of more than 6% annually over the past five years, more than twice the growth rate of Old Rich customers (aged 50 and above). The Young Rich managed 42% of their financial assets as investment assets and showed a willingness (21%) to invest even using leverage.
Notably, the Young Rich started investing in stocks much earlier than the Old Rich. Twenty-five percent of the Young Rich responded that they began investing in stocks from minor age to before employment, which is five times higher than the 5% of Old Rich. Regarding the reasons for starting stock investment, the Young Rich viewed stocks as an essential investment product to realize investment goals and to begin investing seriously after accumulating funds. This contrasts with the Old Rich, who started stocks due to a booming investment market or family recommendations.
Among financial products held by the Young Rich, stocks stood out compared to the Old Rich. Eight out of ten Young Rich held stocks, 1.2 times higher than the Old Rich. The Young Rich preferred overseas stocks, maintaining a domestic-to-overseas investment ratio of about 70% to 30%, higher in overseas investment than the Old Rich (80:20). The Young Rich plan to increase their overseas stock proportion to 40% this year.
The Young Rich also showed greater interest in tangible assets such as gold and artworks compared to the Old Rich. As of the end of 2024, the Young Rich's tangible asset ownership rate was 41%. Regarding virtual assets, the Young Rich perceived them as a 'risky but worth-challenging new investment area,' holding virtual assets at about three times the rate of the Old Rich (29%).
Hwang Sun-kyung, a researcher at Hana Financial Research Institute, said, "Interest in financial investments among the wealthy continues to expand, with the Young Rich at the center. They lead investment trends, including virtual asset investments, and tend to grow their assets through finance more than the Old Rich." She added, "The Young Rich will continue to smartly read the environment and expand their financial portfolios based on their beliefs, leading the future of wealth."
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