Prudential Hong Kong’s newly launched “Financial Wellbeing Tracker” reveals a moderate level of confidence among Hong Kong residents regarding their financial wellbeing. Scoring 53.1 out of 100, the tracker indicates a stronger sense of security in current financial matters compared to planning for long-term financial freedom.
This comprehensive survey evaluates financial health from four dimensions: “Security Now,” “Security in the Future,” “Financial Freedom Now,” and “Financial Freedom in the Future.”
The survey's results highlight a higher confidence in financial security both presently (59.9 points) and in the future (52.6 points), as opposed to present financial freedom (52.3 points) and future freedom (47.5 points).
Felix Fung, chief product officer at Prudential Hong Kong, noted that despite regular savings habits, over half of Hong Kong residents' income is consumed by daily expenses, impacting their ability to plan for future financial needs, especially post-retirement.
The survey also indicates varying levels of financial optimism across different age groups. Younger participants (aged 18-35) scored 51.9 points, which slightly increases to 52.4 points for those aged 36-49. The most financially optimistic group is those aged 50-60, scoring 55.1 points. Notably, older age groups consistently score higher in all categories except for “Security Now,” where the 36-49 age bracket feels less secure with a score of 59.3 points. This could be attributed to financial pressures like parental support and childcare costs.
Younger generations also feel less secure and free financially about their future, facing challenges such as unclear saving targets and financial responsibilities. In contrast, individuals over 50, often with accumulated wealth and fewer familial financial obligations, exhibit a more positive outlook.
The tracker identified five distinct financial personas: indoor-living loners, risk-averse conformists, adventurous explorers, family altruists, and inquisitive rationalists. Each group reflects unique attitudes and concerns regarding financial wellbeing. Indoor-living loners and risk-averse conformists score below average in overall financial wellness, with 41.2 and 47.8 points, respectively.
Conversely, adventurous explorers (58.2 points) and family altruists (61.5 points), who focus on pleasure and optimism about retirement finances, respectively, report feeling more financially healthy than average. This is reflected in their prioritisation of savings and investments. Similarly, inquisitive rationalists, known for their diligent saving habits and clear financial goals, achieve the highest score (61.5 points) for financial health.
Elsewhere in the region, Pru Life UK has maintained its leading position in the Philippines’ life insurance sector.
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