Legacy Planning Demand Rises as Most Hong Kong HNWIs Remain Unprepared

Nearly two-thirds of high-net-worth individuals in Hong Kong and mainland China do not have formal wealth-transfer arrangements in place, despite growing concerns about economic uncertainty and market volatility, according to an HSBC Life survey.

The legacy planning challenge is becoming increasingly important as affluent families seek to preserve wealth across generations and navigate a more complex investment environment.

The survey found that concerns over future economic or market volatility were the leading trigger for legacy planning, cited by 47% of respondents in Hong Kong and 51% in mainland China.

These concerns outweighed traditional life events such as marriage or childbirth.

Hong Kong respondents primarily focused on capital preservation, while mainland Chinese respondents favoured stable growth and expressed greater concern that future generations could mismanage inherited wealth.

Life insurance has emerged as the preferred legacy planning tool, with 80% of Hong Kong respondents either using or considering it, rising to 92% among mainland Chinese participants.

The findings highlight increasing awareness of succession planning risks and suggest significant opportunities for wealth managers, insurers and family office advisers to support long-term wealth preservation strategies.