According to Accenture, 52 percent of affluent Asian investors own digital assets, with another 21% expected to do so by the end of the year.
Accenture, a worldwide IT services business, released a new survey evaluating the digital asset portfolios of affluent Asian investors, finding that the majority of them are willing to hold cryptocurrencies directly or indirectly. 3,200 people from Hong Kong, India, Indonesia, Japan, and other nations took part in the survey, with investable assets ranging from $100,000 to $5 million.
In a study titled “Digital assets: Unclaimed territory in Asia,” Accenture found that 52 percent of affluent Asian investors held digital assets as of Q1 2022, and that percentage might rise to 73 percent by the end of the year. Among their holdings are cryptocurrencies, tokenized assets, and crypto funds.
Seventy-two percent of rich Singaporeans have invested in digital assets, with another fourteen percent planning to do so soon. More than 80% of Singapore’s investors, like those in Thailand and India, are interested in digital assets.
Asian investors have allocated a portion of their portfolios to the growing asset class as a result of the recent growth of cryptocurrencies. Cryptocurrency would account for over 7% of the average wealthy investor’s portfolio, making it the region’s fifth-largest asset class. It ranks fifth after equities, fixed income, cash, and real estate, according to Accenture’s study.
According to the analysis, wealth managers in Asia alone could earn $40 billion by assisting customers in exchanging digital assets.
However, the organization observed that two-thirds of 550 wealth managers in the financial industry do not intend to offer crypto-related goods to their clients after conducting a poll. It was concluded that a lack of qualified financial advice has led to investors seeking help through “unregulated forums” like social media.
According to the report, a lack of belief in digital assets, a wait-and-see mentality, and the complicated operational procedure required for establishing relevant services due to regulatory concerns are the three major barriers stopping wealth managers from delving deeper into the business.
It’s worth noting that more than 75% of clients polled said they’d prefer wealth managers to provide “advisory on digital asset investments” and trading assistance.