SCB Julius Baer has released its "Global Wealth and Lifestyle Report 2021" (GWLR2021) conducted by Julius Baer, the leading Swiss global wealth management group, which presents data and analyses of consumers' lifestyle trends, in order to reflect major shifting lifestyle trends and the retail situation during the Covid-19 pandemic. The latest Index has revealed four main items that indicate the health-conscious movement and care for the environment, including bicycle, technology, treadmill, and health insurance. The rising popularity of these new items is in line with the current investment trend, where investors are looking for ways to invest more sustainably to secure their long-term wealth.
For this year's Index, Julius Baer decided to include four items in the list of goods considered, in order to reflect major shifting lifestyle trends in the New Normal era, resulted by the outbreak of the Covid-19 pandemic along with other limitations. Items no longer included are grand pianos, wedding banquets, beauty services, and personal trainers. Here we explain our selection of the four new items and analyse the findings in those sectors. The four new items that capture our interest are listed as follows:
In terms of Asia Pacific, the Global Wealth and Lifestyle Report 2021 reveals that today's Asian buyer also recognizes this category as an investment that may offer them an avenue to secure and grow their wealth. The rapid rise of Asian economies has generated vast amounts of wealth and with that greater expectations of quality of life. This economic growth has also created overcrowding and pressure on the supply of quality homes. The well-heeled seek out properties and investments beyond their regions, notably in 'smart addresses' that help to open the door to better opportunities for future generations of their families. For some years now, Asian demand has been a significant factor in the business strategies of Western companies. For many brands, this has meant introducing bespoke limited editions with hints of Asian flair to collections and launching flagship stores in these markets where demand often outpaces supply. All of this has led to an obvious outcome: our research over the past decade shows a higher inflationary environment in Asia than in the rest of the world.
Bangkok remains one of the most expensive cities in the world for apparel: a good suit here will cost you a fifth more than the international average. Although, Bangkok remains a dream city for shoppers but in 2020 global report state that the rise in the price of ladies' shoes is at an end: women buying designer heels here will pay around 17 per cent less this year compared to 2019. Jewelry, handbags, and watches are all priced around the international average. Bangkok remains a hot shopping destination for international visitors due to the cost of business class flights and hotel suites hovering below global levels, and investors can buy high-end property in the city for a relative bargain: it is priced at almost half the global average. In Bangkok it is a buyers' market, with ample stock. Unsurprisingly, this has prompted many wealthy citizens to purchase second homes in Bangkok.
Mr. Joseph Caceres, Managing Director and Head of Investment Advisory & Solutions, SCB-Julius Baer Securities Co., Ltd., concluded, "We believe that sustainable investment is the key to securing long-term returns for our customers. The trend of investing in environmental protection is likely to grow, which is evident from the increasing use of bicycles or the shift to zero-emission electric vehicles. Therefore, investors should consider investing with companies that are reliable, stable and possess a good balance sheet. They should also consider a company that takes responsibilities in three main areas: Environment, Society, and Governance, known among investors as ESG. Consumers today are more cautious in their spending; as a result, investors should look for a more flexible way of investment (Core Satellite Approach) and distribute their risks in different types of investment rather than investing in just one product. SCB Julius Baer brings forth our expertise with a team of knowledgeable investment advisory experts who are experienced and certified by Julius Baer's wealth management standards. We are ready to provide advisory services to our esteemed customers and equip them with knowledge to assess the returns on their investment portfolios, in order to pass on wealth to the next generation in a sustainable way."