BCT Group ("BCT") held a media briefing this morning to announce the findings of a study we conducted on retirement satisfaction in Hong Kong.
To better understand the retirement needs of Hong Kong people, BCT commissioned international market research company GFK to conduct the "Public Opinion Survey on Retirement Satisfaction" last year, and invited Dr. Billy S.C. Mak, Associate Professor of the Department of Finance and Decision Sciences of the School of Business at the Hong Kong Baptist University, to be the consultant of the survey. The survey interviewed 805 people, among which 735 are working individuals, and 70 have retired.
Key findings are as follows:
- 41% of the working respondents deem retirement as "no end in sight" - around 50% of the working group state that they are "not prepared for retirement". 30% even believe that they have to work beyond 65.
- Gaps between ideal retirement and financial preparations - While 62% of the working group hope to enjoy "financial freedom", 51% save less than 10% of their monthly salary for retirement, and 69% make no voluntary MPF contribution.
- 47% of the working respondents anticipate an unhappy retirement - 43% of the working group expect a "decline in physical strength" while 38% believe that they will experience some "financial constraints"; and 32% associate retirement with "a boring life".
- Workers' biggest wish after retirement is to travel - 56% of the working respondents wish to take at least 1 short trip (less than 5 days) a year while 26% of them wish to take at least 1 long trip (more than 5 days) a year.
- In addition to MPF, 60% of the respondents use stocks as an investment vehicle for retirement - Among both working (57%) and retiree (59%) groups, more than half of the respondents choose equity as an investment vehicle for retirement preparations. Other financial products used include insurance saving plan/investment-linked insurance, fund/bond, foreign currency, and property investment. It is worth noting that more respondents from the working group choose annuity (20%) as an investment vehicle than the retiree group (6%).
- 42% of the working respondents find generally available retirement information insufficient - Apart from financial information (57%), individuals from the working group prefer to acquire more information on health management (65%), medical care (58%) and retirement lifestyle (57%). Meanwhile, family, friends and the traditional media channels are their key sources of retirement information, followed by social media (31%).
At the event, Ka Shi shared the key findings of the survey and introduced "Step Up with BCT", an online platform offering a range of resources and tools that support various aspects of retirement planning. Dr. Mak also explained the important aspects in retirement planning apart from financial management: self-actualisation, social support network, and a healthy lifestyle.
