Synopsis
This report is the result of Company’s extensive research covering the HNWI population and Wealth Management industry in China. This report provides detailed figures on the current and expected HNWI asset allocations of China’s HNWI to 2015.

Executive Summary
This report provides the latest asset allocations of China’s HNWI. The report also includes projections of the volume, wealth and asset allocation of China’s HNWI to 2015 and a comprehensive and robust background of the local economy, including, uniquely, detailed analysis of economic and political risks to HNWI wealth creation

Scope
The report features:
• Independent market sizing of China’s HNWI
• Volume, wealth and allocation trends from 2007 to 2011 • Volume, wealth and allocation forecasts to 2015
• Current insights into the drivers of HNWI wealth

Reasons To Buy
• The Company HNWI Database is an unparalleled resource and the leading database of its kind. Compiled and curated by a team of expert research specialists, the HNWI Database comprises up to one hundred data-points on over 100,000 HNWI around the world. With the HNWI Database as the foundation for our research and analysis, we are able obtain an unsurpassed level of granularity, insight and authority on the HNWI universe in each of the countries and regions we cover.
• Comprehensive forecasts to 2015.

Key Highlights
• There are currently 1.3 million HNWIs in China with a combined wealth of US$4.3 trillion, which equates to 26% of the total wealth held in the country. Company expects HNWI wealth to increase at a CAGR of 14.7% over the forecast period to reach US$7.5 trillion in 2015, while volume will grow at a CAGR of 13.5% to reach over 2.1 million in 2015.
• Alternative asset holdings have increased dramatically since 2009 and this growth is expected to continue into the forecast period, with alternatives rising from 4.7% of total HNWI assets in 2011 to 6.9% in 2015. This will be driven by significant growth in hedge funds, private equity, collectables and index-linked funds.
• A movement from cash into equities is also expected, with equity allocations reaching 33% of total assets in 2015, compared to 30% in 2011. Other notable changes include a rise in fixed-income investments from 4.5% of total assets in 2011 to 5.8% in 2015. This will be facilitated by significant development of the local corporate bond market, which is expected to grow by over 34% per year during the forecast period.

1 Introduction
What is this Report About?
2 Executive Summary
3 Wealth Sector Fundamentals
3.1 Political Background of the Wealth Sector
3.2 Economic Background to the Wealth Sector
3.3 Benchmarking Chinese Wealth in Context
3.3.1 Distribution of wealth
3.3.2 Alternate scenarios for China’s economy to 2015
4 Analysis of Chinese HNWI Investment
4.1 Analysis by Asset Class
4.1.1 Changing trends in liquid assets – equity, fixed-income and cash deposits
4.1.2 Trends in alternative assets
4.1.3 Trends in “art, wine and wheels”
4.1.4 Trends of investments in real estate
4.1.5 Trends of investments in cash and deposits
4.1.6 Trends of investments in fixed-income
4.1.7 Trends of investments in equity
4.1.8 Trends of investments in business interest
4.2 Analysis of Foreign Investments
4.2.1 Trend of investments in rest of Asia-Pacific
4.2.2 Trend of investments in North America and Europe
4.2.3 Trend of investments in Africa, the Middle East and Latin America
5 Appendix
5.1 Pertinent Regulations
5.1.1 Regulations on banks
5.1.2 Regulations on foreign direct investment
5.1.3 Regulations on wealth management
5.1.4 Regulations on offshore investment
5.1.5 Regulations on foreign investment in China
5.1.6 Regulations on leveraged buyouts and mergers and acquisitions
5.1.7 Regulations on hedge funds and derivatives
5.1.8 Regulations on private equity investment
5.2 Key Economic Trends and Drivers
5.2.1 Renminbi to US dollar moving annual average exchange rate
5.2.2 Real GDP growth
5.2.3 Per-capita GDP
5.2.4 Gross savings rate as a percentage of GDP
5.2.5 Domestic Market Capitalization
5.2.6 Housing price index
5.2.7 Commodity index
5.2.8 Foreign direct investment
5.2.9 Investments of FIIs in equity products
5.2.10 Inflation rate
5.2.11 Repo rate
5.2.12 Balance of payments
5.2.13 Stock market performance
5.2.14 Fiscal position
5.2.15 HNWI wealth vs GDP
5.2.16 Capital formation as a percentage of GDP
5.2.17 Disposable income as a percentage of GDP
6 About Company

List of Tables
Table 1: HNWI Wealth Band and Group Definitions
Table 2: Regional Definitions
Table 3: HNWIs – Trends of Liquid Assets (%), 2007-2015
Table 4: HNWIs – Liquid Asset Composition (%), 2007–2015
Table 5: HNWIs – Trends of Investments in Alternative Assets (%), 2007–2015
Table 6: HNWIs – Alternative Asset Composition (%), 2007–2015
Table 7: HNWIs – Trends in “Art, Wine and Wheels”, 2006–2010
Table 8: HNWIs – Change in Foreign Asset Allocation, 2007–2015
Table 9: HNWIs – Foreign Allocations by Asset Class, 2007–2015
Table 10: HNWIs – Global Distribution of Foreign Investments, 2007–2015
Table 11: HNWIs – Trends of Foreign Investments, 2007–2015
Table 12: RMB to US$ Moving Annual Average Exchange Rate, 2006–2015
Table 13: Real GDP Growth Rate, 2006–2015
Table 14: GDP Per Capita, 2006–2015
Table 15: Gross Savings as a Percentage of Real GDP, 2006–2015
Table 16: Domestic Market Capitalization, 2006–2010
Table 17: Housing Price Index, 2006–2010
Table 18: Commodity Indices, 2006–2015
Table 19: Foreign Direct Investments, 2006–2015
Table 20: Investments of FIIs in Equity Products, 2006–2009
Table 21: Inflation Rate, 2006–2015
Table 22: Repo Rate, 2006–2015
Table 23: Balance of Payments, 2006–2010
Table 24: Stock Market Performance, 2006–2010
Table 25: External and Fiscal Debt as Percentage of GDP, 2006–2015
Table 26: HNWI Wealth vs GDP, 2007–2015
Table 27: Capital Formation as a Percentage of GDP, 2006–2015
Table 28: Disposable Income as a Percentage of GDP, 2006–2015

List of Figures
Figure 1: HNWI Wealth Band Definitions
Figure 2: Company Map of China
Figure 3: HNWIs Wealth Sector Market Attractiveness, 2007–2015
Figure 4: HNWIs – China vs RoW and Asia-Pacific
Figure 5: HNWIs – Asset Class Composition, 2007–2015
Figure 6: HNWIs – Changing Trends in Total Liquid Assets (% of Total Assets), 2007–2015
Figure 7: HNWIs – Liquid Asset Composition (US$ Billion), 2007–2015
Figure 8: HNWIs – Alternative Asset Composition (US$ Billion), 2007–2015
Figure 9: HNWIs – Trends in “Art, Wine and Wheels”, 2006–2010
Figure 10: HNWIs – 2015 Foreign Asset Allocation vs Growth
Figure 11: HNWIs – Global Distribution of Foreign Investments, 2007–2015
Figure 12: INR to US$ Moving Annual Average Exchange Rate, 2006–2015
Figure 13: Real GDP Growth (%), 2006–2015
Figure 14: GDP Per Capita, 2006–2015
Figure 15: Gross Savings as a Percentage of Real GDP, 2006–2015
Figure 16: Domestic Market Capitalization, 2006–2010
Figure 17: Housing Price Index, 2006–2010
Figure 18: Commodity Indices, 2006–2015
Figure 19: Foreign Direct Investments, 2006–2015
Figure 20: Investments of FIIs in Equity Products, 2006–2009
Figure 21: Inflation Rate, 2006–2015
Figure 22: Repo Rate, 2006–2015
Figure 23: Balance of Payments, 2006–2010
Figure 24: Stock Market Performance, 2006–2010
Figure 25: External and Fiscal Debt as a Percentage of GDP, 2006–2015
Figure 26: HNWI Wealth vs GDP, 2007–2015
Figure 27: Capital Formation as a Percentage of GDP, 2006–2015
Figure 28: Disposable Income as a Percentage of GDP, 2006–2015

Companies Mentioned

Chinese banks:

Bank of China
Agricultural Bank of China
China Construction Bank
Industrial & Commercial Bank of China
China Citic Bank
China Merchants Bank
Bank of Communications
China Minsheng Banking Corp
China Everbright Bank
Bank of Dalian
Bank of China

Foreign banks:

HSBC China
Citibank China
UBS AG
Deutsche Bank China
Bank of Tokyo-MUFJ
DBS China
BNP Paribas
Standard Chartered
Royal Bank of Scotland
JP Morgan Chase
Credit Agricole

Joint ventures:

ICBC Credit Suisse
BOC BlackRock
China Citic Bank and BBVA
Santander CCB
Ping An Bank and HSBC
First Sino Bank and Lotus Worldwide
BoCommLife and CBA
Multi-Family Offices
Serficom Shanghai
AMC Group – Asset Management China
KCS Services Limited