Less than a third of Japanese investors expressed a high level of trust for the financial services industry, and about the same number of eligible investors believe the state-sponsored pension scheme will pay out benefits as promised. About 30% are worried about an impending financial crisis within the next three years.
Although there is a lack of confidence and trust in the system, about half of Japanese investors still believe they have a fair opportunity to profit by investing in capital markets.
Japanese investors are split as to what is more valuable: access to people or technology to manage their investments. About one-third of investors are equally happy with advice from humans or robo-advisers. Approximately 4 in 10 said that they were willing to invest in a fund that used artificial intelligence for its selection process. This indicates an openness to technological innovation and investment solutions.
When looking to hire a firm, Japanese investors vastly prefer people they can count on as opposed to a trusted brand. When changing investment professional or firm, Japanese investors’ top consideration is the level of data security, with performance and communication a distant 2nd and 3rd, respectively. Advisers would do well to provide more personalized products as a vast majority of investors want them and a bit more than half would be willing to pay more for them.