HONG KONG, August 12, 2021 / PRNewswire / – Almost a third of Hong Kong people have said their financial priority right now is saving for retirement, according to a new survey commissioned by Manulife. Research has also found that in addition to maintaining good health and a current standard of living, achieving “financial freedom” is one of the top priorities for an ideal retirement.
Manulife surveyed 1,034 Hong Kong people to find out more about their retirement plans and preparations, as well as their savings priorities and concerns. The survey, conducted between June and July 2021, found that the average target retirement age is 62, but only 41% of respondents are confident they can retire at the desired age. The majority of respondents fear for their health and finances in retirement.
“When it comes to retirement, people know what they want, but fear it won’t get there,” Mr. Wilton kee, Chief Product Officer and Chief Health Officer, Manulife Hong Kong. “Firstly, Hong Kong people look forward to retirement – many have a clear vision of what an ideal retirement life entails. On the other hand, people are also worried about their worsening state of health and insufficient savings. Three in five don’t know if they can retire at the age they want. “
Unsurprisingly, respondents who have already started planning for retirement tend to be more confident that their retirement is going as planned, compared to those who have not started. More than half (58%) of respondents who have started planning for retirement are positive about retiring before their target age, compared to only 29% of those who have not started planning for retirement.
More than half expect passive income in retirement
Defined as regular income that requires minimal effort to be maintained, passive income is often seen as a key way to achieve financial freedom. The survey revealed that more than half (53%) of those questioned know the term “passive income”, the youngest (aged 18 to 34) being the most aware (71%).
More than half (54%) of respondents believe they will have passive income when they retire. Of those who expect passive income in retirement, high dividend-paying stocks (60%), annuities (40%), income funds (39%) and rental income from real estate investments (38%) are the most selected as sources of income. These respondents generally believe that their passive income will be able to cover about half (45%) of their total retirement expenses on average.
“Acquiring passive income is essential to sustaining a desirable life in retirement. Planning ahead for a variety of sources of funds will allow retirees to maintain their pre-retirement standard of living, cover health costs or unforeseen expenses, and even travel and enjoy life without the stress of stress. money, ”Kee added.
When selecting the 3 main elements of an ideal retirement, respondents gave priority to maintaining good health conditions (72%), maintaining the current standard of living (44%), followed by achieving financial freedom with passive income (40%). On the other hand, when asked about their concerns, respondents listed their deteriorating health (54%) and not saving enough for retirement (39%) as their top concerns. These results corroborate with the rest of the findings.
New Starter Solutions for Life Planning for Life and Critical Illness Coverage
Manulife launched three new products, namely ManuPremier Protector, ManuElite Protector, and CareGuard benefit in the event of critical illness.
ManuPremier Protector and ManuElite Protector are two lifetime protection plans that offer the potential for long-term savings through an unsecured terminal bonus. With different premium levels and potential returns, both plans come with a “completion option”, which clients can exercise on their 15th policy anniversary or each anniversary thereafter and lock in up to 50%. the amount of their final bonus, giving them additional liquidity. to meet different financial needs. Both are Reverse Mortgage Program (“PRMP”) qualifying life insurance plans, providing clients with constant cash flow for a worry-free retirement..
Designed to improve the medical protection of certain plans, as an additional benefit, CareGuard benefit in the event of critical illness is available in two versions, CareGuard benefit in the event of critical illness (main) and Critical Illness CareGuard Benefit (Enhanced), giving customers the flexibility to choose Essential or Comprehensive critical illness protection. In addition to protecting clients against up to 112 critical illnesses and designated critical illnesses, the additional benefit goes beyond serious illnesses to cover 59 complex surgeries up to the age of 80.
“Planning early with a trusted retirement expert is essential. At Manulife, we believe in the three pillars of life planning: wealth accumulation, health protection and retirement income. With our diverse range of product offerings, our customers can choose for themselves when and how they can retire and enjoy the financial freedom with the peace of mind they deserve, ”concluded Mr. Kee.
For more details on ManuPremier Protector, please visit here. For more details on ManuElite Protector, please visit here. For more details on the CareGuard Critical Illness Benefit, please visit here. The contents of this press release do not contain the full terms of the policy (s), and the full terms can be found in the policy document (s). Please refer to the instructions for the products concerned for the characteristics and risks of the product.
 Manulife is not responsible for the suitability and eligibility of the Policyowner to apply for an RPRP. You should always seek advice from professional bodies if you have any doubts. Please note that the information provided is subject to change, including PRMP eligibility criteria. We assume no responsibility to notify you of any changes and how they may affect you. The PRMP is operated by HKMC Insurance Limited, a wholly owned subsidiary of The Hong Kong Mortgage Corporation Limited (HKMC). For more information, please visit the HKMC website: www.hkmc.com.hk.
 Early Stage Critical Illness Benefit and Juvenile Critical Illness Benefit only apply to CareGuard Critical Illness Benefit (Enhanced)
About Manulife Hong Kong
Manulife Hong Kong, through Manulife International Holdings Limited, owns Manulife (International) Limited, Manulife Investment Management (Hong Kong) Limited and Manulife Provident Funds Trust Company Limited. As a member of the Manulife group of companies, Manulife Hong Kong offers a diverse range of wealth protection and management products and services to individuals and businesses in Hong Kong and Macao.
Manulife Financial Corporation is a leading international provider of financial services that helps people make decisions easier and live better lives. With our global headquarters in Toronto, Canada, we operate as Manulife from our offices in Canada, Asia, and Europe, and mainly like John hancock in United States. We provide financial advice, insurance and our global wealth and asset management segment, Manulife Investment Management, serves individuals, institutions and pension plan members around the world. By the end of 2020, we had over 37,000 employees, over 118,000 agents and thousands of distribution partners, serving over 30 million customers. From June 30, 2021, we have had 1.3 trillion Canadian dollars (8 HK $ 100 billion) in assets under management and administration, and over the past 12 months we have made 31.3 billion Canadian dollars in payments to our customers. Our main operations are in Asia, Canada and United States where we have served our customers for over 155 years. We trade under the name “MFC” on the Toronto, new York, and Philippine stock exchanges and under ‘945’ in Hong Kong.
SOURCE Manulife Hong Kong