Key Findings from the Schroders Global Investor Study
The 2021 Schroders Global Investor Study reveals a significant trend among Chinese investors: many are venturing into high-risk assets for the first time, including emerging asset classes like cryptocurrencies. As pandemic restrictions ease and economic uncertainty persists, 40% of respondents expressed intentions to allocate more savings toward high-risk investments.
Survey Methodology
- Conducted by Schroders Investment Group via independent research agency
- Online survey period: March 16 - May 7, 2021
- Sample: 1,000 mainland Chinese investors
Breaking Down Investor Behavior Changes
First-Time Investment Trends
| Asset Class | Percentage of First-Time Investors |
|---|---|
| EV-related stocks & funds | 24% |
| Biotech/pharma stocks & funds | 21% |
| Cryptocurrencies | 18% |
| Internet/tech stocks & funds | 15% |
Low-interest environments appear to be driving this risk appetite:
- 72% would pursue higher-risk investments for better returns in zero/negative rate scenarios
- 37% specifically plan to invest in cryptocurrencies
Expert Commentary from Schroders
Jason Yu, Asia Head of Multi-Asset Management at Schroders, offers key insights:
"The study demonstrates many Chinese investors believe they must take on more risk for potential returns—likely influenced by challenging economic conditions over the past year. In low-rate environments, higher-risk investments naturally become more attractive."
"Chinese investors are diversifying across more asset classes. While risk tolerance is increasing, we believe a multi-asset, multi-theme approach remains one of the most viable paths to achieve investment goals. This strategy helps diversify risk while capturing long-term growth opportunities across different assets, regions, and major global trends."
Investor Psychology Considerations
Despite increased risk tolerance:
- 68% acknowledge investment performance impacts their mental health
- Investors should regularly assess their risk capacity to determine appropriate asset allocation
👉 Schroders' investIQ tool helps Chinese investors understand behavioral biases and make more objective decisions.
FAQs About the Investor Shift
Q: What's driving Chinese investors toward riskier assets?
A: Primarily low interest rates and search for yield, combined with easing pandemic restrictions and exposure to new investment opportunities.
Q: Are cryptocurrencies becoming mainstream in China?
A: The study shows 18% first-time crypto investors, with 37% considering crypto investments in low-rate scenarios—indicating growing, though cautious, adoption.
Q: How can investors manage increased risk exposure?
A: Through diversified portfolios, regular risk assessments, and tools like investIQ that provide behavioral insights.
Q: What sectors attract first-time investors?
A: EV-related (24%), biotech/pharma (21%), and internet/tech (15%) investments lead the trends.
Strategic Investment Recommendations
- Diversify across asset classes to mitigate sector-specific risks
- Assess risk capacity before increasing exposure
- Consider long-term themes like technology and sustainability
- Utilize behavioral tools to make objective decisions
👉 Learn more about multi-asset strategies that balance risk and opportunity in volatile markets.
Note: This content represents general information only and should not be considered investment advice. Investors should consult financial professionals before making investment decisions.