Millennials saving for retirement
People from China aged 18 to 34 are setting aside more money than a year ago for retirement funds, despite the COVID-19 epidemic-related uncertainties, a leading global asset manager said on Monday.
Daisy Ho, head of the China operations at Fidelity International, said typically most of the younger generation in the country start saving at the age of 30, and are now on average setting aside 1,334 yuan every month for their retirement, compared with 994 yuan every month a year ago.
According to a survey jointly released by Fidelity International and Alipay Wealth Management Platform, 43% of the Chinese millennial respondents are confident about saving sufficient funds for retirement purposes, compared with just 32% a year ago.
The greater confidence is a result of the more active and consistent saving behavior, as 51% of the Chinese millennials said they have started saving this year, compared with 48% in 2019 and 44% in 2018.
"The pandemic will lead to a systemic, long-term shift in the mindset of Chinese millennials when it comes to saving for the future," Ho said, adding that the proportion of young Chinese people opting for retirement savings will continue to rise in the following years.