Cluttons
The weakness of sterling inevitably remains a key financial incentive and
attraction for London investments amongst HNWI, although it appears only of
significance for those based in South East Asia. In fact, lifestyle issues and second
homes in general hold greater importance to international investors across all the
regions, although noted particularly by investors based in Dubai and Muscat. The
prestige of a London based investment is noted as an important intangible factor
STERLING V GLOBAL CURRENCIES;
for HNWI investors from both the Middle East and Asia Pacific region.
CHANGE SINCE LONDON
RESIDENTIAL MARKET PEAK IN
Q3 2007 STERLING CURRENCY ADVANTAGE FOR INTERNATIONAL BUYERS (%)
50
-13%
UAE Dirham
40
30
20
-27.3%
Singapore Dollar
10
0
2007 2008 2009 2010 2011 2012 2013
UAE Dirham Singapore Dollar Thai Baht
-12.4%
Source: Cluttons, OANDA
The links associated with children’s education in London was specified as
the most critical investment driver for Bangkok based HNWI, but this issue
Thai Baht
emerged as the second most critical for all those who cited London as a primary
investment target. The expansion of existing investment portfolios and the
Source: Cluttons, OANDA
growth of business investments were ranked as the third most important factors
for HNWI honing in on London, reflecting their long term view.
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