Invest to advance

Many multicultural investors (MCIs) have charted successful paths to wealth. In fact, more than one million US high net worth (HNW)* investors are Black, Asian or Hispanic and Latino Americans. Yet little has been done to understand the varied experiences and priorities of this growing segment of MCIs. This report explores the wealth journeys of HNW MCIs—how they built wealth, how they manage it and what they want their wealth to help them achieve.

*UBS defines HNW investors as individuals with at least $1 million in investable assets.

A message from
Melinda Hightower
Managing Director, Head of Multicultural Client Segments

of Black HNW investors were taught the value of owning property; nearly six in 10 currently invest in real estate.

Real estate is a family value

So is using wealth to advance Black communities. How do these goals influence the ways HNW Black investors are shaping a more equitable future?

of Asian HNW investors prioritize growing their wealth with more than half their assets invested in stocks.

A focus on self-reliance

HNW Asian investors were more likely to be self-taught, using investment sites and publications to make investment decisions. How have they fared?

of Hispanic and Latino HNW investors consider providing family financial support a strong part of their culture.

Future aspirations, present needs

HNW Hispanic and Latino investors prioritize day-to-day help for extended family members. How do they balance that against future financial goals?

While there is clear progress on the road to financial inclusion, some barriers remain. Our research found that, perhaps as a result, a sizable group of today’s HNW MCIs have built wealth outside of traditional stock and bond investing.

Terri Bullock
Capital Management Process Analyst

For the high net worth (HNW) Black investors we surveyed, real estate is a frequent path to wealth. This wealth is not just for the benefit of family—they spend, invest and donate their wealth for the betterment of their communities. At the same time, HNW Black investors expressed less interest in investing in equities, which can provide an additional path to wealth creation and inclusive growth.

Angelina Fung
Head of Asian Client Engagement

Most of the high net worth (HNW) Asian investors we surveyed were self-taught investors, primarily focused on growing their wealth. However, there may be limits to what can be achieved with this method, especially when it comes to sophisticated estate planning techniques to minimize taxes. The result? HNW Asian investors may preserve less wealth for their heirs.

Gabriela Ramirez
Head of Hispanic and Latino Client Engagement

Caring for family and friends is a core cultural value for many high net worth (HNW) Hispanic and Latino investors throughout their wealth journeys. The vast majority we surveyed say they provide support directly or through an inheritance and note that they too benefited from such assistance. For many, balancing immediate family priorities with long-term financial opportunities is a particular challenge.

Achieving greater inclusion

Wealth managers must be eager and active leaders in fostering financial inclusion. Aided by new research that provides insights and ideas from Black, Hispanic and Latino, and Asian HNW investors, the industry can deliver on its promise of tailored guidance and solutions for all investors. Find out more.

Sandrea Brooks
Associate Director, Multicultural Investors Segment

The road to achieving full participation in the American financial system has been a long one for multicultural investors. Legislative barriers, social and cultural resistance and restricted access to resources all played a role. But as they worked around those obstacles and began to participate more fully, new possibilities began to take shape. Today those possibilities herald a bold new era of wealth for an emerging generation of HNW investors.

The road to full participation in the American financial system has been a long one for many multicultural investors. Barriers, both systemic and social, have played a role. Today, legislative protections and better access to professional advice, financial solutions and capital mean MCIs face less financial exclusion than at any other period in American history.

What will it take for HNW MCIs to continue their momentum? Primarily, expanded exposure to the wealth-building potential of equities, tailored and inclusive wealth strategies, and institutions committed to working toward an equitable future for all. We look forward to a new era of wealth creation—one with inclusion firmly at its center.

Expiration: 4/30/2023 Approval date: 4/12/2022 Review Code: IS2202047