AQUMON unveils trends in digital investment and announces expansion plans

Hong Kong-based financial technology company AQUMON has unveiled trends in digital investment as the financial sector has been booming in recent months, while it has also announced plans to expand business in 2021.

As the heightened interest in investment took place and investors worldwide became increasingly attuned to digital investment platforms and their benefits, AQUMON has identified three emerging industry trends this year.

The first one is the diversification of investor demographics and investment strategies. Currently, younger clientele play a key role in driving investment. AQUMON said 75% of its users are between the ages of 20 and 39. Female users aged between 30 and 39 are more than double the number of male users in the same age group, and most users are employed and white-collar workers who work equally in financial and non-financial sectors.

Potential investors also found that the current crop of robo advisors offer longer-term, stable and diversified investment portfolios, particularly matching the needs of consumers who are starting a family.

The second trend is that banks are further embracing fintech. More banks are adopting AI robo advisory technology to save labour costs and expand offerings, while financial companies have launched software-as-a-service platforms to offer clients more choices of financial products too.

Asian countries are ramping up R&D talent development to support fintech growth. Currently, China now leads the world in annual R&D spending at nearly US$275 billion, followed by Japan (US$176 billion), South Korea (US$70 billion) and Singapore (US$13 billion).

“Clients now expect more from their wealth management services. In addition to stable returns and personalised portfolios that align with their risk appetite, they see the improvements that robo advisory and greater digitisation of services brings - lower costs, better transparency, immediate responses, and better returns," said Don Huang, co-founder and head of quantitative research at AQUMON.

"These are substantial benefits that address a lot of the painpoints they typically experience in Asia's large and rapidly growing wealth management industry," Huang added.

Amid the pandemic, investors worldwide have more focused on investment. AQUMON said the number of account openings has increased significantly during recent months.

Lastly, AQUMON is looking beyond Hong Kong as China is expected to see a boom in robo advisory services, with market value expected to double every year from 2017 to 2021, according to a Deloitte report.

AQUMON is also growing their China business by preparing to launch AI-driven A-share quantitative funds, CTA and fixed income quantitative funds in China before Chinese New Year. The company is also planning to open an office later this year in Shanghai. 

“The pandemic has shifted our perspective and has opened the eyes of many to the importance of smart financial investment. Over the past year, we saw an incredible surge of consumers delving in financial markets for the first time. The economic instability, the change of habits to working from home and the increasing reliance on technology have all been major factors that have pushed people to reflect on their wealth management and investment returns," said Kelvin Lei, CEO and co-founder of AQUMON,