Asset management is becoming a norm among the younger generation in Japan

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TOKYO, February 3, 2022 /PRNewswire/ — According to a recent study published by “RENOSY”, a comprehensive one-stop real estate services platform operated by GA technologies Co., Ltd (Headquarters: Minato-Ku, Tokyo; CEO: Ryo Higuchi / Securities Code: 3491) showed that more than 70% of the younger generation in their twenties tend to discuss “investment” and “wealth management” with their friends. The research was conducted online by RENOSY and interviewed 444 people between the ages of 20 and 50 who are interested in financial investments and asset management.

Japan-Insights: Asset management is becoming the norm for the younger generation in Japan

From the research results, we could see that more than 70% of the respondents (in their 20s) showed that they are interested in asset management and talk about it with their friends or acquaintances. The average amount of such financial planning is about ¥50,000 per month. And more than 80% of people surveyed (all age groups combined) believe that they do not have sufficient funding for their retirement if they only rely on retirement. Less than 70% of respondents said they pay more attention to managing their assets efficiently than just saving.

[Key Highlights]

  • More than 70% of young people surveyed (in their 20s) say they discuss “wealth management” with their friends, while only 30% of the older generation (in their 50s) said “Yes”.

  • More than 80% of respondents said they felt they did not have enough money to support themselves after retirement relying solely on retirement.

  • More than 60% of respondents in their twenties said they are not worried about the asset building arrangement they put in place at the moment.

  • While the average amount of investment for the younger generation is around 50,000JPY. This number increased to ¥150,000 per month for the older generation.

  • More than 50% of respondents (between 20 and 40 years old) answered that they are interested in using smartphones as an investment and asset management device.

♦ Method of data collection

Time: November 4 2021~ November 8, 2021

Main method: online questionnaire

Responses received: 444 people (Users interested in investing with a higher annual income ¥4,500,000)

♦ Search Details

1. Over 70% of young people surveyed tend to discuss wealth management with their friends, while only 30% of the older generation do.

There is a significant difference between different age groups when it comes to the topic of asset management. Around 73% of young people surveyed said they talk about investing or asset management with their friends. Only 38% of people in their 50s answered “Yes”. We can see a clear difference between different generations when it comes to “finance”. Since “asset management” will be part of the new high school curriculum from April 2022, the younger generation is expected to become more cautious and familiar with “money”. In fact, we received several comments from our users this time that they purchased real estate using RENOSY thanks to the advice of those around them.

[Users voices (2)] extracted data

  • “I bought a property in RENOSY (※1) thanks to the advice of my friend.” (Male, mid 20s)

  • “I’ve always been interested in real estate investing and got to know RENOSY through a friend. I also think the agent is reliable.” (Male, mid 20s)

  • I had friends who had used the service before, and they recommended the service to me.” (Female, 20)

2. Over 80% of respondents said they would worry about their post-retirement finances if all they relied on was retirement.

“Do you think you can be financially flexible by only relying on a pension after retirement?” 87% of the total respondents answered “No”. When we take a closer look at the different age groups. The answers are as follows: 91% for 20 year olds, 85% for 30 year olds, 92% for 40 year olds and finally 77% for 50 year olds. As people tend to live longer these days, the issue of finances after retirement will become an increasingly serious issue for most people. As a result, we could see from the research results that 87% of the people we surveyed feel anxious about the financial arrangement after retirement.

3. The younger generation prefers asset management to savings. That being said, over 60% of young people are not worried about their current wealth management plans.

Regarding the question “What do you think of your current financing plan for the future?” 66% of the younger generation answered “Don’t really worry about it” and “Don’t worry at all”. On the other hand, when it comes to the “average amount of investments invested each month”; it’s about ¥50,000 for people in their twenties and the number increases to around ¥150,000 for people in their 50s, which represents a significant increase accompanied by an increase in age.

4. Over 50% of respondents (people in their 20s to 40s) are interested in using smartphones as an investment or asset management device.

When asking questions, do you prefer to use a smartphone as an investment or asset management device. The younger generation (those in their twenties) showed the greatest interest in this. According to a study published by the Ministry of Internal Affairs and Communications (MIC) in June 2021※3, the percentage of the population owning a smartphone is 86.8% and this number is constantly increasing. The prevalence of smartphones is even over 90% among the 20-39 age groups, which is higher than the percentage of computer ownership. In this broad context, one would expect the interest in using a smartphone for asset management to become more widespread among the digital native generation (digital immigrants).

RENOSY is a global real estate services platform offering a one-stop service to its clients. The whole transaction process can be completed online with the RENOSY app. Homeowners can easily manage everything about their home on their smartphone with a specialized app called “OWNR by RENOSY”. Our goal is to provide an efficient and smooth customer experience through the introduction of cutting-edge technology.

♦ About RENOSY real estate investment service

RENOSY focuses on second-hand compact apartments in urban areas of Japan. The brand was ranked No. 1 in the second-hand apartment transaction industry in 2020 and 2021 in research by Tokyo Shoko Research. It also topped the newly built properties sector for the first time in 2021 (※4). One of the most unique things about RENOSY is that half of our clients are younger generations between the ages of 20 and 30, which is quite rare for the real estate investment industry. We are also actively introducing state-of-the-art technology into our range of services with the following features:

  1. Focus on introducing online transactions using AI technology.

  2. To provide a one-stop service covering all areas of real estate, from rental and lease management to renovation.

  3. A rapid inventory turnover rate of 1/20 of the industry average (※5).

RENOSY combines both online and offline tricks, especially with the implementation of AI technology, it is definitely the first choice for clients when it comes to real estate investment in the digital age.

♦ About RENOSY Marketplace Business

RENOSY’s business mission is “to impress people and create a world-leading company with the power of technology x innovation”. The parent company of RENOSY is GA technologies which is a listed company whose shares are listed on the Tokyo mother’s purse. RENOSY is a complete one-stop-shop platform offering a full range of real estate services ranging from “Rent”, “Buy”, “Sell”, “Rent”, “Renovate” to “Invest”, basically everything you could think of in real estate real estate sector. The service has about 240,000 registered members and more than 150,000 ads available on our website (※6). We strive to make the traditional real estate industry more efficient and tech-savvy. Our goal is to provide a more sophisticated customer experience with online and offline services.

♦ About GA technologies

Company: GA technologies Co., Ltd.

Representing: Ryo Higuchi

URL: https://www.ga-tech.co.jp/en/

Headquarters: 40F of Sumitomo Fudosan Roppongi Grand Tower, Roppongi 3-2-1, Minato District, Tokyo

Year of foundation: March 2013

Capital funds: ¥7,219,146,516 (by October 2021)

What we do :

  • Operation of the RENOSY service, a unique platform for online real estate services

  • Running the ITANDI BB service, a cloud service for property management companies

Sub-companies: ITANDI Co., Ltd, Modern Standard Co., Ltd, Shenjumiausuan Co., Ltd and 8 other companies

※1 Industry trend research: “customer satisfaction with website image” (August 2020 version)

Reference version: https://resources.ga-tech.co.jp/Release/210225_renosy_no1_ff.pdf

※2 Customer Satisfaction Research. A specific study conducted among RENOSY users by the brand. Reference version: https://www.renosy.com/asset/reviews

※3 Please refer to the research published by the Ministry of Internal Affairs and Communication of Japan on “the evolution of the habits of the public as regards means of communication.”

※4 The research was published by Tokyo Shoko Research

※5 Inventory turnover refers to the period of time it takes for a stocked listing to be sold from the time ownership has been acquired. The average turnover time is 14 days for RENOSY (statistics in 2020) against an average of 277.5 days (statistics in October 2020) in industry.

※6 Number of RENOSY members per October 2021; number of ads available per October 2020

CONTACT: Judy Yu[email protected], +81-3-6230-9180

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SOURCE GA technologies Co., Ltd.

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