Gen Z saves to enjoy travel, short-term goals and started investing at a younger age: HSBC

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‘Nearly half of our Gen Z respondents prioritise saving for short-term goals, often linked to enjoying life,’ survey shows

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Salina Li

Published: 8:08pm, 28 Oct 2024

A new survey from HSBC showed that seven out of 10 members of Generation Z view travel as a key motivation for work and that they started investing at a younger age than previous generations.

“Lifestyle preferences and financial needs differ across generations,” said Brian Hui, head of customer propositions and marketing of wealth and personal banking at HSBC Hong Kong. “Nearly half of our Gen Z respondents prioritise saving for short-term goals, often linked to enjoying life.”

Members of Gen Z, who were born between 1997 and 2012, embrace “a ‘play hard, work hard’ mindset, they tend to enjoy life and live in the moment, but they also exhibit a strong degree of financial discipline, balancing their enjoyment-related discretionary spending with their long-term financial goals”, according to the survey. The “HSBC One 2024 – Decoding Gen Z” study, released Monday, surveyed 1,253 Hong Kong and Greater Bay Area residents aged 18 to 34 in June and July to gain insights into their investment and lifestyle priorities.

The survey showed that 71 per cent of Gen Z members said travel was their main motivation for working – surpassing home ownership and starting a family – as some respondents said “purchasing property feels far-fetched for them, indicating a preference for work that brings personal enjoyment, particularly through travel”.

Over the past year, these respondents said they travelled an average of three times, spending around HK$35,000 (US$4,504), or about 13 per cent of their income.

Also, Gen Z members spend nearly 10 per cent more on entertainment than other generations. But they also save more: HK$6,014 each month, or 28 per cent of their income, the highest among all generations, the survey revealed.