KUALA LUMPUR (Nov 4): Affluent Malaysians estimate that they will need nearly RM4 million on average for a comfortable retirement, according to the latest HSBC survey.

The retirement pot required is lower than those surveyed in Hong Kong and Singapore, but higher than India and Indonesia, according to HSBC’s Quality of Life Report 2024. A large majority of 73% of the affluent Malaysians say that they are on track with their retirement goals, the report said.

“Savings alone may be insufficient, and this is where financial planning and making the right investments and protection decisions is imperative,” said Linda Yip, the country head of wealth and personal banking at HSBC Malaysia.

The report surveyed over 11,000 affluent individuals — defined as those having investable assets of US$100,000 (RM436,225) to US$2 million — across 11 markets including Malaysia. The survey conducted in March 2024 through an online survey of nearly 500 affluent Malaysians.

Almost half of those surveyed who are currently working want to continue to do so after retirement. Decline in physical health, higher healthcare costs, and inflation are the top three retirement concerns, the reported showed.

Given the concerns over healthcare, 44% of affluent Malaysians rank having adequate insurance coverage as a top financial goal, the report said.

Further, half of the affluent Malaysians are the so-called power planners who plan out their retirement extensively, the second highest among the markets surveyed.