Technology presents both risks and opportunities for investors in 2025, a new survey finds.

Notably, 44% of high-net-worth ( HNW ) individuals expect advancements in artificial intelligence ( AI ) and technology to create significant investment opportunities this year. Conversely, 47% identify technological disruptions as the leading investment risk, according to the latest HSBC Private Wealth Market Pulse Survey, which was conducted ahead of the Private Wealth Sessions at the HSBC Global Investment Summit 2025 in Hong Kong.

The survey polled 200 high-net-worth individuals in Hong Kong and Singapore to assess the impact of recent megatrends on investor sentiment across these two wealth hubs.

Geopolitical developments are cited as the next leading megatrend driving divided sentiment among HNW investors, with 22% of respondents viewing them as investment opportunities, while 27% considering them a risk. Overall, a vast majority of respondents ( 92% ) maintain a neutral to positive outlook for Asia's economic prospects in 2025.

Optimism for key equity markets remains amid recent volatility, with more than half ( 55% ) of surveyed investors forecasting at least 5% to 10% increment in the S&P 500, Hang Seng Index and Straits Times Index by the end of this year.

“These findings come at a period when investors are seeking timely and reliable insights to help them cut through the market noise and navigate unpredictability in global financial markets,” says Lavanya Chari, head of wealth and premier solutions at HSBC.

The survey also explores perceptions of AI's impact on corporate earnings. While nearly 40% of respondents believe AI is an overhyped profit driver, 31% think it will enhance corporate efficiency despite increased costs. Additionally, 24% consider AI a significant contributor to earnings growth.

Amid the backdrop of global uncertainties, two-thirds of investors gravitate towards more stable income streams and investment options, with 37% of them citing fixed income as their top long-term asset class of choice in the next decade, whereas 30% choose foreign currencies and commodities for their long-term portfolios. About 15% of HNW investors believe that alternative investments offer the best long-term opportunities.

“This survey shows us that high-net-worth investors are experienced in adopting a multi-asset investment strategy to capture the diversification benefits from multiple markets and asset classes,” says Lok Yim, regional head of global private banking, Asia-Pacific, at HSBC.

Geopolitical uncertainty has not eroded confidence with 43% of respondents planning to find the best long-term opportunities in North America over the next decade, followed by 28% naming Asia as their second most favourable investment destination.

To manage risk and volatility, close to half ( 46% ) of wealthy individuals are well-versed in employing multiple portfolio diversification and active investment switching strategies. Investors seem to prefer the "stay invested" approach, with only 11% choosing to hold cash.