Approximately half of Chinese investors holding assets greater than 1 million yuan (around HK$1.15 million) intend to increase their investments in Hong Kong and the United States over the next year, according to a recent survey, despite regulatory actions by Beijing targeting cross-border brokerage activities.

The DBS Treasures Affluent Investor Survey, conducted between June and July, polled 1,617 individuals in Hong Kong and mainland China, each with at least HK$1 million or 1 million yuan in assets in their respective markets. The findings reveal that Hong Kong and the U.S. remain the top destinations for mainland Chinese investors, with 51 percent and 41 percent of respondents, respectively, planning to boost their allocations in these markets over the next 12 months. Mainland China, meanwhile, was favored by 40 percent of local investors as their preferred market.

This survey follows a regulatory crackdown in May by mainland authorities aimed at controlling illicit capital outflows. Key brokerage firms, including Tiger Brokers, Futu Securities International, and Long Bridge, were fined for engaging in illegal cross-border stock trading. In response, Hong Kong’s Securities and Futures Commission and the Hong Kong Monetary Authority implemented stricter oversight on mainland clients.

DBS reported no significant impact on its business from the increased regulatory measures, attributing this to strict compliance. Amy Hsieh from DBS noted that the diversification trend extends beyond China, with affluent investors globally also increasing their allocations to alternative assets such as gold, silver, and hedge funds.

Mainland Chinese stock markets have underperformed this year. The Shanghai Composite Index declined by 3.9 percent year to date as of late July. While sectors like semiconductors drew investor interest amid renewed enthusiasm linked to artificial intelligence developments, demand has cooled recently. In contrast, the Korea Composite Stock Price Index, benefiting from chip industry growth, has advanced 57.7 percent this year. The U.S. S&P 500 Index also recorded a 9.7 percent gain in the same period.

Hong Kong equities, represented by the Hang Seng Index, fell 5.5 percent in 2026, partly due to lower exposure to the semiconductor cycle. Nevertheless, the market still offers lower valuations and a broader range of investment products, according to Hsieh.

Despite the increased interest in overseas markets, mainland investors remain cautious with their outlook for 2026. Expected returns for the year declined to 8.1 percent from 10.1 percent a year earlier, while Hong Kong investors also lowered their return expectations by 0.5 percentage points to 7.9 percent.

Amid ongoing economic uncertainties, the survey found a growing emphasis on long-term growth among affluent clients in both Hong Kong and mainland China, with 66 percent indicating it as their primary wealth objective, up from 57 percent the previous year.