Prudential Financial: Asian Americans stress financial security of extended family, retirement savings

NEWARK, N.J.–(BUSINESS WIRE)–In one of the largest financial-focused studies of the Asian American
and Pacific Islander community to date, Prudential Financial, Inc.
(NYSE:PRU), found that this culturally and geographically diverse
segment is united by a shared focus on the financial progress, stability
and security of their extended families.


Prudential’s 2016
Asian American Financial Experience
surveyed more than
2,000 self-identified Asian Americans and found that the median assets
reported by respondents are approximately $100,000 higher than the U.S.
general population. They also place a higher priority on family-related
financial goals. Prudential’s survey also found that most in this
community – one of the fastest growing population segments since 2000 –
face the same financial challenges as the U.S. general population, such
as saving for retirement and managing household budgets.

“America is more diverse than ever, which means we need to understand
the unique financial situations faced by such communities as Asian
Americans,” said Sri Reddy, senior vice president and head of Full
Service Investments at Prudential Retirement. “Taking the time to
partner with and learn about what they value and need is imperative for
us to ensure that everyone has an opportunity to achieve their financial
goals.”

Importance of the family and retirement

Prudential’s report shows that the Asian American financial experience
is influenced in almost every aspect by the importance of family. Like
the U.S. general population, Asian American respondents cited having
enough money to maintain current lifestyles as their top financial
priority. However, Asian American respondents cited not becoming a
financial burden to loved ones as their next important goal, while the
general population pointed to debt reduction as their second most
important goal.

Among key findings:

  • Approximately 33% of Asian Americans surveyed identify themselves as
    caregivers for another person (e.g., spouse, parent, relative),
    compared to 22 percent of the U.S. general population.
  • 20 percent of Asian American respondents indicated that they provide
    financial assistance to their relatives, versus only 6 percent of the
    U.S. general population.

“Today’s Asian Americans are devoting substantial resources to helping
their families, and many also want to retire at an earlier age than most
Americans,” said Reddy. “The feedback we’ve gathered shows that the need
for a nuanced, culturally acute roadmap to help Asian Americans realize
their financial goals has never been greater.”

A Culturally and Financially Diverse Community

While the report identifies cultural and financial differences in
subgroups that make up the Asian American community, Prudential’s report
also explores important differences between the various subgroups that
make up the Asian American population and its unique financial
characteristics.

Among key findings:

  • With higher-than-average education levels and more professional
    careers relative to other Asian Americans, Chinese Americans tend to
    have higher incomes, higher asset levels and greater equity in their
    homes.
  • Indian Americans are more likely than other Asian Americans to
    describe themselves as savers, and to report the highest levels of
    knowledge regarding all financial topics.
  • Japanese Americans generally have an optimistic outlook on their
    finances, and believe they would be able to sustain their household
    longer than other Asian Americans in the event of a loss of income.

Prudential released the report today during an event at the Asia Society
in New York City, featuring Reddy, Hurong Lou of Prudential Advisors,
and Smriti Sinha of Prudential Individual Life Insurance as panelists,
and Bloomberg Television’s Betty Liu as moderator.

For more information about The 2016 Asian American Financial
Experience, 
please visit www.prudential.com/asianamerican

About Prudential Financial

Prudential Financial, Inc. (NYSE:PRU), a financial services leader with
more than $1 trillion of assets under management as of June 30, 2016,
has operations in the United States, Asia, Europe, and Latin America.
Prudential’s diverse and talented employees are committed to helping
individual and institutional customers grow and protect their wealth
through a variety of products and services, including life insurance,
annuities, retirement-related services, mutual funds and investment
management. In the U.S., Prudential’s iconic Rock symbol has stood for
strength, stability, expertise and innovation for more than a century.
For more information, please visit www.news.prudential.com.

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Contacts

For Prudential Financial:
Linda Fung, 973-802-7373
linda.fung@prudential.com