Investment updates

How does the peaking of interest rate affect time deposit interest ratesWith nearly a year and a half into the Fed tightening, interest rates on fixed deposits (FD) have become very attractive. Some banks have hiked their FD rates so much that they are now offering 4% - 5% for longer tenors. While many investors have put more money into fixed deposits and are hoping to keep getting the same high interest rate upon maturity rollover, it seems like the era of rising interest rates is very close to its tail end.<img class="fullwidth" src="/media/images/photo.2e16d0ba.fill-1254x836.jpg" alt="photo" />John C. Williams, President of the Federal Reserve Bank of New York, said in an interview that he didn’t see a need for more than one Fed rate increase in 2023.“We’re pretty close to what a peak rate would be, and the question will really be — once we have a good understanding of that — how long will we need to keep policy in a restrictive stance, and what does that mean?” Mr. Williams said in early August.The economy is approaching a pivot point, one that has many consumers wondering when rates will come back down, how quickly and how much.What could fixed deposit investors do?Some investment managers believe that there&#x27;s no guaranteed investment strategy for when interest rates peak, but there are several potential investments that can help to contain risk and form a portfolio for more gains in the months and years ahead.<ul><li data-block-key="2l9fu">U.S. government bonds</li><li data-block-key="8ua20">Global government bonds</li><li data-block-key="694an">Emerging market government bonds</li><li data-block-key="7srnt">Asian aggregate bonds</li></ul>Time to go back to asset allocation?When interest rate stop rising or start sliding, asset allocation becomes important again. It’s because of its proven ability to balance risk and reward by apportioning a portfolio&#x27;s cash, bonds and equities according to an individual&#x27;s goals, risk tolerance, and investment horizon.Taking WeLab Bank GoWealth Digital Wealth Advisory as example, the performance of the mixed asset (equity and bonds portfolios) since their launch in June 2022 delivers as high as 12.7%*.<img class="fullwidth" src="/media/images/wm-index-webpage-2-en-v3.2e16d0ba.fill-1600x1371.png" alt="wm-index-webpage-2-en-v3" /><a href="https://www.welab.bank/media/documents/EN_gowealth_index.pdf">Learn More</a>Investors may expect to go with a balanced portfolio to ride the asset performance outlook in the coming years. Some investment managers think that investing in different asset classes such as bonds and equities’ mix can diversify the market risks.The following charts showed examples of scenario analysis based on the following assumptions on 14 September 2023 for three of the portfolio recommendations* of WeLab Bank GoWealth Digital Wealth Advisory. Assuming the customer risk rating is 5; total investment amount is HKD 100,000, investment horizon is 5 years, below are the fund weight, the stimulation results in adverse and favorable scenarios** for reference.<img class="fullwidth" src="/media/images/1.2e16d0ba.fill-1254x498.jpg" alt="1" /><img class="fullwidth" src="/media/images/2.2e16d0ba.fill-1254x498.jpg" alt="2" /><img class="fullwidth" src="/media/images/3.2e16d0ba.fill-1254x498.jpg" alt="3" />*The above charts illustrate the performance of the portfolio recommendation under adverse and favorable scenarios as well as the target wealth for reference only. The portfolio recommendation of WeLab Bank GoWealth Digital Wealth Advisory considers your latest inputs and personal circumstances specific to the goal. Your risk appetite, risk capacity, goal-specific investment objective and investment horizon, investment product knowledge and experience, and your financial situation will also be assessed upon order placement. However, the recommendation is not a guarantee of future result nor guarantee that you will achieve your goal. Before investing, you should carefully consider your investment objective, risks, charges and expenses and seek independent professional advice if necessary. For details of the portfolio recommendation please refer to the FAQ section of the GoWealth Digital Wealth Advisory Services.**The adverse and favourable scenarios are statistical projections of your portfolio values at the 10th and 90th percentile based on the goal settings, investment plan, model portfolio and capital market forecast. Please be reminded that the price of funds may move up or down, and may become valueless.Note: We formulate GoWealth Investment Portfolio Index for bond portfolios, mixed asset portfolios, and equity portfolios respectively, aiming at illustrating the performance of the investment portfolios of GoWealth since launch. The Index is provided for reference only and does not constitute any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. Investment involves risks. Past performance is not indicative or guarantee of future results. You should not regard the index as a prediction or guarantee of future performance.For details of the index, including its calculation method, source of information and purposes, please refer to the relevant report.Importance Notice This document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons. The investment products or services mentioned in this webpage are not equivalent to, nor should it be treated as a substitute for, time deposit. The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse such information or opinion. Investment involves risk. The price of an investment fund unit may go up as well as down and the investment funds may become valueless. Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be). You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed. WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities. This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

GoWealth

How much longer will cash still be king?

This article explains the appealing blend of defensive qualities and growth potential of Healthcare sector within the current market environment.3 Important Points:<ol><li data-block-key="207ld">The healthcare sector exhibited superior performance compared to the overall market in 2022 and has continued to generate positive returns during the first half of 2023. This is consistent with its track record of minimizing losses during significant market downturns.</li><li data-block-key="dp25o">Simultaneously, there has been a surge in global demand for healthcare services and advancements in medical technology, which has contributed to revenue growth in various segments of the sector.</li><li data-block-key="7vcgo">The combination of defensive characteristics and growth opportunities could be a valuable source of diversified returns.</li></ol><img class="fullwidth" src="/media/images/market-buzz-blog-aug30-5.2e16d0ba.fill-1254x836.png" alt="market-buzz-blog-aug30-5" />The healthcare sector continues to witness a steady and escalating global demand for medical care services, which has been instrumental in upholding its resilience during market downturns. This was clearly evident in 2022, as exemplified by the MSCI World Health Care Index&#x27;s return of -5.4%, compared with MSCI World Index&#x27;s decline of -17.7%. Moreover, during the period from January to July 2023, the MSCI World Index has already recorded a substantial increase of 19.34%, while the MSCI World Health Care Index exhibited a mild growth of 2.43%. Nevertheless, it is important to note that the healthcare sector is also experiencing notable expansion, presenting investors with an additional potential avenue for diversified returns.<img class="fullwidth" src="/media/images/market-buzz-blog-aug30-1.2e16d0ba.fill-1254x465.png" alt="market-buzz-blog-aug30-1" />Rapid innovation and growthThe advancements in genomic sequencing and other biomedical tools over the past two decades have revolutionized the field of disease targeting and treatment. These breakthroughs encompass a wide range of methods, including antibody drug conjugates, gene therapies, and remote glucose monitors, which have the potential to significantly enhance the standard of patient care. In some cases, rare diseases that were once considered incurable can be addressed.In order to foster and support such research endeavors, regulatory authorities have established expedited pathways for the review process of medications that target high unmet medical needs. As a result of these initiatives, there has been a remarkable increase in the number of newly approved drugs. Specifically, from 2018 to 2022, the Food and Drug Administration (FDA) granted approval to nearly 250 novel drugs, representing a 100% surge compared to the approvals granted 15 years ago (Image 1). Similarly, during the same five-year period, the European Medicines Agency (EMA) approved over 200 therapies.Image 1: Food and Drug Administration (FDA) approvals of novel drug<img class="fullwidth" src="/media/images/market-buzz-blog-aug30-2.2e16d0ba.fill-1254x686.png" alt="market-buzz-blog-aug30-2" />The emergence of new therapies coincides with a significant surge in the demand for medical care. This increased demand can be attributed to factors such as the growing household wealth and the expansion of both public and private insurance coverage. For instance, in China, government reforms implemented over the past decade have resulted in approximately 95% of the population being covered by the country&#x27;s basic insurance program. Moreover, China&#x27;s reimbursement for pharmaceuticals has also expanded, with more than 100 therapies being added to the National Reimbursement Drug List in 2022.Another influential factor contributing to the rising demand for medical care is the aging global population. It is projected that by 2050, approximately 16% of the world&#x27;s population will be over the age of 65. This demographic group tends to spend around three times more on healthcare compared to younger individuals. This demographic shift is particularly significant in high-income regions.The combination of rapid innovation and increased demand has led to substantial revenue growth in the healthcare sector. Sales of blockbuster biotech drugs, which are defined as drugs with annual sales of $1 billion or more, surpassed $400 billion in 2021, marking a seventy-fold increase compared to approximately two decades ago. Furthermore, the market for COVID-19 products, which did not exist three years ago, contributed $75 billion to the total revenue in the same year.The Defense Proof PointsIn the face of increasing interest rates impacting financial markets, the healthcare sector exhibited superior performance compared to broader equity indices. This trend is not an isolated occurrence.　Over the period from 2000 onwards, healthcare has consistently demonstrated resilience by experiencing only a 47% average exposure to market downturns of 15% or more (refer to Image 2). This can be attributed, in large part, to the strong performance of large-cap health insurance and pharmaceutical companies. These entities, characterized by stable demand and pricing power, have shown a capacity to thrive irrespective of the prevailing economic conditions.Image 2: Healthcare has outperformed in past drawdowns<img class="fullwidth" src="/media/images/market-buzz-blog-aug30-3.2e16d0ba.fill-1254x641.png" alt="market-buzz-blog-aug30-3" />Attractive ValuationsIn recent months, investors have displayed a greater inclination to reward innovation, resulting in notable gains (100% or more) for certain stocks upon the release of positive news. These favorable returns are facilitated by attractive valuations in the healthcare sector. The forward price-to-earnings (P/E) ratio of the sector currently resides below its long-term average (refer to Image 3), and numerous biotech companies are trading at prices lower than the value of cash on their balance sheets. The alluring low valuations have also piqued the interest of large-cap biopharma companies, as evidenced by several mergers and acquisitions announced last year at premiums exceeding 100%. Given the impending patent cliffs faced by certain biopharma companies in the coming decade, anticipate the possibility of further deals materializing in 2023.Image 3: The valuations of healthcare have fallen to below average levels<img class="fullwidth" src="/media/images/market-buzz-blog-aug30-4.2e16d0ba.fill-1254x734.png" alt="market-buzz-blog-aug30-4" />While the healthcare sector faces various challenges such as labor shortages, regulatory pressures, and declining sales related to COVID-19 would continue to bring negative effect on certain stock names. However, the long-term outlook of the healthcare sector more than makes up for any near-term headwinds. The opportunity to generate returns that are not closely corrected – while simultaneously delivering benefits for patients – is becoming increasingly robust.Our Featured Funds Services consolidate investment ideas and hot funds1. “Healthcare” is one of the themes available in the Services. Log in to WeLab Bank app, tap the “GoWealth” at the right bottom corner &gt; “Pick you own funds” &gt; “Featured Funds” &gt; “Equity” &gt; “Healthcare”, to learn more.Remarks: (1) We categorise the funds into different investment themes set by us based on the funds&#x27; information and provide theme descriptions. Information relevant to the funds and categorisation is for reference only and does not constitute a solicitation, offer or investment advice.Importance Notice This document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons. The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse such information or opinion. Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be). You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed. WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities. This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Healthcare sector outperforms again in 2023: Defensive Growth and Attractive Valuations

In July, we held an investment seminar and invited J.P. Morgan Asset Management, one of the top global investment institutions, to share insights on A.I. technology. Click to watch a 4 mins guide.J.P. Morgan Asset Management’s 4 important points:<ol><li data-block-key="r3sd">One of the factors that influences long-term economic growth potential is technology, as it expands the potential for economic growth. During an economic recession, the technology stocks under J.P. Morgan Asset Management experienced a decline of about 2% in earnings in 2023, but we expect a growth of 14% in 2024.</li><li data-block-key="c1560">This A.I. boom is somewhat different from previous bubbles. This A.I. boom is happening during a period of interest rate hikes, whereas many previous bubbles occurred during rate cuts and low-interest rate environments.</li><li data-block-key="4dulf">Compared to the dot-com era in 2000, today&#x27;s A.I. technology has been applied in many different aspects of life practically, which has created an ecological chain for investment. Instead of just investing in one company that has appreciated, why not invest in a series of companies that benefit from A.I.</li><li data-block-key="89hgd">The benefit of buying U.S. stocks through fund companies, is that they have professional teams which are capable to help customers discover various small and medium-sized or new star technology companies which have high potential, instead of the top 10 companies only.</li></ol><div class="video-container" src="https://www.youtube.com/embed/4NIJJ--NlDU"><iframe src="https://www.youtube.com/embed/4NIJJ--NlDU"> </iframe></div>Importance Notice This document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons. The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse such information or opinion. Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be). You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed. WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities. This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

A.I. bubble? Expert analyzes the future investment opportunities of A.I. technology

Today’s fixed income market - equity - like returns with lower level of riskThis article presents how bond fund strategy pursues higher yields and the potential for price appreciation that fixed income is now offering, while endeavoring to remain resilient in the face of economic uncertainty.<img class="fullwidth" src="/media/images/shutterstock_1916887211_resized.2e16d0ba.fill-1254x836.jpg" alt="shutterstock_1916887211_resized" />Liquidity vs. Credit Quality, or both?Some fund managers’ base case projections predominant forecast core inflation to trend lower but linger above central bank targets for a few quarters in the United States, Europe, and some other developed economies. This journey to central bank targets may also be bumpy and could include a slight reacceleration in core inflation in the coming months. Consequently, the likelihood of experiencing at least a mild recession before central banks get inflation back close to target levels may be higher than 50%.Given the uncertain economic trajectory, some fund managers are actively prioritizing the enhancement of credit quality within their Income portfolios. At the same time, they are striving to maintain sufficient liquidity to purse resilience and flexibility in the face of this uncertainty.Diversifying the portfolioAlso, some fund managers are optimizing the flexibility to invest across various credit qualities, sectors, geographies, and maturities.This approach allows them to take advantage of compelling yields offered by high-quality assets, with potential downside resilience and price appreciation even during a recession. The anticipation is that global volatility will continue into 2024, creating favorable conditions for some proactive fund managers.Furthermore, some fund managers have capitalized on market dislocations in high-quality assets resulting from fear or abrupt shifts in economic expectations. They have particularly focused on higher-quality and liquid securitized market segments, such as agency mortgage-backed securities (MBS), to leverage the ongoing market volatility.What are being avoided?Some fund managers have made strategic adjustments in their investment approach of fixed income strategies, they have shifted out of lower-rated and more economically sensitive corporate credit – which has limited covenants to support investors – while a bit more neutral on investment-grade corporate credit.Additionally, caution is exercised in the senior secured loan space as these loans have floating interest rates, leaving borrowers – many of which are smaller, heavily leveraged companies – facing sharply higher debt service costs. The credit fundamentals in this sector may likely deteriorate, leaving it a vulnerable area of the market in the event of a harder landing.Furthermore, some fund managers have reduced their exposure to emerging markets over the past few years and shifted their focus towards more defensive sectors, such as agency mortgages and other structured products.With the Fed approaching the end of its tightening cycle, some fund managers perceive the U.S. dollar as overvalued against various global currencies, including some in emerging markets. Consequently, some fund managers are using the small position in emerging markets as prudent source of diversification for the overall investment strategy.Remarks: This article is only aimed at giving an overview on some fund manager’s strategies in general. For investment strategy of particular fund, investors should refer to the relevant offering documents.Importance Notice This document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons. The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse such information or opinion. Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be). You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed. WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities. This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

How bond fund strategy pursues higher yields?

When the interest rate hike cycle is nearing the end, what investment strategy is most advisable?In July, we held an investment seminar and invited Allianz Global Investors, one of the top global investment institutions, to share the insights on diversified equity and bond mixed assets funds. Click to watch a 3 mins guide.Allianz Global Investors’ 2 important points:<ol><li data-block-key="2au14">Regarding the possibility of an economic recession, expert from Allianz Global Investors believes that there is no need to be overly pessimistic about the economic outlook, as the US unemployment rate is currently situated between 3.6% to 3.7%. When the US unemployment rate is not too bad, recession is likely to be mild.</li><li data-block-key="6r37s">Considering Convertible Bonds (CB) in asset allocation allows it to be capable to attack and defense, providing income while enjoying the potential upside of the equity market if it continues to rise.</li></ol><div class="video-container" src="https://www.youtube.com/embed/HKWrrhGssfI"><iframe src="https://www.youtube.com/embed/HKWrrhGssfI"> </iframe></div>3 characteristics of Allianz Global Investors’ Income and Growth strategy:<ol><li data-block-key="bfoqf">Could provide dividend potential and help investors to capture potential source of income</li><li data-block-key="encpg">3 asset classes, 1 goal: seek potential income and growth</li><li data-block-key="dagio">Potential for upside participation of equity market with diversification</li></ol>Funds in theme of Income Generators#:AllianzGI, Blackrock, Janus Henderson, JPMorgan Asset Management and SchroderPlease log in to WeLab app &gt; “GoWealth” at the right bottom &gt; “Pick your own funds” &gt; “Featured Funds” &gt; “Income Generator”#For fund information, please log in to the Featured Funds Services of WeLab Bank app to browse the fund theme.Importance Notice This document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons. The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse such information or opinion. Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be). You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed. WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.

Investment expert teaches you how to analyze in 3 mins

On August 1, Fitch Ratings downgraded the U.S.’ long-term credit rating from AAA to AA+.While looked surprising as it came after June’s resolution to the debt ceiling negotiations, investment managers do not regard the action a surprise as Fitch Ratings had said back in May that the U.S. was under a negative rating watch, and S&amp;P already downgrade the U.S. to AA+ in 2011.Only Moody’s, the remaining major ratings agency to maintain its AAA rating on U.S. debt. This downgrade makes the rating of the US more consistent with those of other countries: France and the United Kingdom are AA; Japan is A; and Germany, Switzerland, and Singapore are AAA.The action said anything to U.S.’s ability to repay its debt?The answer is “very little”. Fitch defines AAA borrowers exhibit “exceptionally strong capacity” to meet their financial commitments, whereas AA issuers exhibit “very strong capacity.” In investment managers’ view, the differences are more nuanced than they are pronounced.Investment managers’ outlook on the situationAs a result of the tightening of credit conditions and the cumulative effect of 5.25% of rate hikes, the U.S. economy is expected to soften in the months ahead and inflation to continue to moderate. Investment managers believe that risk markets are pricing in a relatively soft landing. The sheer volume of debt owed by governments, corporates, and individuals nevertheless means that rates don’t need to climb as far as in the past to have the identical effect. Consequently, investment managers think the Federal’s interest rate tightening cycle – increasing interest rates to cool inflation – is nearing the end, and it is positive for bond markets.Investment managers’ strategy moveLonger-dated bonds offer a wider potential for capital gains, although they also come with increased interest rate risk. Therefore, investment managers carry on favoring harvesting yields on the short end of the yield curve, while selectively adding duration* to provide much-needed defensive characteristics in the case of an economic slowdown.Global risk appetite may start rising later this year as markets ultimately look forward to and discount an economic recovery next year.What needs to be watched out for?<ul><li data-block-key="7imk4">Some digestion of stock market gains and the potential for a minor pullback in the near term as markets reprice when the Fed begins to cut rates.</li><li data-block-key="8ok6q">US yields may potentially move higher because of a confluence of developments, including this downgrade.</li><li data-block-key="bvec6">The issuance of more US debt.</li></ul>* Duration measures a bond price’s sensitivity to changes in interest rates. The longer a bond’s duration, the higher its sensitivity to changes in interest rates, and vice versa.Importance NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse such information or opinion.Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Fitch downgrades US credit rating from AAA to AA+

&quot;I need some quick cash! Which bank should I borrow money from?&quot; No matter how pressing the matter, it&#x27;s crucial to first grasp the fundamental concept of personal loans. Today, WeLab Bank will walk you through the key considerations for personal loans and provide a comparison of loan plans among virtual banks, traditional banks, and financial companies.A personal loan refers to individuals applying for loans from banks or other financial companies for personal use, investments, or other non-business purposes. Personal loans fall under the category of unsecured loans, meaning no collateral is required. Repayment is structured with fixed monthly amounts over a set period. Early repayment may incur an additional fee known as a penalty interest. Various loan product categories exist in the market, including mortgages, cash-out refinancing, car loans, revolving loans, tax loans, and more.Calculating Loan InterestWhile loans serve different purposes, most common loan in the market is installment loan. Although the monthly repayment amount remains consistent, the proportion of principal and interest within each installment can vary. The proportion of interest and principal in each monthly repayment is calculated according to the Straight-line method or Rules of 78. Let me tell you what the Straight-line method is. In this method, the interest is calculated based on the outstanding principal and allocated to the repayment period. The amount of monthly repayment apportioned to interest is the highest at the beginning and gradually decreases across the repayment periods.Illustration of showing the proportion of interest and principal in each monthly repayment using straight-line method, and the monthly interest decreases as the principal decreases:A customer borrows HK$120,000 (i.e. the loan principal) for 12 months, at a monthly flat rate of 0.14% and handling fee is waived. Annual Interest rate is 3.09% and APR is 3.13%.Monthly interest = HK$120,000 x 0.14% = HK$168Total interest for the full term = HK$168 x 12 months = HK$2,016Monthly repayment = HK$(120,000 + 2,016) ÷ 12 = HK$10,168First Term interest= HK$120,000 x 3.09% ÷ 12 = HK$308.7First Term principal= HK$ (10,168-308.7) = HK$9,859.3Second term interest = HK$ (120,000-9,859.3) x 3.09% ÷ 12 = HK$283.6If mathematics isn&#x27;t your strong suit, this may seem a bit perplexing. Simply put, during the initial stages of repayment, the interest portion outweighs the principal portion. As the repayment progresses, the principal portion increases while the interest portion decreases.Understanding Effective Annual Interest Rate and Monthly Flat RateBefore selecting a suitable loan institution, as an astute borrower, it&#x27;s essential to acquaint yourself with key terms such as &quot;Monthly Flat Rate&quot; and &quot;Annual Percentage Rate (APR).&quot; So, what exactly is the Monthly Flat Rate? Let&#x27;s assume you borrow HKD 10,000 for 12 months with a Monthly Flat Rate of 1%. This implies that you&#x27;ll pay HKD 100 in interest each month, resulting in an annual interest of HKD 1,200. Many financial companies entice customers with exceptionally low Monthly Flat Rates, sometimes even below 0.1%. However, the Monthly Flat Rate alone doesn&#x27;t provide a comprehensive picture of the borrowing cost. Conversely, the &quot;Annual Percentage Rate&quot; combines loan interest with various fees, converting them into a reference annual interest rate. This helps consumers compare the borrowing costs of different loan products. When comparing, it&#x27;s crucial to consider the APR.Important Considerations before Applying for a LoanNow that you’ve done comparing the borrowing costs, are you good to proceed with the application? Hold on! Before applying for a loan, there are other factors to be mindful of.<ul><li data-block-key="b90m">Evaluate your personal repayment ability and loan amount: Each loan plan has a different maximum borrowing limit. However, being eligible for a loan does not mean you should borrow to the maximum. Before applying, consider your actual needs and repayment capability.</li><li data-block-key="a0c8u">Pay attention to hidden details and additional charges: There&#x27;s no such thing as a free lunch. When choosing a loan, be cautious when you see &quot;0% interest&quot; or extremely high cashback offers. Be aware that besides interest, there may be additional fees such as processing fees, annual fees, and penalty interest. Therefore, when calculating the borrowing cost, remember to take other related fees into account.</li></ul>Comparison of Virtual Banks, Banks, and Financial Companies for LoansAfter understanding the important considerations, many people might wonder which bank is the best for borrowing money and what advantages financial companies offer. Let&#x27;s dive into a loan comparison and analyze the differences between virtual banks, traditional banks, and financial companies! In Hong Kong, institutions that provide personal loans can be broadly classified into two main categories: traditional banks and financial companies. Traditional banks offer better interest rates to customers with good credit records, but the approval process is lengthy and the application procedures are complex. On the other hand, financial companies provide some quick approval options and online personal loans, and they tend to be more lenient towards customers with lower credit scores. However, the trade-off is higher interest rates. In comparison, virtual banks combine the best of both worlds:<ul><li data-block-key="3o5r3">Competitive loan interest rates: Loan interest rates depend on various factors such as the individual&#x27;s debt situation, past repayment records, and TU credit ratings. However, virtual banks generally offer competitive interest rates, and in some cases, the lowest actual annual interest rates can even be lower than those offered by traditional banks.</li><li data-block-key="ao6v6">Simplified application process: Virtual banks leverage financial technology, making the loan application process simpler. Loan applicants are often not required to submit income proof, and the banks can utilize advanced systems and big data analysis for faster approval. However, it&#x27;s worth noting that some virtual banks may request additional supporting documents based on individual circumstances.</li><li data-block-key="4974p">Fast approval time: While some traditional banks and financial companies claim to offer fast approval for loans, virtual banks can further expedite the process through their technological capabilities. For instance, WeLab Bank can achieve same-day fund transfers1 in the fastest cases.</li></ul>WeLab Bank Loan ProductsBefore borrowing, it is crucial to carefully consider various factors and conduct a comprehensive loan comparison to select the most suitable personal loan solution based on individual financial circumstances. Are you in need of financial assistance? WeLab Bank offers a wide range of loan products tailored to different needs.<ul><li data-block-key="bfg8v">Personal Installment Loan: Whether it&#x27;s for significant or minor expenses, you can make use of the personal installment loan to fulfill your dreams, such as purchasing a car, renovating your home, funding education, traveling etc. WeLab Bank&#x27;s personal installment loan offers loan amounts of up to HKD 1,500,000 or 18 times your monthly salary (whichever is lower) and boasts actual annual interest rates as low as 1.27%2. The repayment period can range from as short as 6 months to as long as 60 months, granting you greater flexibility.</li><li data-block-key="579i6">Debt Consolidation Loan: When faced with difficulties managing multiple credit card balances or personal loan balances, paying only the minimum amount does not provide much relief. WeLab Bank&#x27;s debt consolidation loan allows you to consolidate the balances from multiple credit cards or loan into a single low-interest loan with a fixed term, facilitating more effective debt management.</li></ul>In addition, WeLab Bank also offers the Tesla Unsecured Loan and the Subscribe+ for Apple Products feature. Whether you want your dream car or sought-after electronic products, we can help you acquire them more easily! Still undecided on which bank to borrow money from? WeLab Bank might just be the perfect answer!To borrow or not to borrow? Borrow only if you can repay!1 The estimated period is calculated from the day the loan agreement is signed. The actual approval period and the actual time the loan is disbursed may vary upon information provided by the applicants.2 Assume the loan amount as HKD700,000 with tenor of 24 months, the APR will be 1.27% (inclusive of HKD3,000 cash rebate) or 1.68% (excluding cash rebate). The APR is calculated according to the guidelines issued in respect of the Code of Banking Practice and rounded to the nearest 2 decimal places and may vary for individual customers. Customers should refer to their loan confirmation letters for the relevant information and such information shall prevail. The APR only applicable to designated loan amount and tenor and for reference only. The final approved interest will be subjected to the bank’s approval.

Loan

Choosing Personal Loans: A Comparison of Virtual Banks, Traditional Banks, and Financial Companies

For many investors, the hottest topic this year is undoubtedly the US interest rate cycle. Will the US interest rate cycle come to an end? When will it end? If it continues, how many more times will it increase? Two times? Or several times?In the current market conditions, what opportunities are there and what areas should we pay attention to? To help investors clarify these questions, we held an investment seminar on July 20, inviting top global investment institutions to exchange investment insights and share their views with investors. Regarding the US interest rate cycle, PIMCO expert provided the following insights for reference.PIMCO&#x27;s 3 important points:<ol><li data-block-key="1j5ga">PIMCO experts believe that whether the US interest rate cycle continues in the second half of 2023 is not important, as what is important is that interest rates are about to peak.</li><li data-block-key="13qsb">PIMCO experts expect that the easing cycle will begin in the first or second quarter of next year. Past data has shown that during the easing cycle, debt performance is better than fixed deposits, and investors can pay attention to bond funds.</li><li data-block-key="4hhf">If investors are concerned about an economic recession, they can pay attention to high-rated bonds, with an annualized dividend yield of about 4%-5%.</li></ol><div class="video-container" src="https://www.youtube.com/embed/s4yxf5RXvEE"><iframe src="https://www.youtube.com/embed/s4yxf5RXvEE"> </iframe></div>Importance NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse such information or opinion.Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Weekly insight: Has the US interest rate cycle peaked?

Since the emergence of Generative AI, there have been rumors that it has the ability to disrupt different industries and bring challenges and impacts to them. This technology will change the entire game rules. Generative AI requires a large amount of data input and powerful data processing capabilities, which can only be provided by cloud computing. This creates an attractive investment opportunity for investors.The future of AI lies in cloud computingThis new force of AI has clearly brought about significant development and change in our lives and work. The computation power and infrastructure required to train AI models and assist companies in applying this technology are huge.AI is a new technology that involves various aspects and training techniques, including robotic process automation, deep learning, machine learning, natural language processing, and virtual agents. These models require a large amount of data and powerful computing capabilities for training and operation. Only super-scale cloud service providers can handle this huge data processing task. Even large companies need to continue to expand to cope with the increasingly complex data processing. The generative AI technology that belongs to large language models is the same.Importance of AI and cloud computing towards investorsCloud spending is expected to continue to grow. However, many investors believe that this AI industry has entered the middle of its life cycle. Since 2017/2018, the industry has been researching and training individual GPT models, but it wasn&#x27;t until ChatGPT and Midjourney AI drawing programs were introduced that the potential of Generative AI became widely known, shocking consumers and corporate executives alike. They are required to understand how Generative AI will bring important changes to our lives and work.So, which companies have prepared for this early? Which companies, although new to Generative AI technology, have the potential to benefit from it? And which companies will be the latest to embrace the new era of Generative AI? These analyzes will be an opportunity for investors. Investing in Global AI Stock StrategyGenerative AI technology only became widely known after the introduction of ChatGPT and DALL-E, and its unsupervised machine learning and deep learning applications shocked the world. We believe that we are currently at a turning point, where companies will accelerate their deployment of AI applications in enterprises to change their business models.Industries driven by AI may benefit as Generative AI growsGenerative AI is rapidly reshaping the entire technological landscape. It requires a large amount of data and powerful computing capabilities, making it manageable only for large-scale cloud service providers. As a result, industries related to AI, such as semiconductors and semiconductor equipment, are expected to benefit. Additionally, in the growth of Generative AI, AI-driven industries such as cloud-based software and services are also expected to reap the benefits.At the same time, many software companies have launched Generative AI components to automate processes, help clients execute tasks, and generate valuable insights from data.Importance NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse such information or opinion.Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Weekly insight: Is Generative AI the future of investment opportunities?

It is no doubt AI technology will become the latest megatrend. From the explosion of GPT-4 to the recent surge in stock prices of chips company, these events show market’s positive sentiment towards the sector. Considering to get benefits from the trend? You may think AI-related stocks are overpriced right now, but there is actually more than 1 way to invest into AI technology. Here is a 3 min guide on how.Reminder: Through WeLab Bank’s Featured Fund Services, you can invest easily into popular funds related to AI or other themes to capture the potential megatrend with HKD 0 Fee^!<h4 data-block-key="bbm5t">Related Theme in WeLab Bank Featured Fund Services</h4><img alt="fund_ai_tech" src="/media/images/fund_ai_tech.width-800.png" style="width: auto; height: auto; max-width: max(100%, 0px)"/><h4 data-block-key="tvg1">AI Technology</h4><ul><li data-block-key="i2e65">One of the most popular themes among WeLab Bank customers</li><li data-block-key="70eqv">Funds under this theme invest majority into technology-related firms in the developed market, including the whole of the supply chain. </li><li data-block-key="6sl1n">The latest 3-Year total return: 17.8% - 34.5%#</li></ul><h4 data-block-key="k5n4p">Featured Funds of AI Technology</h4><img alt="ENG_fund_ai_table" src="/media/images/ENG_fund_ai_table.width-800.png" style="width: auto; height: auto; max-width: max(100%, 0px)"/>#Data as of 30 June 2023. The table lists out all the funds under such themes and the past 3-year total return of the funds. The figures are provided by Morningstar Asia Limited and are for information only and not guaranteed. We do not take responsibility for and do not endorse the accuracy of such information. Past performance is not indicative of future results. The information set out in the table above is for reference only and does not constitute any comment, recommendation, solicitation, offer or sale of any investment product.Below are the captioned fund’s calendar year return since 2018, as of 30 June 2023 JPM US Technology: 2023 YTD: 46.4%; 2022: -44.9%; 2021: 12.8%; 2020: 87.0%; 2019: 41.3%; 2018: 3.6%。Allianz Global Artificial Intelligence: 2023 YTD: 35.8%; 2022: -45.6%; 2021: 7.9%; 2020: 100.5%; 2019: 28.9%; 2018: -5.4%。BGF World Technology: 2023 YTD: 34.3%; 2022: -44.1%; 2021: 12.8%; 2020: 86.9%; 2019: 43.5%; 2018: -0.3%<h4 data-block-key="e4k73">Insights from WeLab Bank Investment Experts</h4><h4 data-block-key="fjnxa">Worried that AI is overpriced? Invest smartly into the entire supply chain</h4>Everyone says AI is going to be transformative, turbocharging the economy. But there aren’t much analysis on “how”?Overall speaking, AI is a technology which helps all of us to “produce more, with less work”. For example, an AI-driven chatbot might be able to answer most of the questions from banking customers, freeing up employees to spend more time selling services or provide a better in-person experience to the bank’s clients.So how do you invest in AI?The ecosystem consists of 3 groups: companies that sell AI as a product or a service, companies that build AI models and develop the wider infrastructure, and companies that are building the hardware necessary for it all to work. Although AI has been a hot topic in the market for a while, but investment opportunities do not limit to the common household names. But if investors want to expand their reach to the full supply chain, it may cost them a lot of effort and time. Investors can consider investing through global asset managers. Relying on the expertise of investment professionals, investors may have exposure to the whole technology sector ecosystem, capturing opportunities while capturing the long term growth of the sectors.<p class="image-container " data-img-alt="GoWealth_Focus_June(Kai)EN.jpg" data-img-format="fullwidth" data-img-max-width="0" data-img-src="/media/images/GoWealth_Focus_JuneKaiEN.width-800.jpg" element-type="image"><img alt="GoWealth_Focus_June(Kai)EN.jpg" src="/media/images/GoWealth_Focus_JuneKaiEN.width-800.jpg" style="width: auto; height: auto; max-width: max(100%, 0px)"/><p class="image-container " data-img-alt="GoWealth_SingleFund(banner-desktop)EN_R.jpg" data-img-format="fullwidth" data-img-max-width="0" data-img-src="/media/images/GoWealth_SingleFundbanner-desktopEN_R.width-800.jpg" element-type="image"><img alt="GoWealth_SingleFund(banner-desktop)EN_R.jpg" src="/media/images/GoWealth_SingleFundbanner-desktopEN_R.width-800.jpg" style="width: auto; height: auto; max-width: max(100%, 0px)"/>^From 5 June to 4 August 2023, the Fund Platform Fee Monthly Rate applicable to the Featured Funds Services is 0%. Terms and conditions apply. For details, please visit <a href="https://www.welab.bank/media/documents/platform_fee_waiver_tnc.pdf">HERE</a>. Importance NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse such information or opinion.Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Featured Funds’ Focus of the Month: AI Technology

Same pressure, different outlookThe start of the second half of 2023 saw overall pressure on the major stock markets during the first week of July. The Federal Reserve&#x27;s declaration that interest rates will continue to rise dampened the market sentiment, causing the Dow Jones to fall below the 33,700 level; the S&amp;P 500 remained flat, holding onto the 4,400 level with short-term support at 4,350 and 4,300; and the Nasdaq, which has seen significant gains since the beginning of the year, failed to breach the 14,000 mark and remained around 13,700, with the market indicating that US stocks still have the upper hand.On the other hand, the situation in the Hong Kong stock market is markedly different. While it attempted a rebound at the start of the week, with an unsuccessful push to 19,400, it suffered two consecutive days of decline afterwards, breaking several moving averages and reaching a low not seen in over a month. At the point where the market fell by over 500 points, trading volume quickly approached HKD 100 billion, reflecting considerable selling pressure.Interest rates tackle inflation, but fail to consider the economyThe market believes that major central banks will not relax their monetary policies in the short term when there is a shortage of goods and services. This is especially true for countries like the United States, where labor shortages prevent large-scale production of goods. It is expected that central banks in various countries will implement monetary tightening policies to avoid causing high inflation and to adjust supply-side pressures.For a long time, the Federal Reserve of the United States has maintained loose monetary policies to help economic development by keeping interest rates low during economic recessions. However, the situation is now changing. Most fund managers and investment experts believe that if there is an economic recession, the Federal Reserve of the United States will not be able to intervene in time as it did before. Supply-side constraints will persist, causing central bank interest rates to remain high, which will neither stimulate nor suppress economic growth, suggesting that interest rates will remain at restrictive levels.New perspectives to beat the marketWhen the overall economy performs poorly, it has a negative impact on the performance of the overall asset class. It is important to study the price response of each asset to the overall economy and predict their future performance. We also need to pay attention to global trends such as new technologies like digitization and artificial intelligence, and environmental changes such as geopolitical fragmentation, low-carbon transformation, aging populations, and new generations of financial markets to see if there are any investment opportunities in these areas.The core key to investing is how asset prices respond to various factors. We can see that many major trends are increasing current and future investment returns. For example, the rapid rise of the stock market this year, and the recent drop in semiconductor stocks due to US export restrictions on China, show us how new technologies and environmental changes interact to influence market trends.More and more countries and industries are starting a new investment cycle to increase operating income and profit margins. Fund managers attach great importance to the impact of artificial intelligence on investment. In addition, geopolitical fragmentation is causing changes in supply chains around the world, and the importance of national security and supply chain resilience is increasing, which is more important than efficiency. Moreover, expert analysis shows that investment in technology, clean energy, infrastructure, and defense will increase significantly. A large amount of funds is being transferred to low-carbon transformation, and the entire market is changing as a result. Fund managers also observe that in the rapidly developing financial system, existing banks will face regulatory and competitive challenges, and non-bank lending institutions have the opportunity to develop as a result.Interest rates not falling, bonds continue to be popularThe world&#x27;s economic growth is slowing down, and major central banks are implementing economic austerity policies in the new market environment of the overall economy, leading to increased attractiveness of yield-based assets.In addition, policies in emerging markets seem to be starting to loosen, and fund managers are optimistic about emerging market bonds, especially in Asian emerging markets. The inflation fluctuations that Asian emerging market companies can withstand are different from those of developed markets, reflecting stronger profit margins for Asian emerging market companies and more optimistic growth prospects. It is believed that the upward potential of Asian credit is higher than that of developed markets.Importance NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse such information or opinion.Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Weekly insight: New perspectives to beat the market

After 10 Interest-Rate Hikes, the Fed finally stopped! What opportunities should investor look at?The Fed has announced that it is leaving the Fed Fund Rate stable at the same level, first time since March last year.Yet in fact, the slow down of rate hike is not a news to the market, and because of that investors have slowly turned their focus to high quality and conservative fixed income asset, while anticipating the end of the rate hike cycle.Based on the latest data1, bond fund has become the most popular asset class of HK investors in the first quarter this year. The gross subscription inflow has increased over 100% against Q4 2022.Through WeLab Bank’s Featured Fund Services, you can invest easily into popular funds to capture the potential megatrend with HKD 0 Fee^!<a href="https://www.welab.bank/en/feature/fund/">Learn more</a><h4 data-block-key="6ggwr">Related Theme in WeLab Bank Featured Fund Services</h4><p class="image-container " data-img-alt="GoWealth_Focus_June(Themes).jpg" data-img-format="fullwidth" data-img-max-width="0" data-img-src="/media/images/GoWealth_Focus_JuneThemes.width-800.jpg" element-type="image"><img alt="GoWealth_Focus_June(Themes).jpg" src="/media/images/GoWealth_Focus_JuneThemes.width-800.jpg" style="width: auto; height: auto; max-width: max(100%, 0px)"/><h4 data-block-key="t8u99">Global Income</h4><ul><li data-block-key="3glj8">One of the most popular themes among WeLab Bank customers</li><li data-block-key="z9jua">Funds under this theme invest majority into global fixed income.# The asset class faced pressure last year due to the rate hike environment. The market is anticipating market entry opportunities when the rate cycle turns.</li><li data-block-key="ebrmc">The latest annualised dividend distribution is from 5.1% to 5.7%#</li></ul><h4 data-block-key="ofmql">Featured Funds of Global Income</h4><p class="image-container " data-img-alt="EN_GoWealth_Focus_June(Chart2).png" data-img-format="fullwidth" data-img-max-width="0" data-img-src="/media/images/EN_GoWealth_Focus_JuneChart2.width-800.png" element-type="image"><img alt="EN_GoWealth_Focus_June(Chart2).png" src="/media/images/EN_GoWealth_Focus_JuneChart2.width-800.png" style="width: auto; height: auto; max-width: max(100%, 0px)"/><a href="https://www.welab.bank/en/feature/fund">Other hot fund ideas</a>#Data as of 31 May 2023. The table lists out all the funds under such themes and the latest annualised yield, year to date total return and past 3-year return of the funds. The figures are provided by Morningstar Asia Limited and are for information only. We do not take responsibility for and do not endorse the accuracy of such information. Past performance is not indicative of future results. Dividend funds listed above aim to pay dividend on a monthly basis. Dividend payout is not guaranteed and may be paid out of capital. The information set out in the table above is for reference only and does not constitute any comment, recommendation, solicitation, offer or sale of any investment product. Below are the captioned fund’s calendar year return since 2018, as of 31 May 2023. JPM Income: 2023-to-date: 0.81%; 2022: -8.3%; 2021: 2.2%; 2020: 3.1%; 2019: 11.4%; 2018: 0.4%. PIMCO Income II: 2023-to-date: 2.3%; 2022: -8.5% (The fund inception date is 29 Jan 2021). Allianz Global Opportunistic Bond: 2023-to-date: 1.7%; 2022: -5.0%; 2021: -2.5%; 2020: 6.2%; 2019: 7.1%; 2018: -1.8%<h4 data-block-key="iqa10">Insights from WeLab Bank Investment Experts</h4><h4 data-block-key="89x9n">Bond Market: Receive high dividend while capturing for the potential capital gain</h4>The current bond yield level is very attractive.Since the 10 consecutive rate hikes to 5%-5.25%, the 10Y US Treasury Bond Yield has since risen to 4.07% high earlier this year.That implies that if you invest into high quality, lower default risk fixed income asset, e.g. US Treasury or investment grade bond, you can enjoy a decent dividend yield given the low price. For instance, at the rate of the aforementioned US treasury yield.When interest rate peaked, it creates room for bond price to grow.The price of bond and interest rate has always been an negative correlation. For example, the rate hikes in the past 1+ years have caused huge downward pressure to the bond price. But coming back to today’s scenario, if the Feds really stopped its rate hike or even lowering the rate in the future, this will propel the bond price to an upward direction.Looking from another angle, the bond yield currently is at its highest point in 5 years. If you look at the past 5 times when bond yield peaked, the bond price performance of the following year has been very appealing. This again shows the opportunity we see today.To sum it up, it is obvious that the change of the interest rate cycle provides opportunities to the market. Bond investment can on one hand provide you regular income, on the other hand give you the possibility of capital appreciation.<p class="image-container " data-img-alt="EN_GoWealth_Focus_June(Chart1).png" data-img-format="fullwidth" data-img-max-width="0" data-img-src="/media/images/EN_GoWealth_Focus_JuneChart1.width-800.png" element-type="image"><img alt="EN_GoWealth_Focus_June(Chart1).png" src="/media/images/EN_GoWealth_Focus_JuneChart1.width-800.png" style="width: auto; height: auto; max-width: max(100%, 0px)"/>The One-year return of the US Agg of the above market events are calculated from: 1990 Bond Market Crash: 26 April 1990; 2000 Dot Com Bubble: 18 May 2000; 2008 Global Financial Crisis: 31 October 2008; 2013 Taper Tantrum: 5 September 2013; COVID-19: 19 March 2020. The figures are obtained from the reliable sources and are for information only. We do not take responsibility for and do not endorse the accuracy of such information. Past performance is not indicative of future results.<p class="image-container " data-img-alt="GoWealth_Focus_June(Kai)EN.jpg" data-img-format="fullwidth" data-img-max-width="0" data-img-src="/media/images/GoWealth_Focus_JuneKaiEN.width-800.jpg" element-type="image"><img alt="GoWealth_Focus_June(Kai)EN.jpg" src="/media/images/GoWealth_Focus_JuneKaiEN.width-800.jpg" style="width: auto; height: auto; max-width: max(100%, 0px)"/><p class="image-container " data-img-alt="GoWealth_SingleFund(banner-desktop)EN_R.jpg" data-img-format="fullwidth" data-img-max-width="0" data-img-src="/media/images/GoWealth_SingleFundbanner-desktopEN_R.width-800.jpg" element-type="image"><img alt="GoWealth_SingleFund(banner-desktop)EN_R.jpg" src="/media/images/GoWealth_SingleFundbanner-desktopEN_R.width-800.jpg" style="width: auto; height: auto; max-width: max(100%, 0px)"/>*As of 31 May 2023, the annualised dividend yield of JPM Income (USD)(Dividend) under “Global Income” theme is 5.7%. The fund aims to pay dividend on a monthly basis. Dividend payout is not guaranteed and may be paid out of capital. “Potential Gain” refers to the above market insight of bond funds performance in general. This information is for reference only and does not constitute a forecast or guarantee of performance of any fund. ^From 5 June to 4 August 2023, the Fund Platform Fee Monthly Rate applicable to the Featured Funds Services is 0%. Terms and conditions apply. For details, please visit <a href="https://www.welab.bank/media/documents/platform_fee_waiver_tnc.pdf">HERE</a>. 1Based on the publicly published date on subscription and redemption from the HKIFA (2023 to date)Importance NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse such information or opinion.Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Featured Funds’ Focus of the Month: Global Bond Income

With the market flooded with lunchboxes claiming to be &quot;inflation-resistant,&quot; can your income keep up with the rising prices in the current inflationary environment? To effectively combat inflation, learning about investment planning can help you potentially gain returns. However, as a beginner investor, if you want to grow your wealth further and gradually achieve your financial goals, you need to pay attention to the following basic investment concepts and key factors!What is investing?Investing involves placing your assets in different places to achieve the goal of preserving their value, and expecting additional returns in the future. Therefore, before investing, you should choose investment tools for basic analysis, evaluate various risks based on factors such as the financial or operational condition of the company, and make appropriate investment amounts. Generally, the lower the product risk, the lower the potential return.Choose investment products carefullyWhile stocks, bonds and funds may seem similar, there are significant differences! As a beginner, can you distinguish between these investment products?<ul><li>Stocks: Stocks are a way for companies to raise funds by selling ownership stakes. Once you become a shareholder, you may have the opportunity to receive dividends and bonuses when the company earns profits. Stocks are usually bought and sold in the trading market, and investors can consider various factors and decide the timing of buying and selling based on the company&#x27;s stock price performance to profit from trading.</li><li>Bonds: When investors purchase bonds from issuing institutions, it is equivalent to lending funds. The issuing institution is required to pay interest and repay the principal according to the terms of the bond when it matures.</li><li>Funds: Funds pool funds from different investors for investment, and the investment strategy and portfolio of the fund are formulated and managed by a fund manager. Buying a fund is equivalent to buying a basket of assets.</li><li>Derivative instruments: Financial instruments derived from underlying financial commodities such as stocks and bonds, subject to high regulation. Derivative instruments can be understood as a &quot;trading contract.&quot; For example, in the case of stock futures, the contract specifies the financial value of a certain number of stocks to be bought or sold at a predetermined price on a specified date in the future. Because the terms of the contract for different derivative instruments vary, the risks are relatively high, and they may not be suitable for ordinary investors.</li></ul>Every type of investment involves risks, and the choice depends on the specific circumstances of the investor. Investors should consider their financial plan progress, assess their risk tolerance, and choose an investment portfolio that is suitable for themselves.Common Mistakes for BeginnersAs a beginner in investment and wealth management, have you ever made the following two common mistakes?<ul><li>Trend-chasing: When it comes to investing and managing wealth, beginners often receive investment related information from peers or the internet and blindly rush into the market without proper analysis. However, factors such as a company&#x27;s financial status, industry outlook, and political factors can all have an impact. Therefore, blindly following and investing based on market news and rumors may not be the most accurate approach.</li><li>Being too impatient: Without proper analysis, investors who make buying or selling decisions based solely on market fluctuations often end up losing more than they gain.</li></ul>Therefore, investment and wealth management are not hearsay. It is important to conduct comprehensive analysis for investment products each time, and avoid making decisions based solely on short-term performance.Key Points for Beginner Investment and Wealth Management<ul><li>Understanding investment objectives clearly: Beginners need to understand their investment objectives in order to decide on suitable investment plans and products. Diversified investment portfolios or long-term holding of some investment products can be chosen for risk diversification and reduction.</li><li>Saving unnecessary expenses: Consider investing in assets with lower management fees to help reduce investment costs and achieve cost-saving effects for investment and wealth management.</li><li>Reviewing and adjusting investment portfolios in a timely manner: Everyone&#x27;s risk tolerance will change with different stages of life. It is important to review investment strategy timely and adjust investment portfolios accordingly to suit the situation for investment and wealth management.</li></ul>WeLab Bank&#x27;s GoWealth Digital Wealth Advisory provides personalized advice based on your investment objectives, helping you embark on smart investment and wealth management. For more information, check out: <a href="https://bit.ly/3NST2g1">https://bit.ly/3NST2g1</a>If you want to get more investment inspiration and insights and stay in the know of the latest market trends, you can subscribe our YouTube channel and watch our WeLab Bank Wealth Insight video series: <a href="http://bit.ly/3AW4K1q">http://bit.ly/3AW4K1q</a>Importance NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house.Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Investment 101, investment basic concepts, fund investment

Investment Guide: Key Financial Concepts Every Beginner Should Know

As inflation continues to rise and the purchasing power of paper currency decreases, the general public is seeking ways to fight inflation, and investing in funds is a popular option. Want to try investing in funds but don&#x27;t know where to start? This article is just right for you. Let&#x27;s explore the types of funds, how fund investment works, and what to pay attention to. WeLab Bank will guide you through it all!What is a mutual fund?Mutual funds is a type of investment tool that pools the funds from many investors. The funds are managed and operated by a team of professional managers with an aim to increase wealth. Fund managers typically diversify funds by investing into different assets or projects, such as stocks, bonds, money market instruments, and other assets. Through subscribing into funds, investors can use a lower amount of funds to invest into ideal portfolios, thus achieving their investment goals.What are the different types of funds?Funds can be classified in various types, depending on the way they raise funds or by being classified as private equity funds. Private equity funds are only sold to a small number of investors, with a high investment threshold, making it difficult for most investors to participate. The most common funds in the market are mutual funds and unit trusts, which have slight differences in their establishment, the number of shares that can be issued, and regulatory requirements. Funds can also be further classified based on the investment target, management method, and investment region.Classification by investment target:<ul><li>Money market funds: invest in various money markets, mainly short-term investments, with high liquidity and relatively low risk.</li><li>Bond funds: invest in different types of bonds, stable income, and low to medium risk.</li><li>Equity funds: invest in various types of stock assets, which is equivalent to investing in multiple stocks at the same time, with higher potential returns and risks.</li><li>Mixed funds: diversify investments in different assets such as stocks and bonds, with risks depending on the stock-bond ratio.</li></ul>Classification by management method:<ul><li>Active management: the fund manager determines the investment target, investment strategy, and market entry and exit time to achieve a performance goal that surpasses the market index.</li><li>Passive management: the investment objective tracks the performance of a specific market index, and the objective &quot;rises and falls together&quot; with the overall market trend, with less impact from individual stock fluctuations.</li></ul>Classification by investment region:<ul><li>Global Funds: Lower risk, widest investment scope, relatively conservative.</li><li>Regional Funds: Moderate risk, suitable for investors with preferences for specific regions, such as Europe, America, Southeast Asia.</li><li>Single-Country Funds: Higher risk, suitable for those who have high confidence in the assets of a single country.</li></ul>The above are common classification methods for fund investments. Funds can also be further categorized based on industry sectors, issuers, issuance methods, etc. If you are interested, you can further explore these categories in detail.Who is suitable for mutual fund investment?For investment beginners or people who do not have time to analyze the stock market, mutual fund investment can be a good choice. Compared to buying individual stocks, mutual funds generally invest in different industries and regions, and hold at least dozens of stocks or other securities, so you can also benefit from the professional management from fund managers. Therefore, mutual fund investment can generally achieve the function of risk diversification. On the other hand, mutual fund investment is also suitable for long-term investors, since funds generally have stable growth over the years, achieving long-term value appreciation for your assets.How do mutual funds operate?After investors purchase mutual funds through fund platforms, banks, securities firms, etc., the fund manager will typically consolidate the funds and then diversify the investments. When the fund receives dividends (or coupons) from the investment portfolio, the fund company may distribute a certain percentage of such income to investors. On the other hand, investors can also choose to redeem the fund to realize gains from price differences.What should you pay attention to when investing in funds?Although fund investment is generally considered one of the safer investment methods, it still involves risks, and there are certain things to be aware of and understand before making an investment decision, such as:<ul><li>Derivative costs: Fund investment may involve transaction fees, management fees, redemption fees, and other costs, which directly affect the rate of return. Therefore, pay close attention to the relevant fee structure and evaluate the costs before making a decision.</li><li>Choosing fund companies and managers: The performance of fund investment largely depends on the professionalism and management ability of the fund companies and managers. Therefore, investors need to pay attention to the reputation of the fund companies and managers, as well as their investment strategies. Investors can also refer to their previous investment performance and size of assets under management.</li><li>Assessing risk tolerance: Risk and return are often interrelated. Therefore, before investing in funds, investors should consider the nature of the funds, evaluate the risks, and combine it with their own circumstances to independently assess and choose funds that are suitable for themselves.</li></ul>After reading this, do you have a better understanding of fund investment? Click on the WeLab Bank website to learn more about personalized fund investment portfolios that suit your preferences: <a href="https://bit.ly/3NST2g1">https://bit.ly/3NST2g1</a>If you want to get more investment inspiration and insights and stay in the know of the latest market trends, you can subscribe our YouTube channel and watch our WeLab Bank Wealth Insight video series: <a href="http://bit.ly/3AW4K1q">http://bit.ly/3AW4K1q</a>Importance NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house.Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

As inflation continues to rise and the purchasing power of paper currency decreases, the general public is seeking ways to fight inflation, and investing in funds is a popular option.

A Beginner’s Guide for Mutual Fund Investors | WeLab Bank

A Beginner’s Guide for Mutual Fund Investors

With so many credit card promotions and offers, it&#x27;s easy to accumulate credit card debt that may exceed your financial capacity. Paying only the minimum payment can result in the debt snowballing, and it may take years to clear the debt. If you find yourself constantly battling credit card debt every month, you may want to consider a balance transfer, also known as debt consolidation loan program that offers a solution to tackle the problem of growing debt and take the approach the clear all debt in one go. What is a Balance Transfer?A balance transfer, also known as a debt consolidation loan, is a loan program offered by banks or financial institutions that consolidates a customer&#x27;s credit card balances, bank loans, or loans from financial companies into one loan with a lower annual interest rate, helping customers clear the debt in one go. Customers can also save on additional interest expenses and reduce their monthly repayments.What are the Benefits of Balance Transfer?<ul><li>Savings on Interest Expenses: The actual annual interest rate on most credit cards is generally over 30%, and if you only make minimum payments, the interest is calculated on a compounding basis, and the repayment period becomes long and uncertain. In comparison, the actual annual interest rate of a balance transfer loan is lower, ranging from about 5% to 19%, and the loan interest is calculated using the reducing balance method, with a relatively short repayment period, which helps people with credit card debt to regain financial freedom quickly.</li><li>Reduced Repayment Pressure: The repayment period of this type of debt consolidation loan is also more flexible, allowing customers to tailor a repayment plan for their credit card debt according to their personal financial needs and circumstances, such as extending the repayment period to reduce the total monthly repayment amount and ease the monthly repayment pressure.</li><li>Assistance with Cash Flow Management: Some balance transfer debt consolidation loans also offer cash withdrawal services, which allow customers to withdraw additional cash for emergency use even when repaying credit card debt and other debts.</li><li>Convenience: As this type of debt consolidation loan helps consolidate and repay different credit card debts and loans in one place, customers only need to deal with debt repayment at one bank or financial institution, making the process simpler and avoiding the risk of penalty for forgetting different debt repayment dates.</li><li>Improved Credit Score: Debt consolidation loans can help improve credit scores by consolidating and repaying different credit card debts and loans, thus avoiding a decrease in credit score due to default on different debts. If customers can repay on time, their credit score may gradually improve.</li></ul>Is Balance Transfer the Same as Personal Instalment Loans?Although the nature of a balance transfer is similar to that of a personal instalment loan, the two are different in terms of loan purposes and loan disbursement methods.<ul><li>Balance transfer: Primarily aimed at debt repayment, this loan method usually involves depositing the loan amount directly into the designated credit card or loan account, or sending a cashier&#x27;s check to the customer for them to repay their credit card balance or debt on their own. However, some banks now offer debt consolidation loans combining repayment and cash-out loans, allowing customers to have additional funds for cash flow while repaying their debts.</li><li>Personal instalment Loan: A loan for personal use, which can be used for various purposes, such as home renovation, travel, or education. The loan amount is usually determined based on the borrower&#x27;s creditworthiness, and the loan is disbursed in a lump sum to the borrower&#x27;s designated bank account.</li></ul>Who should consider applying for a balance transfer?If you find yourself struggling to make more than just the minimum payment on your credit card each month, or even resorting to using another credit card to pay off the outstanding balance and getting caught in a never-ending cycle of credit card debt, along with overdue repayments on other debts, a balance transfer can be a helpful solution to get through tough times. Moreover, if you have been borrowing excessively and defaulting on repayments, resulting in a lower credit rating, it may be challenging to qualify for low-interest personal loans to pay off your credit card debts. In such situations, a debt consolidation loan can be the ideal choice for consolidating your debts.Traditional banks vs Virtual banksBoth traditional banks and virtual banks offer debt consolidation loans, but the biggest difference lies in the fact that applying with virtual banks is simpler and can be done entirely online through their app, 24/7. This greatly reduces the embarrassment of borrowing due to a large number of credit card debts and allows for quick debt consolidation anytime, anywhere.Other debt consolidation suggestionsWhile debt consolidation loans can be one effective method for resolving credit card debt woes, there are other debt consolidation options available if your debt level doesn&#x27;t qualify for a debt consolidation loan. Here are some suggestions for clearing your credit card debts:<ul><li>Increase income and reduce expenses: Increasing income and reducing expenses can effectively ease the burden of debt repayment and avoid adding new credit card debts, helping to shorten the repayment period.</li><li>Reduce credit limit: Reducing unnecessary expenses by lowering your credit limit can help curb excessive spending and strengthen consumption control.</li><li>Credit card instalment plan: Applying for a monthly statement instalment plan allows for repayment over a period of up to 36 months, reducing the pressure of lump-sum debt repayment. Although there may be handling fees involved, it is still more cost-effective compared to paying only the minimum payment.</li><li>Tax loans: Many banks or financial institutions offer low-interest tax loans during the tax season (October to April of the following year). The annual interest rate is generally lower than regular loans. If your debt repayment coincides with the tax season, you may consider using this type of loan to help pay off your credit card debts.</li></ul>If you are still struggling with credit card debts and don&#x27;t know which debt consolidation loan plan is suitable for you, WeLab Bank&#x27;s exclusive Loan Masters1 provides you with suitable debt consolidation loan plans, along with the Debt Consolidation Loan to help you pay off your credit card debts in one go. For more information, visit:<a href="https://www.welab.bank/en/feature/debtcon_loan/"> https://www.welab.bank/en/feature/debtcon_loan/</a> To borrow or not to borrow? Borrow only if you can repay!1Loan Masters refer to WeLab Bank’s self-developed approval system that works in tandem with the team that follows up with the customers, to provide professional advice to customers based on their unique loan requirements and financial situations.

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清卡數大作戰：結餘轉戶可能係你最好嘅選擇

Combating The Credit Card Debt Cycle: Balance Transfer

Quick test: Do you know what VB stands for? If you‘re one of those tech savvies, you probably know that VB refers to virtual banks. However, virtual banking has only been introduced in Hong Kong for around four years, so the operating model is still relatively new. Some people may have come across many virtual banking offers, but may not fully understand how virtual banking works. So, how effective is it really? What makes virtual banking offers so attractive? And what are some common virtual banking offers? Read along for a comprehensive understanding of the service advantages, as well as some popular virtual banking offers!Definition of Virtual BankingAccording to the Hong Kong Monetary Authority (HKMA), &quot;Virtual Banks&quot; are different from other traditional bank online services and do not have any physical branches. They mainly provide banking services through digital channels, and all services can be processed through mobile applications or websites. So far, there are a total of eight virtual banks regulated by the HKMA in Hong Kong, and WeLab Bank is one of them. Not only has it received support from many international investors, but it was also named the most innovative bank in 20221!4 Advantages of Virtual Banks<ol><li>Time-saving and Convenient Account Opening: The major selling point of virtual banks is to offer a wide range of virtual banking services and enable customers to open their accounts remotely. Using just a mobile app, you can complete all the application steps, such as scanning your ID and uploading a selfie, and avoid long waiting times. With this flexibility, you can open an account anytime.</li><li>Lower Account Thresholds and Transparent Fees: Traditional banks may require minimum assets or account balances and even charge low-balance service fees, depending on customer types. Virtual banks, on the other hand, are committed to promoting inclusive financing. Regardless of your deposit amount, you can enjoy a high-quality financial experience and virtual banking offers that are almost endless.</li><li>Flexibility and Availability 24/7: Although traditional bank services, such as setting up fixed deposits or applying for loans, can be conducted online, they are still subject to business hours. Virtual banks, on the other hand, break through time and geographical restrictions. With just a few taps on the mobile app, you can check out various virtual banking offers anytime, anywhere and experience innovative banking services.</li><li>Rich and Attractive Virtual Banking Offers: With lower operating costs than traditional banks, virtual banks offer more competitive virtual banking offers. WeLab Bank, for example, frequently offers cash rebates that cover account opening, spending, loans, and investments. Other recent highlights include the high-interest GoSave fixed deposit promotion &quot;GoSave Festival&quot;2 and co-branded benefits with companies from various industries. In recent years, WeLab Bank has teamed up with Tesla to offer Tesla’s exclusive customers 0% installment car loans3, regardless of whether they are new or existing customers, and to provide various other benefits.</li></ol>Summary of Virtual Banking OffersTo attract customers to open accounts, virtual banks are constantly introducing new virtual banking offers. Take WeLab Bank as an example - you can enjoy the following promotions by opening an account in as little as 5 minutes4:<ol><li>Personal Loans: Whether it&#x27;s installment loans or Debt consolidation loan, WeLab Bank provides tailored solutions with a dedicated Loan Master 5 to help you earn rich cashback rewards8. As a strategic partner of Tesla, WeLab Bank also offers low-interest unsecured loans for buying cars and cash rebate promotions on charging6.</li><li>GoSave Fixed Deposits: In addition to saving money with different terms and rates, WeLab Bank also offers shockingly high-interest rates from time to time, with the latest offer providing a double-digit annual interest rate2.</li><li>GoWealth Digital Wealth Advisory: No lock up period and no redemption fee. All fees are transparent with entry investment starting as low as HKD100, together with welcome offers from time to time.</li></ol>WeLab Bank Product FeaturesIn addition to various virtual banking offers, WeLab Bank has also developed a range of financial products to cater to different customer needs. Here is a handy guide for you to better understand our products:<hr/>Personal Loans and Loan Masters6:WeLab Bank becomes your Loan Masters5  with a professional team utilizing a powerful intelligent system. Through data analysis and personalized algorithms, WeLab Bank provides a basic plan as well as two more flexible loan options. Applying for a loan takes as little as 3 steps, and you can receive funds within one day of approval7. Plus, successful applicants can receive an enticing cash rebate8!GoSave 2.0 Time Deposit:With a low entry threshold of just HKD10, you can easily start saving and achieve your savings goals on time. WeLab Bank also regularly launches the &quot;GoSave Festival&quot; with highly attractive interest rates2 that are more competitive than other virtual banking offers in the market!GoWealth Digital Wealth Advisory:To promote financial inclusion, WebLab Bank incorporates professional investment asset management from AllianzGI into its financial technology, enabling everyone to access financial advice easily. With just a smartphone, you can receive financial planning, investment portfolio recommendations, fund trading, and ongoing tracking of your financial goals within WeLab Bank app. Let us guide you towards financial independence and turn your dreams into reality9!<hr/>Want to learn more about WeLab Bank&#x27;s various rewards and how they differ from other virtual banking offers? Click here to see more details:<a href="https://www.welab.bank/en"> https://www.welab.bank/en</a>To borrow or not to borrow? Borrow only if you can repay!Note: This article is for information only and does not constitute any investment advice. Investment involves risks, please refer to the Important Notice herein for details. GoWealth Digital Advisory Services and fund investment are not deposits and not protected by Deposit Protection Scheme.1The claim is based on the result of the inaugural ‘Hong Kong Corporate Innovation Index’ 2022 held by the Asia-Pacific Institute of Business (APIB) of CUHK Business School.2See GoSave 2.0 Time Deposit Terms and Conditions for details.3The annualized percentage rate (“APR”) of the Loan is fixed at 0%. Assuming the loan amount is HKD400,000 with a tenor of 36 months, the APR will be 0.00%. The APR is calculated according to the guidelines issued in respect of the Code of Banking Practice and rounded to the nearest 2 decimal places and may vary for individual customers. Customers should refer to their loan confirmation letters for the relevant information and such information shall prevail. The APR is only applicable to designated loan amounts and for reference only. The final approved interest rate will be subject to customer’s credit assessment and the Bank’s approval. Terms and conditions apply, please refer to our official website for details.4Actual time may vary depending on factors such as your environment, connectivity and mobile phone.5Loan Masters refer to WeLab Bank’s self-developed approval system that works in tandem with the team that follows up with the customers, to provide professional advice to customers based on their unique loan requirements and financial situations.6From now until 30 April 2023, new customers who have successfully opened a bank account at WeLab bank or successfully applied for WeLab Bank Personal Loan with Referral code/ promotion codes starting with prefix ’TESLA5’ or  ’TE’ will be entitled to a 20% cash rebate using your WeLab Debit Card for eligible transactions conducted from the date of successful account opening or the date of successful loan drawdown until the following 5th calendar month. Monthly capped at HKD100. The promotion is subject to a quota and is available on a first-come, first-served basis. Please visit Terms and Conditions for more details.7The estimated period is calculated from the day the loan agreement is signed. The actual approval period and the actual time the loan is disbursed may vary upon information provided by the applicants.8From now on until 30 June 2023, successful WeLab Bank Debt Consolidation Loan applicants with an approved loan of minimum of HKD 1,000,000 amount and tenor of 36 months can enjoy up to HKD 13,888 cash rebate if the loan is drawn down within 7 days after approval; Successful WeLab Bank Personal Instalment Loan applicants with an approved loan of minimum of HKD 80,000 amount and tenor of 24 months can enjoy up to HKD 3,000 cash rebate if the loan is drawn down within 7 days after approval. The cash rebate amount will be credited into the Core Account on or before 31 October 2023. Please refer to terms and conditions for more details.9You may set up your investment goal via our Wealth Management Services on the WeLab Bank app, including the relevant investment horizon and one-time investment and monthly investment amounts. Our algorithm will recommend you a model portfolio based on your investment goal as well as your relevant personal circumstances. If you accept the recommendation, we will follow your instruction to process your one-time investment, and invest the monthly investment amount set by you in the model portfolio each month automatically. We will provide you various types of alerts/notifications, including but not limited to alerts/notifications about the status of your investment goal. However, such alerts/notifications are not investment advice. You may view the status of your investment goal and edit your investment goal on the WeLab Bank app according to your needs. The services are not discretionary asset management services. Any recommendation provided under the services is not a guarantee that you will achieve your investment goal.Importance NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house.Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from an independent financial adviser if needed.WeLab Bank is an authorized institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Lifestyle

Do you know what VB stands for? If you‘re one of those tech savvies, you probably know that VB refers to virtual banks.

揭開虛擬銀行神秘面紗 WeLab Bank優勢全面睇！

Discover the Advantages of Virtual Banking: A Closer Look at WeLab Bank

Dollar cost averaging is a technique designed to reduce market risk through regular investments at predetermined intervals and set amounts over time. By buying a fixed dollar amount of a particular investment on a regular schedule, regardless of the share price, investors can purchase more shares when prices are low and fewer shares when prices are high. Consequently, the impact of short-term market fluctuations on an investment can be mitigated and the costs of units purchased are averaged out.This chart shows that if you invest HKD2,000 per month for 10 years, you buy more units when the price is low and fewer units when the price is high.Hypothetical Example<p class="image-container text-center" data-img-alt="GoWealth_MarketBuzz(Chart)2_EN.jpg" data-img-format="center" data-img-max-width="0" data-img-src="/media/images/GoWealth_MarketBuzzChart2_EN.width-500.jpg" element-type="image"><img alt="GoWealth_MarketBuzz(Chart)2_EN.jpg" src="/media/images/GoWealth_MarketBuzzChart2_EN.width-500.jpg" style="width: auto; height: auto; max-width: max(100%, 0px)"/><p class="image-container text-center" data-img-alt="GoWealth_MarketBuzz(Chart)3_EN.jpg" data-img-format="center" data-img-max-width="0" data-img-src="/media/images/GoWealth_MarketBuzzChart3_EN.width-500.jpg" element-type="image"><img alt="GoWealth_MarketBuzz(Chart)3_EN.jpg" src="/media/images/GoWealth_MarketBuzzChart3_EN.width-500.jpg" style="width: auto; height: auto; max-width: max(100%, 0px)"/>According to the table, at the end of the period, the value of the total number of units bought is HKD520,965. This represents an annual rate of return of 8%, which amounts to returns almost 48% higher over the full 10 years when compared with a lump sum investment at the start of the period. The above information used is for illustrative purposes only and are not indicative of any fund performance and the actual returns likely to be achieved by the investor.Source: Allianz Global InvestorsImportant NoticeThis document is for general information only.  The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services.  This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document.  WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house.Past performance is not indicative of future results.  WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document.  Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s).  WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.Allianz GI is a leading active asset manager. For details, please visit: https://hk.allianzgi.com/ .This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

AllianzGI Academy

AllianzGI Academy: Dollar Cost Averaging

Mutual FundsMutual funds, or unit trusts, are a pool of money from a number of investors. You are essentially able to buy a small stake in the mutual fund&#x27;s underlying assets. By investing as a group with other investors, you may access a larger and more diversified pool of assets than you would as an individual.Because the various expenses of investing (such as brokerage commissions, custodian&#x27;s fees etc.) are spread over a larger pool of assets and effectively shared with all the other investors, mutual funds may provide you with a cost effective investment solution.Another key benefit of mutual funds is that it is professionally managed. You have access to the same expertise as a large institutional investor. Your minimum investable money need only be a few thousand dollars, or even less.Equity FundsThese focus mainly or exclusively on stock market investments, looking to achieve capital appreciation over the long term. Most equity funds seek to achieve defined capital growth objective in particular ways. Some focus on one particular stock market – such as Hong Kong. Others will invest in stock markets throughout a particular region of the world – such as the Asia Pacific – or worldwide.Sometimes equity funds will be defined by the sort of companies that they invest in, rather than the part of the world that they are focusing on. Growth stocks, for instance, are investments in companies whose businesses and earnings are likely to expand at a relatively rapid rate. Value stocks, by contrast, are investments in companies that may pay attractive potential dividends and in turn appear to be cheap in terms of the valuations.Bond FundsBond funds tend to focus mainly on fixed income investments, looking for long term capital appreciation and income. Many bond funds can and do provide some capital growth, and they are normally less risky than equity funds.Bond funds are usually defined by the part of the world in which they invest, or the type of bonds in which they invest in. For instance, they may focus on government bonds. Alternatively, they may invest in corporate bonds, which are issued by large companies.Most bonds are assessed for riskiness by major ratings agencies such as Standard &amp; Poor’s or Moody&#x27;s. Some bonds are seen by the agencies as being sufficiently risky that they are &quot;below investment grade&quot;. Such bonds usually include high yield bonds and emerging markets debt.Multi-asset FundsMulti-asset funds combine a stock component, a bond component and, sometimes, a money market component, in a single portfolio. They look for a mixture of potential income and modest capital appreciation.Cash or Liquidity FundsCash or liquidity funds are the least volatile of mutual funds. They invest in bank deposits and, sometimes, short-term bonds of very high quality. They usually carry no risk of capital losses, but offer no prospect of capital gain. Returns to investors come entirely from interest income.Cash or liquidity funds are often attractive to investors who are very risk averse. Whilst they can also be useful as a place to park spare cash for a short period, it is not same as placing monies on deposit with a bank or deposit-taking company.DiversificationInvesting in funds provide you with the ability to build an enormous variety of portfolios. It is possible to spread your investments across stocks, bonds or cash or liquidity – or across a number of countries/locations, industries and sectors.This diversification may reduce risk level, reduce volatility and increase the likelihood that your investments may produce a steady potential return over time.By using mutual funds, you can build an investment portfolio that matches your investment objectives, risk tolerance and personal financial situation.Fund Structure<p class="image-container text-center" data-img-alt="GoWealth_MarketBuzz(Chart)1_EN.jpg" data-img-format="center" data-img-max-width="0" data-img-src="/media/images/GoWealth_MarketBuzzChart1_EN.width-500.jpg" element-type="image"><img alt="GoWealth_MarketBuzz(Chart)1_EN.jpg" src="/media/images/GoWealth_MarketBuzzChart1_EN.width-500.jpg" style="width: auto; height: auto; max-width: max(100%, 0px)"/>* It may vary from fund to fund. Source: Allianz Global InvestorsImportant NoticeThis document is for general information only.  The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services.  This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document.  WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house.Past performance is not indicative of future results.  WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document.  Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s).  WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.Allianz GI is a leading active asset manager. For details, please visit: https://hk.allianzgi.com/ .This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

AllianzGI Academy: Fund Investment Basics

We understand that the recent chain reaction of US and European banks has caused concerns among investors. However, this is exactly the reason why our Bank has designed GoWealth: We hope to help investor to capture opportunities despite volatile market conditions by investing in portfolios with ability to diversification of risks1. And from the recent performance in March, you will be able to see how GoWealth can help you diversify risks1.Real Life Test on GoWealth ResilienceFrom the actual return you will see that the banking sector has taken a big hit from the headlines in March. Despite being considered a more conservative investment, in less than 1 month, the US Dow Jones Banking Index has fallen close to 20%.On the other hand, GoWealth portfolios have clearly stayed away from the impact. The average performance of the GoWealth’s equity portoflios and the mixed asset portfolios have just fallen 0.2% to 0.5%, and the bond portfolios have even risen 0.9% in average.From this comparison, you will see how the diversity of GoWealth’s portfolios demonstrate the risk diversification in real life1.<a href="https://www.welab.bank/en/feature/wealth">Learn more about GoWealth</a>Return Comparison from 1 to 26 March 2023<p class="image-container " data-img-alt="GoWealth_StayCalm(chart)EN.jpg" data-img-format="fullwidth" data-img-max-width="0" data-img-src="/media/images/GoWealth_StayCalmchartEN.width-800.jpg" element-type="image"><img alt="GoWealth_StayCalm(chart)EN.jpg" src="/media/images/GoWealth_StayCalmchartEN.width-800.jpg" style="width: auto; height: auto; max-width: max(100%, 0px)"/>* Past performance is not indicative of future results. The above information is for illustrative purposes only.Average performance of GoWealth Bond Portfolios, GoWealth Mixed Asset Portfolios and GoWealth Equity Portfolios are calculated based on the average return of the respective asset class portfolios in GoWealth, and the return of a portfolio is calculated based on the NAV-to-NAV of the relevant constituent funds in US dollar by composition ratio from 1 March to 26 March 2023Dow Jones US Bank Index return is calculated based on the NAV-to-NAV in US dollar from 1 March to 26 March 2023Dynamic underlying holding in constituent funds increases resilienceGoWealth’s portfolios consist of funds managed by asset management firms with larger scale. Most of the funds do not have any exposure to Silicon Valley Bank, Signature Bank, and Republic Bank. Even for funds with such exposure, it is only less than 0.5% of the funds’ AUM.In order to achieve long term return, the most importance element is to diversify risk and increase the resilience of your portfolio during stressed market. This will help you to capture potential return in a volatile market1. On the flipside, short term trading may result in “Buy High, Sell Low”, resulting in higher loss.We understand market fluctuation may worry you, but we still want to remind you GoWealth’s portfolios are composed of funds, which are investment tool for longer investment term. When judging the performance of the GoWealth’s portfolio, you are advised not to only focus on short-term market fluctuations. Please keep claim when making any investment decision.<a href="https://www.welab.bank/en/feature/wealth">Know more about GoWealth Digital Wealth Advisory</a>Recap on what happened in the US and European BanksWith the aggressive rate hike from the US Fed, the bond price has taken a big hit since last year. Additionally, the borrowing cost has risen, resulting in a lower liquidity in the financial market. Several companies start to withdraw deposits from banks. Hence a few of the banks such as Silicon Valley Bank, Signature Bank, Republic Bank has suffered from the loss in their bond investment, at the same time facing issues with deposit shortage. Market began to panic further once the news came out, causing banking related stock to fall in March.1 Diversification does not guarantee a profit or eliminate the risks involved in the investments. Past performance is not indicative of future results. We make no representation or warranty regarding future performance..Importance Notice This document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house.Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Testing GoWealth’s resilience in real life! | 5-min read

As recent news headline has quoted, the saving rate among banks have started to fall. Many customers are now looking for returns which are higher than time deposit but at the same time relatively stable.Read more to learn how to achieve relatively stable return with manageable risks!Invest into assets with low correlation to achieve auto risk diversificationInvestment is different from time deposit. In general, the risks associated with time deposit are generally lower than that of investment since time deposit is principle guaranteed and its return is determined by the deposit interest rate; and for investment, you get the return through the increase of value of the invested assets. Investment return may be higher than that of time deposit, but the price of invested assets can rise and fall, so the return, as well as the principle, is not guaranteed.Risk diversification is one of the ways to manage the risks associated with investment, and also a common term to many, but not many know how to properly achieve it.The key to diversification is to invest into asset with low correlation, e.g. stock and bond, while avoid going “all-in” into a single stock.As shown by data, referencing the current 5 largest market cap Hong Kong stocks, we can easily see that investing into a global mixed asset portfolio has a much lower volatility1.<p class="image-container " data-img-alt="GoWealth_Insight_March_TD_EN Graph.jpg" data-img-format="fullwidth" data-img-max-width="0" data-img-src="/media/images/GoWealth_Insight_March_TD_EN_Graph.width-800.jpg" element-type="image"><img alt="GoWealth_Insight_March_TD_EN Graph.jpg" src="/media/images/GoWealth_Insight_March_TD_EN_Graph.width-800.jpg" style="width: auto; height: auto; max-width: max(100%, 0px)"/>Performance information of global mixed asset portfolio is based on the NAV-to-NAV of the following relevant benchmark index in US dollar from 2008 to 2022 according to the following proportion: Composition of index are: 30% Global Equity MSCI ACWI NR USD; 60% Global Bond Bloomberg Gbl Agg Corp TR USD; 10% Asia Bond JPM GBI Asia Pacific Div 1-10Y TR USDPerformance information of 5 Hong Kong stocks with largest current market capitalisation (Alibaba, China Mobile, HSBC Holdings, CCB and Tencent Holdings) are based on the NAV-to-NAV in US dollar from 2008 to 2022.Past performance is not indicative of future results. The above information is for illustrative purposes only.Bank saving rate is starting to fall from the peak we see last year. Many investors are very clear that its impossible to just rely on time deposit to fight against inflation. Invest in global multi asset portfolio will auto invest your return. In the long run, outperform the return of TD and inflation1.How can GoWealth help?Leveraging on AllianzGI’s data base2, the portfolio recommendation prepared by GoWealth, has already considered the correlation between asset classes. The key objective is to assist you in capturing market opportunities automatically in different markets!GoWealth, One-stop Fund Investment Advisory SolutionCapitalising on the power of technology and the investment expertise of AllianzGI, GoWealth offers our customers professional wealth advice in the most seamless way. From financial planning and investment portfolio recommendations, to fund transactions and financial goal tracking, all you need is WeLab Bank app, and it will bring you to your goals on autopilot3!<a href="https://www.welab.bank/en/feature/wealth">How to use GoWealth Digital Wealth Advisory?</a><a href="https://www.welab.bank/en/feature/fund/">Additional: New Featured Funds</a>Note: This article is for information only and does not constitute any investment advice. Investment involves risks, please refer to the Important Notice herein for details. GoWealth Digital Advisory Services and fund investment are not deposit and not protected by Deposit Protection Scheme.1Diversification does not guarantee a profit or eliminate the risks involved in the investments. Past performance is not indicative of future results. We makes no representation or warranty regarding future performance.2The algorithm in the GoWealth Digital Wealth Advisory Services relies on the portfolio simulation database containing 12,000 simulation paths for the model portfolios projected over the next 50 years (i.e. 600 months), which reflects our capital market forecast on various asset classes and the model portfolios in terms of risk, return and correlations.3You may set up your investment goal via our Wealth Management Services on the WeLab Bank app, including the relevant investment horizon and one-time investment and monthly investment amounts. Our algorithm will recommend you a model portfolio based on your investment goal as well as your relevant personal circumstances. If you accept the recommendation, we will follow your instruction to process your one-time investment, and invest the monthly investment amount set by you in the model portfolio each month automatically. We will provide you various types of alerts/notifications, including but not limited to alerts/notifications about the status of your investment goal. However, such alerts/notifications are not investment advice. You may view the status of your investment goal and edit your investment goal on the WeLab Bank app according to your needs. The services are not discretionary asset management services. Any recommendation provided under the services is not a guarantee that you will achieve your investment goal.Importance Notice This document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house.Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Where to find investment with stable return? | 3-min read

After the bull market in January 2023 📈, the market seems to have lost its momentum over February. 📉With the hype around AI Chatbot, we challenged the chatbot on giving us wealth insight for today’s market! 💭<p class="image-container text-center" data-img-alt="GoWealth_Insight-March(Screen)EN.png" data-img-format="center" data-img-max-width="0" data-img-src="/media/images/GoWealth_Insight-MarchScreenEN.width-500.png" element-type="image"><img alt="GoWealth_Insight-March(Screen)EN.png" src="/media/images/GoWealth_Insight-MarchScreenEN.width-500.png" style="width: auto; height: auto; max-width: max(100%, 0px)"/>Note: This is not an investment advice and is for reference only.After the test, 🤖 AI Chatbot summarises well on what a good wealth management is about. E.g. Diversification, long-term investing, and avoid emotional investing, which coincidentally matched with GoWealth!But in contrast, 🚀 GoWealth’s algorithm has incorporated with a forward-looking projections, enabling GoWealth to produce detailed simulations and analysis for the next 50 years1.GoWealth, One-stop Fund Investment Advisory SolutionCapitalising on the power of technology and the investment expertise of AllianzGI, GoWealth offers our customers professional wealth advice in the most seamless way. From financial planning and investment portfolio recommendations, to fund transactions and financial goal tracking, all you need is WeLab Bank app, and it will bring you to your goals on autopilot2!<img alt="eDM_footer(ETW)EN.jpg" src="/media/images/eDM_footerETWEN.width-500.jpg" style="width: auto; height: auto; max-width: max(100%, 0px)"/><a href="https://www.welab.bank/en/feature/casagowealthoffer/">Click here to Learn More</a>1The algorithm in the GoWealth Digital Wealth Advisory Services relies on the portfolio simulation database containing 12,000 simulation paths for the model portfolios projected over the next 50 years (i.e. 600 months), which reflects our capital market forecast on various asset classes and the model portfolios in terms of risk, return and correlations.2You may set up your investment goal via our Wealth Management Services on the WeLab Bank app, including the relevant investment horizon and one-time investment and monthly investment amounts. Our algorithm will recommend you a model portfolio based on your investment goal as well as your relevant personal circumstances. If you accept the recommendation, we will follow your instruction to process your one-time investment, and invest the monthly investment amount set by you in the model portfolio each month automatically. We will provide you various types of alerts/notifications, including but not limited to alerts/notifications about the status of your investment goal. However, such alerts/notifications are not investment advice. You may view the status of your investment goal and edit your investment goal on the WeLab Bank app according to your needs. The services are not discretionary asset management services. Any recommendation provided under the services is not a guarantee that you will achieve your investment goal.Note: The GoWealth Auto Upgrade Offer is not applicable to any loan customers in WeLab Bank.* From now until 31 March 2023, if you have successfully opened an Investment Account, for the first 180 days from the date of account opening, you will receive a monthly cash rebate, amount of which shall be equal to Eligible Deposit X Cash Rebate Rate. If you have successfully placed mutual fund(s) subscription order(s) with an one-time investment and/or monthly investment with accumulated amount of not less than HKD 20,000 (or equivalent) with your investment account on or before 31 March 2023, you can even enjoy an additional monthly cash rebate for the first 180 days from the date of account opening, amount of which shall be equal to Eligible Deposit X Bonus Cash Rebate Rate. Please note that: (a) Eligible Deposit refers to the HKD fund placed in your Core Account capped at HKD100,000. (b) Cash Rebate Rate shall be equal to 2.80% minus the current prevailing interest rate applicable to your Core Account, (c) Bonus Cash Rebate Rate shall be 1.00%. This program is not applicable to any loan customers of WeLab Bank. Terms and conditions apply. For more details, please visit https://www.welab.bank/en/legal/casagowealth_offer_tnc/^From now until 31 March 2023, if you are an existing customer of our Wealth Management Services and have successfully placed mutual fund(s) subscription order with an one-time investment and/or monthly investment order(s) with accumulated amount of not less than HKD 20,000 (or equivalent), for the first 180 days from the first successful order placement date, you will receive a monthly cash rebate, amount of which shall be equal to Eligible Deposit X Cash Rebate Rate, in which: (a) Eligible Deposit refers to the HKD fund placed in your Core Account capped at HKD100,000, (b) Cash Rebate Rate shall be equal to 3.80% minus the current prevailing interest rate applicable to your Core Account. Note: This program is not applicable to any loan customers in WeLab Bank. Terms and conditions apply. For more details, please visit https://www.welab.bank/en/legal/casagowealth_offer_tnc/Importance NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house.Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

AI took a test on wealth advice! | 1-min read

The &quot;January Effect&quot; has been a well-known hypothesis in the investment world. The idea behind is straight forward, statistically speaking, the full year stock market performance is more likely to end on a rise when we see a positive return in January, and vice versa. Some says this is because traditionally, January is the time when fund manager reset their investment strategy for the year, hence to a certain extent, the money flow of January does have its reference value.As for 2023, January has gone by in a blink, and we’ve seen a strong performance from both the global stock market and the Hong Kong stock market, which have risen 7% and 9% respectively.Having said that, the January effect is only one of the many reference data. Investors should always have a forward-looking view to the market. Back by top fund houses, GoWealth Digital Wealth Advisory can offer you a holistic market analysis. We have summarized 3 main factors these top fund houses are looking at for you below:<ul><li>Inflation Expectations</li></ul>PIMCO: Even with the range of scenarios, uncertainty over the outlook for the Fed should be much lower in 2023. This led us to focus on the concentric circles investment framework. If the Fed and other central banks can convince investors that the center will hold, then assets at the center should perform well. And – sequentially – this should feed into improved returns at the higher risk asset. But in the event there is a loss of confidence on inflation, and central banks are forced to raise rates more than expected, this will have negative consequences for the higher risk assets.<ul><li>Signal for Recession</li></ul>Blackrock: Central banks are deliberately causing recession by overtightening policy to tame inflation, in our view. That makes recession foretold. What matters: our view on the pricing of economic damage and our assessment of market risk sentiment. Investment implication: We stay underweight DM equities but expect to turn more positive at some point in 2023.<ul><li>Covid Development in China</li></ul>Invesco: China&#x27;s equity market delivered positive return this month with the long-anticipated announcement of China’s full reopening of borders. We expect a surge in people mobility after the long-awaited reopening, where there will be a pent-up demand for travel and domestic demand. In Hong Kong, with close proximity and intimate economic relationships with China, it is expected to be one of the largest beneficiaries of China’s reopening, where we expect more trades across border and influx of visitors from mainland China to Hong Kong.How can GoWealth help you?Want to invest intelligently? Make sure you don’t only monitor January’s market performance. Backed by WeLab Bank’s fintech experience and AllianzGI’s investment management expertise, “GoWealth Digital Wealth Advisory Services”, provides projection of the market trends in the next 50 years1, to help you make well-informed and strategized investment decisions.Click Here for Full Article PIMCO: <a href="https://www.pimco.com.hk/zh-hk/insights/blog/cyclical-outlook-key-takeaways-strained-markets-strong-bonds">https://www.pimco.com.hk/zh-hk/insights/blog/cyclical-outlook-key-takeaways-strained-markets-strong-bonds</a> Blackrock: <a href="https://www.blackrock.com/hk/en/insights/global-investment-outlook?switchLocale=Y">https://www.blackrock.com/hk/en/insights/global-investment-outlook?switchLocale=Y</a> Invesco: <a href="https://apc01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.invesco.com%2Fhk%2Fen%2Finvestment-ideas%2Fgms%2Fmarket-insight-global-monthly-outlook-january-2023.html&amp;data=05%7C01%7Cjonathan.tse%40welab.bank%7Cb20d1cbc9a9a438bc2e808db0271012f%7Caae9b0b7c92f4950947db3a8f70db233%7C0%7C0%7C638106456630203152%7CUnknown%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwMDAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6Mn0%3D%7C3000%7C%7C%7C&amp;sdata=bnNgD9NqLznQNRc73O9xJ5wlc1Ogf2G8FuULhX%2BiU4o%3D&amp;reserved=0">https://www.invesco.com/hk/en/investment-ideas/gms/market-insight-global-monthly-outlook-january-2023.html</a>Note: This document is for information only and does not constitute any investment advice. Past returns are not indicative of future performance. The above information is for illustrative purposes only. Investment involves risks, please refer to the Important Notice herein for details. GoWealth Digital Advisory Services and fund investment are not deposit and not protected by Deposit Protection Scheme.1The algorithm in the GoWealth Digital Wealth Advisory Services relies on the portfolio simulation database containing 12,000 simulation paths for the model portfolios projected over the next 50 years (i.e. 600 months), which reflects our capital market forecast on various asset classes and the model portfolios in terms of risk, return and correlations. Such information and simulations are assumptions only. They do not reflect or project actual investment performance of the model portfolio or performance of any constituent funds therein. The recommendation is not a guarantee that you will achieve your goal.Importance Notice This document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house.Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

How reliable is the “January Effect”? | 3-min read

Chinese New Year is coming in a few days, it’s time to get some Feng Shui decorations to boost your wealth, health and polarity and to eliminate the bad fortune in the Year of Tiger. In the investment world, while the Year of the “Gui Mao” ---“Water Rabbit” --- is approaching, there is hope in stock market to rise like a rabbit emerging from her burrow after the volatility in the Year of Tiger. In fact, Hang Seng Index (HSI) is off to a strong start, has gained 7%1 since the start of 2023.While there is no “Tung Shing” almanac for investment market, we can still find some profound up and down cycles if we look at the stock markets in the previous Rabbit years. For example, in the last Rabbit year in 2011, HSI slumped 15.89% amid global financial turmoil, the worst year since the financial crisis in 2008. On the other hand, HSI soared nearly 70% in another Year of the Rabbit in 1999 and brought tremendous returns for investors, led by tech stocks boom.Hong Kong Stock Market Performance* in the previous Rabbit years <p class="image-container " data-img-alt="GoWealth_YOR(Blog)Chart1_EN.jpg" data-img-format="fullwidth" data-img-max-width="0" data-img-src="/media/images/GoWealth_YORBlogChart1_EN.width-800.jpg" element-type="image"><img alt="GoWealth_YOR(Blog)Chart1_EN.jpg" src="/media/images/GoWealth_YORBlogChart1_EN.width-800.jpg" style="width: auto; height: auto; max-width: max(100%, 0px)"/><p class="image-container " data-img-alt="GoWealth_YOR(Blog)Chart2_EN.jpg" data-img-format="fullwidth" data-img-max-width="0" data-img-src="/media/images/GoWealth_YORBlogChart2_EN.width-800.jpg" element-type="image"><img alt="GoWealth_YOR(Blog)Chart2_EN.jpg" src="/media/images/GoWealth_YORBlogChart2_EN.width-800.jpg" style="width: auto; height: auto; max-width: max(100%, 0px)"/>* Hong Kong Stock Market Performance with the designated period is the Hang Seng Index change within the period.  Source:, “Wall Street Journal”Past returns are not indicative of future performance. The above information is for illustrative purposes only.Investment Forecast in the Year of the Rabbit 2023The investment market sentiment in the Year of Tiger was dismal. However, stock market trends always have ups and downs with crest coming after trough, as depicted in the graph above. Understanding the principles behind will allow investors to objectively deploy capital. Looking to the coming Year of the Rabbit, as global commodity prices and inflation start to ease, alongside the easing of covid restrictions in China, Hong Kong and global stock markets could emerge from the trough, and get ready for a “Bunny Jump” rebound!<hr/>What is the view from AllianzGI, our fund partner?Prepare for the potential equity market turnaround: in the short term, we are approaching the point when bad news for the economy could become good news for equity markets as weakening economic activity will start to lean on inflation. This could bring a slower pace of rate increases – and eventually a peak in rates in 2023 – accompanied by recession.Amid volatility in 2023, investors could consider anchoring portfolios with low-volatility multi-factor strategies that offer a possible bedrock of stability on which to build. Second, explore quality value and growth opportunities as well as income. Finally, consider high-conviction thematics around key pillars such as national security (eg, food, energy, water, cyber security), climate resilience and innovation (eg, AI) and sustainability.Source: Allianz Global Investors<hr/>How can GoWealth help?While some may believe in the Feng Shui cycles, to a certain extent it is similar to the stock market where cycles can be found. As a long term investor, the key is to create an all-weather multi-asset portfolios. Backed by AllianzGI’s investment expertise, GoWealth’s portfolios cover a wide range of global asset, aiming at diversifying the customers’ investment more efficiently, reducing the impact to investment portfolio due to market volatility.Note: This document is for information only and does not constitute any investment advice. Past returns are not indicative of future performance. The above information is for illustrative purposes only. Diversification does not guarantee a profit or eliminate the risks involved in the investments. Investment involves risks, please refer to the Important Notice herein for details. GoWealth Digital Advisory Services and fund investment are not deposit and not protected by Deposit Protection Scheme.1CNBC: As at 11 January 2023Important NoticeThis document is for general information only.  The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services.  This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document.  WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house.Past performance is not indicative of future results.  WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document.  Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s).  WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.Allianz GI is a leading active asset manager. For details, please visit: https://hk.allianzgi.com/ .This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

3分鐘閱讀 (2023年1月刊) | 「兔」氣揚眉迎新年？兔年股市走勢睇呢度！

Year of the Rabbit: Will there be a “Bunny Jump” in the stock market? | 3-min read

2022 has been a special year for investors: First, the Hang Seng Index fell over 10,000 points from the highest point (a drop of 40%!). Then in November, the Hang Seng Index achieved the highest single-month increase since October 1998. The key to success in a volatile market is to closely monitor the market. If you can’t do it yourself or have an investment advisor to help you, GoWealth is a very good choice for you.In only 6 months since launched, there have already been close to 100,000 userswho have tried3. GoWealth’s services. Want to know why the overwhelming trust and support for GoWealth? Let’s take a look at the performance of GoWealth&#x27;s portfolios in the last quarter!100% Positive returns for the portfolios in 2022 Q41<p class="image-container " data-img-alt="GoWealth_PerformanceReview(Blog)Chart1_english" data-img-format="fullwidth" data-img-max-width="0" data-img-src="/media/images/GoWealth_PerformanceReviewBlogChart1_EN.width-800.jpg" element-type="image"><img alt="GoWealth_PerformanceReview(Blog)Chart1_english" src="/media/images/GoWealth_PerformanceReviewBlogChart1_EN.width-800.jpg" style="width: auto; height: auto; max-width: max(100%, 0px)"/>Note: The figures above are the average returns of GoWealth&#x27;s model portfolios rated as low risk, low to medium risk and medium risk respectively, which are calculated based on the NAV-to-NAV of the constituent funds in the relevant model portfolios in US dollar from 1 October to 31 December 2022. Past performance is not indicative of future results. The above information is for illustrative purposes only.Despite facing a volatile market, through AllianzGI’s expertise in risk management and asset allocation, GoWealth Multi-asset portfolio is able to capture supreme return.<p class="image-container " data-img-alt="GoWealth_PerformanceReview(Blog)_performance_EN" data-img-format="fullwidth" data-img-max-width="0" data-img-src="/media/images/GoWealth_PerformanceReviewBlogChart2_EN.width-800.jpg" element-type="image"><img alt="GoWealth_PerformanceReview(Blog)_performance_EN" src="/media/images/GoWealth_PerformanceReviewBlogChart2_EN.width-800.jpg" style="width: auto; height: auto; max-width: max(100%, 0px)"/>Note:<ol><li>The investment return assumption show in “Medium Risk GoWealth Portfolio Average Return” is linked to the average NAVs of all the GoWealth’s model portfolios rated as Medium risk, which is calculated based on the HKD equivalent of the NAVs of the constituent funds in the relevant model portfolios. “Medium Risk GoWealth Portfolio Average Return” is only for the purpose of illustrating the average investment return of all the GoWealth’s model portfolios rated as Medium risk. You cannot directly invest in “Medium Risk GoWealth Portfolio”. The average return assumption does not include (i) any subscription fee incurred in the subscription of the portfolio and (ii) any foreign currency exchange costs and charges involved in the subscription and redemption of the portfolio.</li><li>The investment return assumption shown in the &quot;US Stock Index&quot; is linked to the performance of the U.S. S&amp;P 500 Total Return Index (USD). The investment return shown in the &quot;Global Bond Index”is linked to the performance of the Bloomberg Global Aggregate Index (Total Return) (USD)). You cannot invest directly in the above indices. The investment returm assumption excludes all fees and taxes, and any foreign currency conversion costs and charges.</li><li>Past returns are not indicative of future performance. The above assumptions are for illustrative purposes only.</li></ol>Why GoWealth?GoWealth&#x27;s intelligent investment engine integrates the power of financial technology and Allianz Global Investment’s management expertise, so that customers can invest in global investment portfolios at the fingertips. Investment has never been this intelligent and easy! Want to experience the powerful investment engine? Head to GoWealth page in the app now, and activate your investment account in just a few steps!Note: This is for information only and does not constitute any investment advice. Investment involves risks, please refer to the Important Notice herein for details. GoWealth Digital Advisory Services and fund investment are not deposit and not protected by Deposit Protection Scheme.1Based on the NAV-to-NAV of the constituent funds in the relevant GoWealth portfolios in US dollar from 1 October to 30 November 2022 and is for illustration purposes only. Past performance is not indicative of future results.2“Moderate Multi-Asset portfolio” is one of the GoWealth model portolios. “Outperformed the US Stocks” means the investment return of “Moderate Multi-Asset portfolio” from 1 October to 30 November 2022 calculated based on the NAV-to-NAV of its constituent funds in US dollars (11%) is higher than the increase of the U.S. S&amp;P 500 Total Return Index (USD) in the same period (8%). Information is for illustration purposes only. Past performance is not indicative of future results.3This is number of access to GoWealth page from WeLab Bank app counted since 30 June 2022 to 31 Dec 2022.Importance NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons.The information or opinion presented has been taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house.Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be).You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

GoWealth portfolios' recorded great performance in 2022 Q4; Moderate Multi-Asset portfolio outperformed the US stock(2)! | 3-min read

Time deposit has been a popular topic in HK recently. But is this the only ‘lazy’ way to manage your wealth? Of course not! Time deposit allows you to receive interest in a fixed period but if you are looking for long term growth, GoWealth maybe a better investment tool! With ultimate flexibility in your investment,GoWealth helps you invest into fund portfolios in just a few steps. Except great flexibility, GoWeatlh also helps you win with stability in volatile market condition.GoWealth’s portfolio has recorded up to 12%* high return in the 4th quarter this year!While it’s understandable that some investors are still hesitant to invest, as they might have experienced losses from stocks and bonds in 2022. But apart from the rebound in individual markets in the fourth quarter, many experts are optimistic that the market outlook and the potential opportunities for investors as the market begins to stabilize. Read on to learn about some key factors that Allianz Global Investors believes are worth noting for the market outlook in 2023:From Allianz Global Investors: Market overshoot may set the stage for a potential rebound in bonds and equitiesAllianz Global Investors remain rather cautiously positioned in their funds for now. But they expect to see potential opportunities to re-enter bond and equity markets in the course of 2023. Turning points to watch for:<ul><li>Notably bonds, but also equities, could stabilise and rebound once market expectations for rate rises overshoot the required adjustment. Typically, this happens towards the end of a tightening cycle.</li><li>Investor pessimism tends to reach its nadir during a recession. Then investors may start to climb “the wall of worry” – the point at which investors overcome their concerns about negative issues and push securities higher.</li><li>The current rising market volatility could be an ideal environment for active investors to identify opportunities within asset classes.</li></ul><a href="https://www.allianzglobalinvestors.de/MDBWS/doc/AllianzGI-Rates-2023Outlook-ENG-2022.pdf?28b9c83dad2c65c576b513585575b96433591a42">Click here</a> to read the full article.How can GoWealth help you?GoWealth’s intelligent investment engine leverages on the power of fintech and Allianz Global Investors&#x27; management expertise, so that you can invest in top global investment portfolios in a few clicks. Click into GoWealth to start a new investment goal!Note: This article is for information only and does not constitute any investment advice. Investment involves risks, please refer to the Important Notice herein for details. GoWealth Digital Advisory Services and fund investment are not deposit and not protected by Deposit Protection Scheme.*Performance information of the model portfolios available under GoWealth Digital Advisory Services is based on the NAV-to-NAV of the relevant constituent funds in US dollar from 1 October to 30 November 2022. Past performance is not indicative of future results.Importance NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons. The information or opinion presented has been taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house. Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be). You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed. WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities. This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Potential rebound in 2023, what should investor look out for? | 3-min read

The world&#x27;s greatest football tournament🏆 is around the corner! Like no other precedents, it’s the first time the tournament being held mid-season. With teams catching up by having a match every 3 or 4 days, and having limited time to rest between matches, many teams had to push themselves to the limits and even play with injuries.To win smart in a match, it takes more than just techniques - a versatile strategy is indispensable. Facing unprecedented challenges, the world of investment also needs a versatile strategy to adapt to the ever-changing market.Looking for a strategist to help you in investment? GoWealth digital wealth advisor has your back. Read on to learn the 3 strategies GoWealth has in store for you:Strategy 1: Intelligent engine for flexible investmentTogether with Allianz Global Investors, we have co-devloped a sophisticated system that powers GoWealth’s investment engine1, to help to provide detailed market analysis. With our smart alerts2 that keep you in the know of the latest market fluctuations, you can also adjust your investment goals and strive towards your goals anytime📈- all in WeLab Bank app.Strategy 2: Invest with the ultimate peace of mind with our strong investment capabilityBacked by top global fund houses - BlackRock, Invesco, Janus Henderson and PIMCO and more, GoWealth makes sure your portfolio is in the right hands. The fund managers are all from top global asset management firms with global investment expertise, risk management capability, and know-how in sustainable investing (ESG) to help you capture market opportunities.Strategy 3: Reduce your risk with GoWealth’s diversified portfolioThrough technology, GoWealth leverages on a solution, which was mostly used by institutional investors, to provide a list of portfolios with optimized asset allocation aiming at diversifying the customers’ investment more efficiently, reducing the impact to investment portfolio due to market volatility3.Disclaimer:1The algorithm in the GoWealth Digital Wealth Advisory Services relies on the portfolio simulation database containing 12,000 simulation paths for the model portfolios projected over the next 50 years (i.e. 600 months), which reflects our capital market forecast on various asset classes and the model portfolios in terms of risk, return and correlations. Such information and simulations are assumptions only. They do not reflect or project actual investment performance of the model portfolio or performance of any constituent funds therein. The recommendation is not a guarantee that you will achieve your goal. 2We will provide you various types of alerts/notifications, including but not limited to alerts/notifications about the status of your investment goal. However, such alerts/notifications are not investment advice. 3Diversification does not guarantee a profit or eliminate the risks involved in the investments.Important NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons. The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house. Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be). You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed. WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities. This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Up your investment game with GoWealth | 3-min read

Everyone wants to invest at the best timing, but is there such a thing at all? Let’s first analyze the global market this year, before we dive into how GoWealth can help you stay well-invested in the long term, even in a volatile market.The global market situation in 2022The global market has been very volatile in 2022. In addition to the substantial adjustments in the stock, bond and foreign exchange markets, the Hang Seng Technology Index has dropped by nearly 70% from its peak last year, and the Nasdaq Index has also dropped by over 30% from its peak last year. Many investors wanted to take the opportunity to invest in a flat market, but at the same time worried that the fluctuating market would crumble again.The best investment timing?In fact, no one can accurately predict the market, so we should always revisit the most basic concept of investment – it&#x27;s a long-term thing. Simply by taking advantage of the average cost method, you can enter the market in different timings, by investing just a little each month, to reduce the risk of market timing. Eventually, the market will always recover slowly after going through a cycle. Therefore, instead of betting on everything with the mentality of &quot;making quick bucks&quot;, it is better to diversify risk investment and earn long-term returns.How can GoWealth help you?1. Effective risk management with diversified investment portfoliosThrough technology, GoWealth leverages on a solution, which was mostly used by institutional investors, to provide a list of portfolios with optimized asset allocation aiming at diversifying the customers’ investment more efficiently, reducing the impact to investment portfolio due to market volatility.2. All-round portfolio to capture market opportunitiesGoWealth’s investment portfolio covers actively managed mutual funds diversified across asset classes. The fund managers are all from top global asset management firms with global investment expertise, risk management capability, and know-how in sustainable investing (ESG). The solution strives to assist customers in capturing market opportunities.3. Minimize market timing risk with average cost methodTo reduce market timing risks, you can use GoWealth to set up a monthly investment plan at a few clicks. Then, you can automatically invest every month, and enjoy the advantage of the average cost method to reduce market timing risks and enjoy long-term returns.Important NoticeInvestment involves risks. Diversification and “average cost method” provide no guarantee to your investment return and do not eliminate the risks involved in investment. This document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons. The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house. Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be). You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed. WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities. This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Investment 101: Volatile market? GoWealth’s here to help!

Investment 101: Volatile market? GoWealth’s here to help! | 3-min read

The performance of Hong Kong stocks has been unsatisfactory this year with the benchmark Hang Seng Index plunged 17% since the second quarter, landing below 19000 points. While some think it’s the time to buy the market bottom, some afraid the stock market will continue to fall. Investors are generally prone to irrational behaviour due to their human instincts and tend to buy while investor sentiment is strong and anxious when the market falls. Many ends up buy high and sell low and lost money.Bruno Lee1, who has extensive experience in the region’s financial market, has once said: “The world is unpredictable. Who would have thought of Covid-19 to sweep across the world since 2019? But no matter how shocking these events could be, there must be an end out of it, and you won’t see all companies going bankruptcies. People generally stay away from risks when the market performs extremely, but my decade-long experience in the financial market has taught me to invest gradually for future decent returns.”Indeed, assuming an investor has invested on a monthly basis, he would have accumulated impressive returns over the last decade. The most important thing is that investors must not worry about the timing of making a lump sum investment but average out the cost over time from regular contribution to sail through volatility.Assuming monthly investment of HKD 5,000 into S&amp;P 500 Index since September 2012<ul><li>Investment Principal: HKD5,000 x 120 months = HKD600,000</li><li>Final accumulated amount: HKD 1.108 million</li><li>Cumulative return: 84.8%</li><li>Annualized return during the period 11.2%</li></ul>Note: The above investment return assumption is linked to the performance of the US S&amp;P 500 index and is for reference only, you cannot invest in the S&amp;P 500 directly. The above investment return assumption only considers the principal investment and does not take into account any fees and taxes. Past returns are not indicative of future performance. The above examples are for illustration only.What does our Fund House partner Blackrock say?The wild gyrations of the markets over the last years has reminded some of the great financial crisis of 2008. Before 2019, most didn’t know what a coronavirus was. Now it’s impacting our daily lives. Unexpected stuff happens, which is why being prepared is so important. It’s why we preach diversification and suggest building portfolios that include seemingly boring investments that don’t go anywhere, making us wonder why we own them. Now we know why.The terrific returns of the past eleven years have also come with very little volatility. The correction (an index down 10% from its peak) we officially reached two weeks ago was only the 6th such episode over the past eleven years. Prior to the current decline, the worst of the bunch (down ~20%) occurred at the end of 2018. The second worst (down 19%) occurred in 2011. In both cases, the market recovered and made new highs within five months. It shouldn’t chase you away from the stock market, especially if you have a long horizon.<p class="image-container text-center" data-img-alt="english_portfolio-consideration-chart.png" data-img-format="center" data-img-max-width="0" data-img-src="/media/images/english_portfolio-consideration-chart.width-500.png" element-type="image"><img alt="english_portfolio-consideration-chart.png" src="/media/images/english_portfolio-consideration-chart.width-500.png" style="width: auto; height: auto; max-width: max(100%, 0px)"/>How can GoWealth help?Through technology, GoWealth leverages on a solution, which was mostly used by institutional investors, to provide a list of portfolios with optimized asset allocation aiming at diversifying the customers’ investment more efficiently, reducing the impact to investment portfolio due to market volatility. In addition to that, constitution funds are all sourced from top global asset management firms such as, AllianzGI, Blackrock, Invesco, PIMCO and Janus Henderson.GoWealth’s simulation methodology has also considered your monthly investment amount2. Investment from different timeframe, has different return expectations. This method will help you avoid timing the marketing. Through the monthly investment function of GoWealth, you can stably capture market opportunities.Try the simple user interface of GoWealth now to set your first monthly investment plan!Footnote:<ol><li>Bruno Lee is the Group Advisor of WeLab. Bruno has various management positions in multiple large-scale multinational banks and financial institutions, in which he led the development of wealth management and asset management businesses across Asia.</li><li>The algorithm in the GoWealth Digital Wealth Advisory Services relies on the portfolio simulation database containing 12,000 simulation paths for the model portfolios projected over the next 50 years (i.e. 600 months), which reflects our capital market forecast on various asset classes and the model portfolios in terms of risk, return and correlations. Such information and simulations are assumptions only. They do not reflect or project actual investment performance of the model portfolio or performance of any constituent funds therein. The recommendation is not a guarantee that you will achieve your goal.</li></ol>Important NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons. The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house. Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be). You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed. WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities. This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Buy high and sell low? Why not to take a systematic approach to growth your wealth? | 3-min read

Kristina Hooper, Chief Global Market Strategist, InvescoKristina Hooper, the Chief Global Market Strategist of Invesco issued the following market insight on 20 July 2022:Key takeaways<ul><li>Global supply chain pressures are easing: While still very elevated, global supply chain pressures have decreased, in part due to an improvement in China supply delivery times.</li><li>There are some bright spots in recent inflation data: While headline US inflation rose last month, I see a few positive takeaways in the recent data.</li><li>Positive economic signs have emerged in China: China’s second-quarter economic growth was disappointing, but June saw a solid rebound.</li></ul>As I have mentioned before in this blog and in media interviews, I find the current global market environment to be overly pessimistic. After all, two years ago we were in the throes of a global pandemic and were unsure if there could be an effective vaccine developed against COVID ever, let alone in the near term. We are in a much different place today. Of course, it’s not ideal to have such a high level of inflation and such an aggressive tightening underway for many developed market central banks, but I’d argue we are in a far better place than we were two years ago.However, that doesn’t seem to be how many feel. Pessimism is high for consumers, businesses, and financial markets in much of the world. I thought it might be helpful to provide a few reasons for optimism in this environment. Below are seven reasons to be positive in this environment.<ol><li>Global supply chain pressures are easing While still very elevated, global supply chain pressures have decreased over the last several months, as indicated by the Global Supply Chain Pressure Index. The decline in the last month was largely due to an improvement in China supply delivery times, which makes sense given that many cities have re-opened following COVID lockdowns. This indicates that at least one inflationary pressure is easing.</li><li>Commodity prices are on the decline While still elevated, commodity prices are easing as well. The Goldman Sachs Commodity Index is down 19.92% from its peak this year, which was registered on March 8.1 The Bloomberg Commodity Index is down 16.94% from its peak, which occurred on June 9. 1This indicates that at least one other inflationary pressure is easing. By the way, this in turn should moderate the rate of increase in the goods portion of the US Producer Price Index (PPI) — with a lag, of course — which suggests that goods inflation is also likely to moderate sometime soon.</li><li>There are some bright spots in recent inflation data While headline US Consumer Price Index (CPI) and Personal Consumption Expenditures (PCE) each rose in their last report, core CPI and PCE growth (which exclude food and energy prices) have very recently actually declined slightly. 2And even though last week’s PPI print was higher than expected, there were a few positive takeaways to be found. Service PPI went up by only 0.4% month over month. 3And the index for services for intermediate demand was unchanged in June, following seven consecutive advances.3 These suggest that service sector inflation may moderate in the near future.</li><li>Longer-term US inflation expectations are becoming better anchored We learned last week that five-year ahead inflation expectations, as measured by the University of Michigan survey, fell to 2.8% from 3.1% in the prior month. 4The New York Fed Survey of Consumer Expectations, which was released early last week, showed similar results. Like the Michigan Survey, the New York Fed Survey showed an increase in one-year ahead inflation expectations and a decrease in five-year ahead inflation expectations. In addition, it also showed a material decrease in three-year ahead inflation expectations, from 3.9% in May to 3.6% in June. 5These two surveys help confirm that longer-term inflation expectations are reasonably well-anchored and becoming slightly better anchored, which arguably could provide the Fed with the cover to not tighten policy so significantly that a recession ensues. More specifically, it suggests the Fed is unlikely to hike rates by 100 basis points at its next meeting; 75 basis points seems more appropriate, in my view. This is in contrast to inflation expectations in Canada. A recent Bank of Canada Survey of Consumer Expectations showed five-year ahead inflation expectations rose from 3.23% in the first quarter to 4% in the second quarter, 6which helps to explain why the Bank of Canada felt the need to increase rates by 100 basis points at its last meeting.</li><li>Positive economic signs have emerged in China China’s second-quarter economic growth was disappointing, but June saw a solid rebound. China reported a disappointing Q2 gross domestic product growth of 0.4% year-over-year due to Omicron-related lockdowns. 7However, growth broadly rebounded in June as pandemic restrictions eased. We continue to expect an economic recovery in the second half, led by industrial production and infrastructure investments due to pro-growth policies.</li><li>The COVID situation in China has improved Cities have reopened and economic activity is improving. However, there have been increases in infection rates reported recently in some areas, which has some worried that wide-scale lockdowns could occur again. To me, this seems very unlikely given that China’s COVID policy has evolved and adapted in recent months — from a Zero COVID policy to a Dynamic Zero COVID policy to a Dynamic Social Zero COVID policy. That means smaller areas, such as neighbourhoods, could be locked down in the event of a rise in infections rather than larger geographical areas. This policy is supported by daily COVID testing, which enables policymakers to react quickly to any increase in infections, before it can spread broadly.</li><li>When pessimism permeates markets, positive surprise can be more powerful Stocks have been beaten down. That doesn’t mean we won’t see more downside for some stock markets around the world, especially given that earnings expectations are likely to be adjusted downward. But I believe we are far closer to the bottom than the top — and meaningful positive catalysts could present themselves in coming months.</li></ol>With contributions from Tomo Kinoshita, Arnab Das, David Chao and Brian Levitt<ol><li>Source: Bloomberg, as of July 15, 2022</li><li>Source: Bloomberg, Macrobond, Invesco. Data through June (headline) and May (core), as at 15 July 2022</li><li>Source: US Bureau of Labor Statistics, as of 7/14/22</li><li>Source: University of Michigan Survey of Consumers, as of July 15, 2022</li><li>Source: Federal Reserve Bank of NY Survey of Consumers, as of July 11, 2022</li><li>Source: Bank of Canada Survey of Consumer Expectations, Second Quarter 2022, July 4, 2022</li><li>Source: China National Bureau of Statistics (NBS). Data as of June 2022</li></ol>Important NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons. The information or opinion presented has been taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house. Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be). You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed. WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities. This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Invesco: Seven reasons to be positive in this market environment | 10-min read

During the hot summer, it is already exhausting to walk outside. Apart from the rising temperature, what is worse is that Hong Kong people are simultaneously under the pressure of inflation. The living index in Hong Kong has always been high but in June, the overall consumer price has risen by 1.8% year-on-year1 . It doesn’t seem to be that serious on the surface, but if you look closely, prices of everyday groceries have leapt so dramatically. For instance, we have seen prices on fruits, freshwater fish and fresh vegetables increased by 16%, 13.3% and 10.7% year-on-year respectively1, leaving families struggling under what is already a stressful time. As for motor oil prices, which have been rising by an average of 30% in the past year2, continue to create panic among drivers.Most Hongkongers try to save their hard-earned money by reducing spending and avoiding investment. In reality, continued inflation will actively deprive us of our purchasing power over time. If the annual inflation stands at 5%, then your purchasing power will decrease by 5% every year. If you have HK$1,000,000 assets, with a 5% inflation rate, your purchasing power will reduce HK$226,000 in 5 years and HK$401,000 in 10 years3! In other words, expressing in terms of a cup of coffee that you can buy today, your purchasing power can weaken to only be able to buy 3/5 cup of the same coffee in ten years.<p class="image-container text-center" data-img-alt="Wealth_Insight(blog)_coffee.png" data-img-format="center" data-img-max-width="0" data-img-src="/media/images/Wealth_Insightblog_coffee.width-500.png" element-type="image"><img alt="Wealth_Insight(blog)_coffee.png" src="/media/images/Wealth_Insightblog_coffee.width-500.png" style="width: auto; height: auto; max-width: max(100%, 0px)"/>Inflation on the rise: Risk VS OpportunityInflation is on the rise, which seems to be negative, but it could also mean attractive investment opportunities. Simply put, interest income and nominal capital gain that are due to inflation could bring good potential returns from an investment. According to PIMCO’s latest investment review, the hike in interest rates has opened a more attractive income path to investors down the road. The reason being the yield of the 10-year US treasury bond has risen from 1.63% earlier to the current 3.25%4, a level which has not been seen in some time. Although existing bond holders will face price losses, investors who intend to enter the market can now expect to enjoy a higher potential return.How can GoWealth be of help?According to GoWealth’s forecast on capital markets, our GoWealth Digital Wealth Advisory Services have factored in the impact of interest rate hikes and inflation on different investment markets5. In fact, GoWealth has forecasted that the long-term potential annual return for global high-yield bonds will meet 4.4%6, and the potential annual return for global stocks will reach 7.3%6, which is believed to be helpful to investors in fighting inflation and keeping their purchasing power.Our GoWealth Digital Wealth Advisory Services and algorithm can assess the returns or loss in short, medium and long term according to your portfolio allocation7. Head to our app and try our goal setting feature – experience how super easy to navigate the powerful GoWealth Digital Advisory.Footnote:<ol><li>Source: Census and Statistics Department, data extracted from Consumer Prices in June 2022: <a href="https://www.censtatd.gov.hk/en/scode270.html">https://www.censtatd.gov.hk/en/scode270.html</a></li><li>Source: Consumer Council; data extracted from 19 July 2021 to 18 July 2022 based on the average unleaded petrol prices of the top five oil companies in Hong Kong: <a href="https://oil-price.consumer.org.hk/en/chart">https://oil-price.consumer.org.hk/en/chart</a> .</li><li>Purchasing power reduction amount is calculated assuming annual inflation rate remains 5%.</li><li>Source: PIMCO; data as of 22 June 2022.</li><li>The algorithm in the GoWealth Digital Wealth Advisory Services relies on the portfolio simulation database containing 12,000 simulation paths for the model portfolios projected over the next 50 years (i.e. 600 months), which reflects our capital market forecast on various asset classes and the model portfolios in terms of risk, return and correlations. Such information and simulations are assumptions only. They do not reflect or project actual investment performance of the model portfolio or performance of any constituent funds therein. The recommendation is not a guarantee that you will achieve your goal.</li><li>Forecasted potential annual return reflects our capital market forecast on such asset class in terms of risk, return and correlations. Such information is assumption only, which does not reflect or project actual investment performance or return of such asset class.</li><li>Each Model Portfolio corresponds with certain risk profiles and asset classes which consists of a certain number of funds selected by the Bank. The asset allocation of asset classes is determined by AllianzGI and the Bank. The Selected Funds within a certain asset class and their composition in the Model Portfolio will be determined at the Bank’s sole discretion and may vary from time to time.</li></ol>Important NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons. The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house. Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be). You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed. WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.Allianz GI is a leading active asset manager. For details, please visit: https://hk.allianzgi.com/ .This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

Hot inflation warning! | 1-min read

Hong Kong and the US stocks have been very turbulent this year, causing losses to investors. The Fed’s interest rate hikes have resulted in market slumps as at 14 June 2022. Investors are also concerned with the next interest rate increase of 75 basis points, as the Fed announced on 15 June 2022.Net total returns for major indices*<ul><li>Hang Seng Index: -9.4%</li><li>MSCI World Index: -21.0%</li><li>MSCI AC Asia ex Japan: -15.9%</li><li>Bloomberg Global-Aggregate: -10.7%</li><li>FTSE Asia Broad Bond : -11.9%</li><li>Bloomberg Global High Yield: -13.5%</li></ul>Source: Bloomberg, year-to-date net total return as at 14 June 2022Interest rate rise may not be a negative impact on stocksHow should investors manage the downside risk? Interest rate hikes usually have a negative impact on bond performance, as bond prices drop when yields increase. Nonetheless, the future returns may increase after getting through the low interest rate environment. If we look at the past four rate hike cycles, S&amp;P 500 has jumped 15.3% on average from initial hike to last hike. Therefore, rising interest is not necessarily a bad thing for stock markets historically.Three investment strategies under rate hike cycle by AllianzGI<ol><li>Rate hikes will affect bond prices, especially long-term bonds. Investing in short-term bonds could help to ease the impacts from rising rates.</li><li>In the short run, there is still uncertainty in the market with increasing concerns related to economic growth, interest rate rise trend, inflation, geo-political risk etc. Investors should balance the risk and return, and build a resilient investment portfolio.</li><li>From the long term investment prospective, a more balanced portfolio with stocks and bonds can provide both potential returns and downside cushioning.</li></ol>How could GoWealth help you?With reference to the capital market predictions from AllianzGI, GoWealth has accounted for impacts to different investment markets from future rate rise in the recommended investment portfolio1. GoWealth makes good use of short-term bonds in the global fixed income allocation, as to provide protection in volatile markets2.Our GoWealth Digital Wealth Advisory Services and algorithm can assess the returns or loss in short, medium and long term according to your portfolio allocation. It can also project market trends in the next 50 years, which reflects our capital market forecast on various asset classes and the model portfolios in terms of risk, return and correlations1. GoWealth Investment is a medium to long term investment, investors should not over panic on short term fluctuation.If you wish to check you goal details, check out our GoWeath&gt;My TargetFootnote:<ol><li>The algorithm in the GoWealth Digital Wealth Advisory Services relies on the portfolio simulation database containing 1,000 simulation paths for each model portfolio over the next 50 years (i.e. 600 months), which reflects our capital market forecast on various asset classes and the model portfolios in terms of risk, return and correlations.</li><li>Each Model Portfolio corresponds with certain risk profiles and asset classes which consists of a certain number of funds selected by the Bank. The asset allocation of asset classes is determined by AllianzGI and the Bank. The Selected Funds within a certain asset class and their composition in the Model Portfolio will be determined at the Bank’s sole discretion and may vary from time to time.</li></ol>Important NoticeThis document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons. The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse the information or opinion provided by any information provider or fund house. Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be). You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed. WeLab Bank is an authorised institution under Part IV of the Banking Ordinance and a registered institution under the Securities and Futures Ordinance (CE Number: BOJ558) to conduct Type 1 (dealing in securities) and Type 4 (advising on securities) regulated activities.Allianz GI is a leading active asset manager. For details, please visit: <a href="https://hk.allianzgi.com/">https://hk.allianzgi.com/</a> .This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.

How Rising Interest Rates Will Impact My GoWealth Investment? | 1-min read

Want to know the advantages of GoWealth? Let’s first check out how GoWealth is different from investment-linked assurance schemes (also commonly known as ILAS):1 . More flexible investment terms, no lock-up periodThe investment term of ILAS is generally long and may reach 10 years or more, which helps investors to build investment habit in the long-term and helps achieving dual objective of investment and estate planning. However, if the policyholder terminates the policy payment or surrenders the policy before the designated period of the insurance policy, the value of the policy amount that can be withdrawn will be much lower than the value of the premiums paid. Investors shall take note of the long lock-up period feature of ILAS (Details can be referred to IFEC website#). On the contrary, through GoWealth, you can directly invest, with no lock-up period, in top global funds according to the latest market prices.2. No hard-sell, more intelligentSimply invest with GoWealth through WeLab Bank app📱 anytime, anywhere. With no brokers involved in the sales process or influencing your decisions, you can truly invest on your term, and enjoy our “Set, Track, Goal” feature at your fingertips. We are also backed by 5 top global fund houses - Allianz Global Investors, BlackRock, Invesco, Janus Henderson and PIMCO, to provide detailed analysis with our sophisticated system, so you can adjust your investment goals anytime📈.3. Transparent fees and no redemption feeWhile ILAS may not charge switching fee generally, there are still various types of fees and charges involved, especially in the initial years of the policy, such as surrender charges, withdrawal charges, and administrative/management charges, all of which affect investors’ returns. But GoWealth only charges a one-time subscription fee, with no extra fees if you want to redeem early!Regardless of whether choosing to invest in funds or ILAS, investors should make a well-informed decision after considering their own investment objectives, investment horizon and fees and other factors!#Investor and Financial Education Council (IFEC) - Investment-linked assurance scheme: https://www.ifec.org.hk/web/en/financial-products/insurance/product-types/ilas/index.pageDisclaimer: The above information is for reference only and does not constitute any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. The investment products or services are not equivalent to, nor should it be treated as a substitute for, time deposit. Investment involves risks, the value of investment products may go up or down and the investment products may even become valueless. Past performance is not indicative of future results. The contents above have not been reviewed by the Securities and Futures Commission.

Investment 101: Funds VS ILAS | 3-min Read

When talking about a virtual bank, you may ask: “What is a virtual bank? Can I trust a virtual bank? What are the differences between virtual and conventional banks?” There is no denying that virtual banking is a new concept in Hong Kong that some people may not be too familiar with. In this blog, we will introduce you to virtual banks, and hopefully, clear up your confusions!What is a virtual bank?The Hong Kong Monetary Authority (HKMA) defines a “Virtual Bank” as a bank that primarily delivers retail banking services through the internet or other forms of electronic channels instead of physical branches.How many virtual banks are there in Hong Kong? ​The HKMA issued eight “virtual bank” licenses since 2019. There are eight virtual banks under the regulation of the HKMA, with WeLab Bank being one of them.No physical branches? What are the advantages of a virtual bank then?<ol><li>It’s convenient!</li></ol>To open a bank account remotely and enjoy 24/7 banking services anywhere, all you need is a smartphone! Say goodbye to waiting in long lines at conventional bank branches!2. There are no minimum balance fees!While many conventional banks have cancelled their minimum balance fees since the HKMA started issuing virtual banking licenses, not all of them have made this move - so if your account balance is less than their minimum balance requirement, you will be charged fees by the bank. In contrast, there are no such fees at virtual banks – rest assured, you can open a virtual bank account regardless of how much you deposit!3. Virtual banks can be connected to traditional banks too!Your virtual bank account can be linked with other banks via the Faster Payment System (FPS) and electronic Direct Debit Authorization (eDDA). Through these channels, you can enjoy a faster and more convenient inter-bank transfer at no cost.4. Virtual banks increase market competition!Due to lower operation costs, virtual banks can benefit their users by offering a higher interest savings rate or a lower loan interest rate. This leads to a more competitive market in the financial industry while bringing extra benefits to consumers.What kinds of protection do virtual bank customers get?Many first-time virtual bank users are worried about whether virtual banks are secure enough for them to deposit their money into. However, you can rest assured knowing that virtual banks, like conventional banks, are also regulated by the HKMA, and are required to comply with a stringent set of regulations.Except for a few overseas-incorporated banks covered by similar schemes in their respective countries of incorporation, all licensed banks in Hong Kong, including virtual banks like WeLab Bank, are members of the Deposit Protection Scheme (DPS) of the Hong Kong Deposit Protection Board. All eligible deposits taken by these banks are protected by the Scheme up to a limit of HKD 500,000 per depositor. The following is the DPS Coverage for your reference:Eligible deposits include:<ol><li>Various common deposit accounts (e.g. savings account, current account and time deposits with a term not more than 5 years)</li><li>Deposits held by individuals (including joint account) or corporations</li><li>Pledged deposits</li></ol>Ineligible deposits include:<ol><li>Structured deposits (e.g. foreign exchange linked and equity linked deposits)</li><li>Time deposits with a maturity longer than five years</li><li>Bearer instruments (e.g. bearer certificates of deposit)</li><li>Offshore deposits (e.g. deposits with overseas / mainland China offices of a Scheme member)</li></ol>Do note that some restricted license banks and deposit-taking companies are not members of the DPS, therefore your deposits in these companies are not eligible to be protected by the Scheme.If there are no branches for virtual banks, how can I get support?Although virtual banks mainly offer services through the online channels, customers can still get help from customer service in several ways. For example, with WeLab Bank, you can contact us via our 24/7 customer service hotline for immediate support any timeAll in all, virtual bank customers are not only protected, but can also enjoy lots of benefits! If you want to try something new, download the WeLab Bank app now and keep an eye on our website for the latest updates!

Behind the Scenes

A complete guide of all you need to know about “What is virtual banking?”

When we talk about virtual banks, what is the first thing that comes to your mind? In this article, we are going to debunk the myth that “virtual banks are unreliable”, and introduce WeLab Bank to you!Is virtual banking reliable?Some of you may think virtual banks are a bit risky as they are “virtual” without any physical branches. In reality, the eight virtual banks licensed by the Hong Kong Monetary Authority are required to comply with a stringent set of regulations. A few banks in Hong Kong are excluded from the Deposit Protection Scheme as they are covered by similar schemes in their respective countries of incorporation, while all licensed banks in Hong Kong are members of the Scheme.What is WeLab Bank?WeLab Bank is a virtual bank licensed by the Hong Kong Monetary Authority and was founded by WeLab Group. Unlike typical banks, we&#x27;ve seamlessly integrated technology into our lives and redefined how Hong Kong banks should have served you. WeLab Bank is also a member of the Deposit Protection Scheme and your eligible deposits taken by WeLab Bank are protected by the Scheme up to a limit of HKD 500,000 per depositor. This way, you can rest assured knowing that your WeLab Bank deposits are safe and protected!3 things you should know about the Deposit Protection Scheme (DPS)How can I apply for Deposit Protection Scheme?Your eligible deposits will be automatically protected under this Scheme without the need for you to apply for anything or pay any fees. In case a member bank of DPS (a Scheme member) fails, the DPS will pay a compensation of up to a maximum of HKD 500,000 to each depositor of the failed Scheme member.2.How will the compensation amount be calculated? All deposit accounts are entitled up to a maximum of HKD 500,000 compensation. If you have more than one account in the same bank, the amount in each account will be aggregated for calculating the compensation; if you have different accounts at different bank, the limit of HKDD 500,000 will be applied to each bank.3.What deposits are protected by the DPS?Eligible deposits include all types of ordinary deposits such as current accounts, savings accounts, and time deposits with a maturity not exceeding five years. Regardless of what currency your eligible deposits are (Hong Kong Dollars, Renminbi, or other foreign currencies), they will be protected by the scheme.But if your bank account is under an overseas bank branch, your account will be counted as an offshore deposit which will not be protected by the DPS.Did the information above reinforce your confidence in virtual banks? If so, remember to share it with your friends!

Deposit your money in Virtual Banks with a peace of mind | HKD500K Deposit Protection Scheme

Growing your income and reducing your expenses – these are the keys to save money. That sounds easy, but how many of us can actually achieve our financial goals? In the Worldwide Cost of Living 2020, Hong Kong was ranked first as the city with the highest living costs. Everything is expensive here, and it always takes a tremendous effort for people to achieve their financial goals. If you are looking for ways to save money, here are a few tips that you may be interested in!1.Create a savings goalBefore you start saving, ask yourself: What am I saving for? Travel? Buying a property? Marriage? Having a savings goal is the best way to motivate yourself! Once you’ve identified your goal, you are less likely to spend impulsively, and more likely to stop and reconsider before making any expenses.Even with an ultimate goal in mind, a plan is essential in order to meet your objectives. There are many different ways to do this – for example, you can consider breaking it down into weekly, monthly, and yearly saving goals to make it more progressive and realistic. For extra motivation, you can also consider printing out your plan as a constant visual reminder, or even invite your friends to join your savings challenge together!2.Establish a budget and track your spendingOnce you’ve set up your savings goal, it’s time to carry out your plan! Plan a budget and set aside a portion of your money for savings purposes, while for the rest of the money that’s planned for spending purposes, jot down all of your transactions and review each of them. This will be very useful for you to understand where your money is going, so that you can amend your budget goal accordingly. Find a way to keep track of your progress – there are plenty of wealth management apps, or even an Excel spreadsheet can also do the job . If you’re using WeLab Bank, all of your income and expenses will be shown in your WeLab Bank account, so that you have a full picture in one place without having to do the tracking manually.3.Cancel unnecessary subscription servicesBesides fixed services like insurance and telecom fees, let&#x27;s look at how many monthly plans you’ve subscribed to.Many of you may have 3-4 music subscriptions, but you’re most likely only using one of them. You may have a gym membership, but sometimes your gym closes too early or is just too far from your office or home, and so you end up paying for a one-time entrance fee and go to the nearest 24/7 gym. Another common scenario may be subscriptions to cloud drives for your 100,000 photos, of which 50% of them are images that you won’t flip through again.How many subscription services are you subscribed to? Think about which ones you really need and which ones are just “nice-to-haves”, and see if there is anything you can unsubscribe from!4.Spend smart with card productsAlthough we’re talking about savings, some daily spending is essential and unavoidable. By spending smartly with credit cards and taking advantage of different loyalty programs, you can maximize your savings! However, if you can’t control your spending, it’s best to avoid spending future cash with credit cards, as you’re essentially spending on a credit line that you’ll need to repay on time to avoid overdue charges and penalties. To ensure that you’re only spending money that you actually have, our WeLab Debit Card will deduct money directly from your core account, so that you’ll only be able to spend what you have! How to apply for a WeLab Dedit Card 👉 <a href="https://www.youtube.com/watch?v=OeXzX2_EyZI&amp;feature=emb_title">https://www.youtube.com/watch?v=OeXzX2_EyZI&amp;feature=emb_title</a>5.Monetize Your PassionBesides cutting costs, you can also look for ways to earn extra money with a side hustle! Typical side hustles include: private tutoring, teaching piano; or if you love writing, being a freelance copywriter is also a good idea. If photography is your thing, try selling photos on stock photo websites, or look for some weekend event photography jobs!Not a big fan of the ideas above? Watch our &quot;How to earn money by side hustle&quot; video to get more inspiration!Saving is easier than you think! Find methods that help you save and work for you, and say goodbye to overspending!

5 Simple Ways to Start Saving Money

Want to retire at 40? Want to enjoy the rest of life as soon as possible by achieving financial freedom? We’re sure that these dreams are common amongst a lot of people, so in this article, we’re going to share a few easy-to-implement methods that can help you make money while you sleep!Method 1: Join a time depositPutting your money in time deposits is one of the best passive income ideas with very minimal risk. Simply put your money into a time deposit, and sit back and relax while you earn interest! One thing to note is that, since time deposits are liquid and less risky than other investments, they generally pay a very small amount of interest. As you can probably imagine, generating any meaningful income from fixed deposits would require a large initial deposit, as the interest rates are traditionally dictated by the deposit amount.For those of you who want to receive good interest rates without a large initial deposit, you can try GoSave, a time deposit product launched by WeLab Bank! Unlike traditional deposit products where the interest rate is determined by the deposit amount, your GoSave interest rate is determined by the number of joiners in the same time deposit pot, regardless of how much your deposit amount is: the more people who join, the higher the interest rate for all! We understand that many people don’t like to do time deposits because they are worried about getting penalised for withdrawing money before the end of the deposit period. So, to give extra flexibility, people can withdraw your savings prematurely up to 2 times from GoSave with no charge incurred!Method 2: Tidy your home on a regular basisThat’s right! It’s popular now to sell second-hand products you don’t have much use for through online trading platforms – whether it’s old books, toys, jewellery, watches, or even household items such as shoe cabinets and sofas, you can sell those on these platforms! Not only is this environmentally friendly, but you can generate a bit of profit through selling these items!Method 3: Run your YouTube channelWe’re sure everyone has come across YouTube videos before, with their wide variety of content for everyone. Other than providing entertainment for us, they are also mediums that can help generate passive income for their creators! The rule is: the more views for a video, the higher the income!For those of you who want to make money through YouTube, the first step is to join the &quot;YouTube Partner Program&quot;, and once you’ve passed the review, you can start receiving a share of the advertising revenue. Of course, it often isn’t smooth sailing right from the beginning, so if you want to earn some passive income through YouTube, be prepared to invest a lot of time and effort!If you want to explore more ways on generating passive income, this video might be useful 👉 <a href="https://www.youtube.com/watch?v=JoGNl4AnJCU">https://www.youtube.com/watch?v=JoGNl4AnJCU</a>Earning passive money is not difficult at all. All you need to do now is get started!

Earn Passive Income

3 Ways to Earn Passive Income | Perfect for College Students

WeLab Bank knows that everyone has many exciting activities planned for the holidays, hence we have prepared this holiday shopping guide for you. Learn how to get 5% cash rebate* when spending with your debit card on Fridays, Saturdays, Sundays and Statutory Holidays now!Tip 1: Earn Cash Rebate Even at homeMost of you might go shopping, have big meals or go for staycations during weekends and holidays. If you want to spend your money smartly, it’s time to make good use of WeLab Debit Card’s 5% cash rebate*!Too lazy to go out? No worries, you can still earn our cash rebate with your WeLab Debit Card when you online shop or order food delivery!Tip 2: Earn Cash Rebate in preparation of Chinese New YearUnfortunately we might not be able to have big gatherings this Chinese New Year. Hence, it’s time to start prepping for food and getting Chinese New Year gifts by yourself for your friends and family!Whether you are going to the supermarket to buy ingredients and cook your own meals, or order takeaway food to enjoy at home, as long as the restaurants accept Mastercard payment, you can also enjoy 5% cash rebate* by using WeLab Debit Card!Going to a friend’s? Use your WeLab Debit Card for any last-minute shopping, so that you’ll never go empty-handed! Anywhere that accepts Mastercard, we got your back! Apart from the 5% cash rebate* on Fridays, Saturdays, Sundays and statutory holidays, there will also be a 1% cash rebate* on Mondays to Thursdays!Tip 3: New clothes for the New YearChinese New Year is the best excuse for buying new clothes! Many shops have special discounts during this festive period. It’s time to use WeLab Debit Card and enjoy up to 5% cash rebate* on top of your already discounted items – reward yourself while spending!For more information about our WeLab Debit Card, you can go to: https://www.youtube.com/watch?v=OeXzX2_EyZI*Terms and conditions apply. Offer valid until 31 January 2021. Each customer can earn up to HKD500 Special Rebate (from eligible spending on Fridays, Saturdays, Sundays and statutory holidays) as well as HKD500 Base Rebate (from eligible spending on Mondays to Thursdays). Total cash rebate limit is HKD1,000.

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WeLab Debit Card Holiday Spending Tips

2020 already passed and it&#x27;s time to set your 2021 financial goals. Whether you want to save for your future flat, increase your retirement savings, or pay off debt, there&#x27;s no better time to set some financial goals than at the start of a new year.1.Set a budgetNo matter what your income is, setting a budget is still essential. Setting a budget allows you to exercise discipline regarding how much of your money goes to necessities, how much goes to recreational expenses, and how much goes to savings and investments. By setting a budget plan and sticking to it, you’ll be in better control on how you can reach your financial goals.2.Learn about financial literacyLearning about money and finance may help you to manage your money in the right way. You can do this by researching online, reading financial books, or talking with trusted family members. Set a learning goal; whether it is a book or magazine, will give much you greater insight into a specific financial area.3.Advance your careerIt’s the new year – you may want to think about your career path. Maybe you love your job and you plan on staying here for the next ten years. In this case, find something to help advance your career, maybe through taking some relevant online courses. If you are not happy in your current job, perhaps it&#x27;s time to look around for a more fulfilling or hopefully, a better-paying job!4. Generate different sources of incomeLife is uncertain – hence you need to save enough money for emergency use. Apart from cutting expenses, you can try to generate additional sources of income.There are a variety of ways you can increase your revenue streams. Freelance work, for example, is great for those who have some specific skills such as photography, Photoshop and programming to offer others. But there are also less technical options to consider, such as providing delivery services and being a blogger. Additionally, if you have savings, you can consider investing or using the snowball method for saving to increase your passive income.By finding different ways to diversify your revenue streams, you won’t be entirely dependent on single income source. Not only can this strategy help you make more money and increase your savings, but it can also provide some protection if you lose your primary job.Tips: Open a WeLab Bank account, join the GoSave time deposit to earn high interest!How to open your WeLab Bank account 👉 https://www.youtube.com/watch?v=fvKxPt0Fz8g5.Get Out of DebtGetting out of debt is another key step to take control of your finance. Getting out of debt can reduce the potential amount you pay in interest, therefore allowing you to do the things you want. Set up a plan and stick to it. While sticking to the plan may be painful, it is worth it!You can also use WeLab Debit Card to reduce your debt. By using the debit card, all transactions will be directly deducted from your core account balance, so you can only use as much as you have. Say goodbye to overspending and credit card bills!

5 Financial Goals to Set in 2021

As its name suggests, a virtual debit card is a digital version of a traditional debit card. Like a physical debit card, a virtual debit card has the same 16-digit card number, expiry date, and CVV – the difference is that it doesn’t exist in physical form, but you can access your card details through the mobile app of its associated bank! With WeLab Bank, you can get a virtual debit card too! Once you’ve successfully opened your account with us, you will receive your virtual WeLab Debit Card and you can use it immediately for online purchases. If you are scared of overspending, you can always set a limit for your transactions[JW1] , or reduce the amount of money you have in your bank account. Always remember, debit cards only use the money in your account, so make sure your account has enough money before you make your purchase! What are the benefits of using a virtual debit card? Here&#x27;s why you need a virtual debit card! Why use a virtual debit card? 1.Added security One of the features of a virtual debit card is that you don’t have to be afraid of it being stolen! Losing your physical card means that anyone can pick up your card and use it (and all the money in your bank account), but with a virtual card, the details are only displayed in your mobile app, which you’ll need to have your phone with you, unlock it and login to the related virtual bank app in order to access your card credentials. For your WeLab Debit Card, even if your card credentials have been compromised, you can simply hit the “Report Lost Card” button in the mobile app to get a new virtual debit card instantly! No more calling hotlines and going through unnecessarily complicated steps! 2.More convenient and immediateIt typically takes several days, if not weeks, to deliver a physical card. In contrast, for your virtual WeLab Debit Card, it is available and can be used immediately as soon as your bank account is opened. No credit checks or lengthy verifications are needed – all that’s needed is the several minutes it takes for you to complete your bank account application, and then you can start spending online immediately!3.Better budgetingAnother feature of debit cards is that you cannot spend more than the amount in your account. We have gone an extra step to help you budget your spending better, where you can set daily transaction limits within the app. All of your transactions will also be recorded in the app so you can easily see how much and where you spent!How can I get a WeLab Debit Card? To get a WeLab Debit Card, just head over to the WeLab Bank app and open your bank account now! Your virtual Debit Card will be available once you successfully open your account. Once your WeLab Debit Card is ready, you can access your card details directly within the app! Login to the WeLab Bank app on your phone and click on “Debit Card” on the home screen, then tap on the little eye 👁️ icon on the top left of your virtual Debit Card image and voilà! You can get your Debit Card details such as your card number, expiry date, and CVV, instantly available and accessible for all your immediate online shopping needs! For more information about our WeLab Debit Card, you can go to: <a href="https://www.youtube.com/watch?v=OeXzX2_EyZI">https://www.youtube.com/watch?v=OeXzX2_EyZI</a>

What is a virtual debit card? How can I withdraw the money?

Everyone’s heard of a credit card, but do you know what a debit card is? Simply speaking, debit cards deduct money directly from your bank account when you make the purchase, whereas credit cards borrow the money from your bank. There are many benefits of using a debit card – we list out some of the main ones below!1.Staying within budget One of the benefits of using a debit card is that you don’t have to worry about overspending! That’s because the money of each purchase is directly deducted from your bank account, so you only get to spend what’s available. Even if you have trouble controlling your spending, the worst thing that can happen is that you spend all the money in your bank account, but nothing more than that – unlike a credit card, you will not go into debt. 2.Easily obtainable Unlike credit cards, the process of applying for a debit card is easier! Applying for debit cards generally do not require any minimum credit score, and as a result the application process is much simpler and shorter. 3.Avoiding additional fees and service chargesCredit cards often come with late fees, annual fees, and interest charges. On the other hand, debit cards typically have few or even no costs associated, as you’re only spending what’s available in your account – that way, your repayments will always be on time and you’ll never overspend. 4.Earning rewardsSimilar to credit cards, debit card have competitive rewards too! They reward users with cashback, points, or miles, without encouraging them to overspend to the same degree as credit cards do. For some people, the debit card spending model may be more suitable for those with an unstable income or those who do not want to spend in excess.What is a WeLab Debit Card? How can I apply for one?The WeLab Debit Card is a (very shiny &amp; trendy) vertical numberless debit card for all your shopping and cash needs!👉🏼 Instant issuance of a virtual debit card for you to use immediately for online purchases – while your physical one is being prepared👉🏼 One card for all spending and cash withdrawal needs – use your card anywhere that accepts Mastercard and JETCO ATMs👉🏼 Instant spending notifications whenever you use your card 👉🏼 Cashback and perks whenever you spend with your WeLab Debit Card👉🏼 Security and control at your fingertips – set transaction limits, reset card PIN, and access your WeLab Debit Card details at your complete discretion through the click of a buttonTo get a WeLab Bank Debit Card, simply download the WeLab Bank app and apply for a bank account with us. Your virtual WeLab Debit Card will be ready in your app once your account is successfully opened, so that you can start using it immediately! At the same time, your physical card will be prepared and delivered to you in around 5-7 working days. If your card has been lost, you can simply hit the “Report Lost Card” button in the mobile app to get a new virtual debit card instantly! For more information about applying for a WeLab Debit Card, check out this video: <a href="https://www.youtube.com/watch?v=OeXzX2_EyZI">https://www.youtube.com/watch?v=OeXzX2_EyZI</a>

4 reasons on why you need a debit card

Have you ever been confused about what the differences are between credit and debit cards? They both look similar, offer the convenience of not having cash, and are accepted at a lot of merchants. Take a look to understand how they’re different from one another! 👇🏼1.Source of money The fundamental difference between a credit card and a debit card is where the money comes from. When you make a purchase with your credit card, you’re essentially borrowing the money from your bank, which you’ll have to repay before a specified due date. The beauty is that you don’t need to have the money available at the point of purchase, BUT you run the risk of late repayments of your credit card’s outstanding balance (and incurring all sorts of penalties and fees as a result), as well as spending more than you afford. On the other hand, with a debit card, the money is deducted from your bank account directly when you make a purchase, so make sure you have enough money in the account before making a purchase! 2.Spending limit Another main difference between a credit card and a debit card is your spending limit. With a debit card, you can only spend from your saving in the bank account. And you can even set a limit for your transactions[JW1] – the more your spending limit is, the more you’re allowed to spend. With a credit card, you can spend up to the credit limit granted by your card issuer – this credit limit is determined by your credit score, which in turn is subject to a variety of factors, such as your credit history, income, and even your debt-to-income ratio. To increase your spending ability with a credit card, you will have to wait for your card issuer’s approval to raise your credit limit. 3.Impacts on credit score As mentioned above, when you buy something with a credit card, you are essentially borrowing money from the issuing bank to make the purchase. As your credit score is affected by a number of factors including your ability to repay your outstanding balances in time, make sure you’re in control your spending and can repay everything on time because a poor credit score will make it more difficult for you to get a loan for things like a car or home mortgage – even if you’re able to get a loan, you may need to repay it at a higher interest rate!Does this mean a debit card is the perfect solution? That really depends on your spending habits. If you’re a shopaholic and always run the risk of overspending, a debit card is the way to go. If you want to build a good credit score, a credit card may be a better option for you. Remember: if you’re looking to apply for a loan at some point (which might come in handy when you’re looking to buy property or a car), you need to maintain a healthy credit record! 4.RewardsWhen it comes to rewards, it can be the same for both credit and debit cards, depending on the banks’ promotional offers. Pay attention to the latest promotion from different banks in order to make the most of your spending!Hope you’re more familiar with the differences between a credit and a debit card after reading this article! Make sure you understand your spending habits before deciding whether a credit/debit card is suitable for you!

What’s the difference between a credit card and a debit card?

Saving money is a good habit that we all should have, but people often fall foul of saving their hard-earned cash because it doesn’t offer the sense of immediate satisfaction that spending does. Actually, savings will benefit you greatly in the future, so here are four reasons to why you need to save money!Increase flexibilityOne of the best things about being an adult is the independence and freedom to do whatever you want! Saving enough money can give you greater control over your freedom. No matter if you’re taking a sabbatical, starting up your own business, or switching careers – with enough savings, you can break free from your financial constraints and be in control of your life.On the other hand, if you haven’t saved enough and are in debt, you will have less independence and freedom. If you want to be financially independent and unshackled, remember to beef up your savings! Save for emergenciesNone of us know what the future will bring, so it&#x27;s important to have an emergency fund set aside to cover unexpected expenses. These may include unexpected home repairs, expensive medical bills, or sudden job losses. So, do your future self a favor and save up an emergency fund starting now! You’ll be thanking yourself in the (unlikely) event you need your emergency funds. Save for RetirementAnother important reason to save money is to prepare for your retirement! As a rule of thumb, many experts agree that you will need to save about 70% of what you make at the peak of your career to maintain that standard of living in retirement. So if you don’t want to find yourself running out of money and relying on MPF, start saving money when you are still young! Save money for education Have you ever been thinking of going back to school or sending your children to better schools? Education is also a reason for why you should save! Many people are keen to return to school to earn their masters or doctorate degrees, but these degrees often come with a hefty price tag. If you want to become a full time student again, don’t forget to save not only for your tuition, but also your living expenses. If you are a parent, putting some money away for your child’s college fund as soon as you can is always a wise option. This way, your kids won’t need to take out student loans, which usually take a very long time to pay off. Okay, ready to get started? At this time you might be thinking that saving sounds nice...but how can I do it? Go read <a href="https://www.welab.bank/en/blog/lifestyle/5-simple-ways-start-saving-money">How to Save Money – 5 Simple Ways to Start Saving Money</a> and find out the best way for you to save money!

4 Reasons why you need to save money

Are you tired of working your 9 to 5 job? Have you thought about starting your own business? Here are 5 tips on starting a new business! Follow your passionYou don&#x27;t have to love every part of your business, but you do have to be passionate about it. This means that you won’t quickly be tired of running that type of business. Also, if your business is in a field you love, your existing knowledge and skills in the field can take your business to the next level! Then, you might ask yourself “How do I know I really like this business?”. To make sure you&#x27;re on the right track, ask yourself whether you feel excited when you think of the business, and whether it is worth the time and money you will invest in it. If your answer is “no” to any of those questions, then the business probably isn’t suitable for you. Keep searching to find an area that you are truly passionate about to develop your business!Understand the marketOne of the biggest mistakes commonly seen in start-ups is that they develop an excellent business concept but deploy it in the wrong market. To minimize your risks, it’s important to understand the market that you will enter into. Talk to potential customers to find out if what you want to sell is something they&#x27;d be interested in buying, and if so, what they would pay for the product or service. Apart from accessing the target market, finding potential competitors is also the key to success. You can formulate your business plan by analysing competitors’ strategies through visiting their stores, looking at their website design, studying their marketing campaign and thinking how to amplify your unique selling point. Write a simple business planOne of the things you should do as a small business owner is to develop a business plan. As a new entrepreneur, doing this allows you to better understand both operational and financial goals, which will aid you in setting your budget and planning your marketing strategies. What’s more, it can also give you the overall direction of your business, and prevent unnecessary incidents from happening. Many of us learnt about SWOT analysis when we were student, execute it! This way, you can avoid losing your direction after running your business for a while. Start your business while you&#x27;re still employed It is quite challenging for most people to start a business without any income since it will take a while before your new business makes any profits. Worse yet, you may lose money due to economic slowdowns or a wrong business strategy. To ensure that you have money in your pocket to invest into the business and are able to keep up with your monthly living expenses, why not try starting your business while you are still employed?Keep learningIn the age of the internet, we are now able to find all types of information easily. The best part is a lot of this information is FREE. For example, you can watch tutorial videos from YouTube, borrow related books from library and search answers from Google. The key to success is to learn from other people’s mistakes while growing your own expertise and applying it to your situation. Keep in mind, Rome was not built in a day. It takes time and effort to establish a business. Hope you find the tips above useful and help you plan your business strategically!

5 tips for starting your business

Travelling around the world sounds amazing; but how do you do so if you don’t have the money to pay for it? No worries, there are lots of ways to make your money last longer when travelling on a tight budget! Travel during off seasonSome places become more expensive during Christmas, New Year and summer holidays. That’s because many people tend to travel during public holidays to enjoy their vacations. If you avoid these peak travel seasons, you’ll find that everything is cheaper, from souvenirs, accommodations, and even plane tickets! Do your homework before travellingIf you always book your flights and hotels at the last minute, you’ll find that they are often super expensive. To reduce these costs, do research in advance! You may find travel destinations at a slashed price, group-discount rates you can take advantage of or even different booking prices from different booking sites which can help you save a lot! Pack Appropriately If you pack what you need, you won’t need to buy it on the road. It doesn’t matter as much when you are going to countries with lower costs of living, but in countries with a higher living costs like Switzerland, everything is expensive. For example, Hong Kongers who want to travel in Vietnam can buy what they want in Vietnam relatively at ease as it will not be much of a burden to their pockets. On the contrary, Vietnamese tourists traveling to Hong Kong are better off stocking up on everything they may need, as the price level is much higher in Hong Kong. Stay in hostels Staying in a hostel brings down the cost of travelling if you don&#x27;t mind sharing a room with others! Not only is it an excellent way to save money while travelling, it’s also a wonderful place to meet people from different cultures and backgrounds! Apart from common living spaces, you might also enjoy the kitchens, lounges, and sometimes even free tours of the city offered by the hostels! As long as you don’t mind sharing a room with strangers, staying in a hostel is a valuable choice.Look for the local shopping hotspots You may not know the best place to buy groceries or dining when you arrive at your destination. However, locals do. You can save a lot by making friends with locals and asking for advice on the cheapest groceries or the best restaurants. They will also be happy to help you if they know you are genuinely keen to understand the local culture!Use student discounts If you are a student or still have a valid student ID card, there’s no harm in asking if various tourist attractions will offer you a student discount on admission. These include discounts on public transportation, movies, and museums. When there is a university nearby, some restaurants may even offer students a discount on food or drink prices! Discounts may range from 5% to 50%, which can help you save a lot while travelling. So, make sure to bring your student card and always see if stores have student discounts before making your purchase! Hope these travelling saving tips are useful to you!Planning for a trip after the Covid? Check out how the GoSave time deposit can help with your saving plan!

6 ways to save money smartly while travelling

To buy or not to buy? It’s common to see people in Hong Kong struggling between renting and buying their own home. Before making the decision, let’s weigh the pros and cons and see how you should prepare your financial plan!Why is Buying a House is a Good Idea?1.Long term investmentIn Hong Kong, the most common way to accumulate wealth is through homeownership. Buying a property can be an investment that allows you to have rental income. If the property&#x27;s value increases, you can also benefit from equity appreciation.2.You are free to customize your own homeYou are free to live however you want! You can have pets, change appliances, or even renovate your house, and no one can stop you.3.StabilityOwning a house can give you a sense of stability and settlement. There is also the pride of owning a property!Risks of Buying a House1.Long term commitmentGetting a mortgage requires a substantial down payment and monthly repayments of up to 30 years, a long-term financial commitment.2.Additional Monthly ExpensesOwning a house means more responsibility. You must pay for your building renovation fees, property taxes, and maintenance fees. Accumulated monthly expenses can be a huge cost.3.Less mobilityWhile buying a house offers more stability, it will be more challenging to accept an attractive job offer if it is located far from your home. Unlike renting, you can&#x27;t just move whenever you want.Why Renting a House is a Good Idea?1.Ease of MovingYou can move whenever and wherever you feel like after the lease&#x27;s fixed term depending on your financial or other circumstances.2.No/minimal maintenance and repair costsTenants are usually not responsible for fees related to repairs, appliances (e.g. air conditioners) and management. These are typically paid for by the owner.3.Low upfront costsYou don’t have to write a big check for a down payment to get a mortgage. You typically need the security deposit, which is usually the cost of 1-2 months rent.Risks of Renting a House1.Possibility of evictionIn a rented house, you’re at the mercy of the landlords as legal owners. If they decide to sell the house, you’ll probably have to move out.2.You can’t renovate the propertyAs a tenant, you are limited to what changes you can make to your home. If your home looks dated, you may just have to get used to it.3.Rents are subject to changeYou may be comfortable with what you are paying each month, but your landlord can increase the rent anytime your contract is over.4.Renting does not accumulate wealthThere is no investment in renting. When you leave the rented property, all you take is yourself and the moveable property that belongs to you. The property owner’s equity will grow, but yours will not.So, which is better, buying or renting?Although money plays the most important role in deciding whether to buy or rent a house, it is not just about money. Many other factors play a part in deciding which to choose. Questions like how long you expect to stay in the house, your future career goals, your life plan etc., all play a role in your decision.If you think it’s time to settle down in a specific location, buying a house may be a better option. The next step for you is to work out how much you can afford to borrow and how much you need to save.If you still believe there are many places in the world you want to explore or plan to immigrate, renting is most likely the best option since it provides you with higher flexibility.To have a better credit rating for mortgage or loan, start to manage your spending by using WeLab Debit Card!

To buy or to rent? Which is right for you?

Buying a house is probably one of the largest purchases in your life – you won’t want to make any mistakes! Take the time to do your research carefully before you commit to buying any property. We have a few tips below to help you! 1.Know your budget and start saving earlyBuying a home is more than just paying the mortgage every month. You have to pay utility bills, property taxes, home insurance, and more. It’s important to know how much you are able to afford before you make the purchase. This can be done by working with an experienced property agent to determine how much these costs are and adjust your plan based on your actual income. Then, set yourself a clear saving plan and stick with it!Want to save up for a home? You can consider joining WeLab Bank’s GoSave Time Deposit to earn attractive interest! Click here to see how to join GoSave 👉 https://www.youtube.com/watch?v=E1jebDMzQr4&amp;list=PLFldC7ETWyLTS5-YYNBiWm5_RHaIiyd6f&amp;index=6 2.Know and strengthen your credit scoreYour credit score will determine whether you qualify for a mortgage and affect the interest rate lenders will offer. A good score could help you get a low-interest rate, which can save you tens of thousands of dollars! However, if your score is not as desirable, if you remember to pay your bills on time, you may still have a chance to improve your score. Hence, remember to check your credit score and find ways to improve it before you borrow money to buy property! 3.Seek advice from experienced professionalsWith such a big purchase, it makes sense to get help from experts. Work with an experienced real estate agent for advice; a thorough and licensed home inspector to pinpoint any potential costly repairs; a mortgage broker to ensure your finance is structured to meet your needs and a lawyer to help you deal with all relevant documents.4.Pay attention to the marketIf you’ve fallen in love with an apartment, you might want to get it as soon as possible. However, patience is a virtue, and can help you save money! The market fluctuates daily, so pay attention to the latest property news and check if there are any big shifts in prices. Only invest your money in the property once the price is reasonable. Partnering with any experienced friends or trustworthy agents can also give you a second opinion! 5.Compare mortgage feesMortgage rates vary among different lenders. To be a smart and savvy investor, remember to do some market research to get the best rates! Given the large amount of a mortgage, the rates are usually negotiable. Ideally, go to a few different lenders to compare prices, because you are likely to get different offers – a savings of 0.5-1% on a mortgage is a lot! 6.Save, save and save more! Overall, the most important thing about buying a property is money, so get saving! One tip for you to save money – the WeLab Bank&#x27;s GoSave time deposit! Unlike traditional time deposit products, where the interest rate is determined by the deposit amount, your GoSave interest rate is determined by the number of joiners in the same time deposit pot as you, regardless of how much your deposit amount is: the more people who join, the higher the interest rate for all! To give extra flexibility, people can withdraw their GoSave prematurely up to 2 times with no fees incurred! Sounds attractive, right?

6 Tips For Buying A Home

Many companies offer bonuses to reward employees at the end of the year. If you&#x27;re one of the lucky ones who has received a great year-end bonus, and want tips on how to spend it, here are some ideas! 1.Pay off debtThe larger your monthly debt repayments are, the less you’ll have to invest for your future. Using a sizeable portion of your bonus to pay off debts, especially those with high interest rates, will save you money in long term. If you have credit card debts, home loans or car payment plans, you can also pay some of these off, so you have fewer interest payments in the future!To avoid unnecessary debt, you can consider using WeLab Debit Card. With a debit card, the money is deducted from your bank account directly when you make a purchase – unlike a credit card, you will not end up with a massive credit card bill! For more information about our WeLab Debit Card, you can go to: https://www.youtube.com/watch?v=OeXzX2_EyZI 2.Setup an emergency fundWe never know what the future holds for us - that’s why we should always be well-prepared. What if you have a large, unexpected expense and didn’t have cash on hand? You might end up having to take money out from your long-term investments. Hence, having an emergency fund is extremely important so you&#x27;re always prepared to deal with what life might bring — whether it be good or bad. You can try to save 6-12 months’ worth of living expenses as an emergency fund, and store in a liquid, low risk account. Since it may take time to build up your fund, putting some of your year-end bonus could be a good start. 3.Invest in yourself You also deserve to spend a portion of your bonus on yourself. Jobwise, you can invest in a training program to upskill yourself and help advance your career. You can also use your bonus on things that can fulfil your life, for example: learning an instrument, learning how to code, or even learning a new language. Last but not least, invest some of your bonus into your health! Get a gym membership, join a yoga course, or sign up for a fitness magazine subscription are all great options! 4.Splurge a littleWhile we did talk about how to use your year-end bonus wisely, it doesn’t mean you can’t splurge some on yourself. You’ve worked so hard this year, so you can reward yourself a little too! Go do something that makes you happy – go for a relaxing massage, enjoy a staycation over the long weekend, or have a nice dinner with best friends. You deserve it after working hard the whole year. Spending tips 🤑: from now until 31 March 2021, get 5% cash rebate when you eat out, hail a ride or shop for groceries with your WeLab Debit Card on Fridays, Saturdays and Sundays!* 💰*Terms and conditions apply. Offer valid until 31 March 2021. Each customer can earn up to HKD 250 Special Rebate (from eligible spending on Fridays, Saturdays and Sundays) as well as HKD 250 Base Rebate (from eligible spending on Mondays to Thursdays) every calendar month.

Smart Ways To Spend Your Year-End Bonus

Based on some previous interviews, we understand that most interviewees said they want to retire as soon as possible. However, how feasible is retiring early? With retirement comes with not working, which then means no steady stream of income. How are we able to live a carefree life when we no longer have a stable active income? Here’s where a well-planned retirement plan matters. So if you want to retire at 40, read on to see how you can save up for your retirement plan! 1.Estimate your retirement expensesDifferent types of expenses vary throughout your life. Some expenses, such as travel expenses, may increase when you get older, while others, such as clothing expenses, may decline. However, everyone has different spending habits, so it’s important to plan out your own retirement plan.Have a think about what will change once you retire, what your daily spending habits and amount will be like – once that is aligned, you can start saving with a clear target! 2.Consider future medical costsHealthcare costs are likely to increase as you get older. Spend some time on a health check up to understand your health, and any chronic diseases you might have in your family. This can help you more accurately plan out medical costs you might incur in the future. Having said that, it’s not easy to predict your health in the future. For peace of mind, you can consider getting medical insurance. Remember to also save up some emergency medical funds! 3.Pay off your debt on timeThe large your debt payments, the less you have to spend after retirement. Consider settling your debt payments on time so you no longer have to pay any outstanding loans after you retire. In addition, try using a debit card or cash to avoid racking up any credit card bills! By limiting new debt and reducing existing debt, you can avoid having to pay any interest when you retire! 4.Plan where you will liveWhere you live after you retire can have a significant impact on your savings for retirement. If you are planning to stay in the city but don’t want to spend too much, you can consider moving to a smaller house. You can also consider moving somewhere with a lower standard of living, so you can save some money. 5.Consult professional retirement plannersIf you have followed the steps above, but are still unsure about your retirement plan, you should consider finding a professional to help!Retirement is very important – so get a professional to help look through your retirement plan or even help you map out exact steps for your retirement will be very worth it!6.Join GoSave time depositDeciding when to retire mainly depends on whether you have enough savings. Why not take the chance to save your money with the snowball method? You can try GoSave, a time deposit product launched by WeLab Bank, to increase your retirement savings! Unlike traditional time deposit products where the interest rate is determined by the deposit amount, your GoSave interest rate is determined by the number of joiners in the same time deposit pot as you, regardless of how much your deposit amount is: the more people who join, the higher the interest rate for all! We understand that many people don’t like to do time deposits because they are worried about getting penalised for withdrawing money before the end of the deposit period. So, to give extra flexibility, people can withdraw their savings prematurely up to 2 times from GoSave with no fees incurred! How to open your WeLab Bank account 👉https://www.youtube.com/watch?v=fvKxPt0Fz8g

6 Tips to Consider for Retirement

Top 3 things to expect in FinTech Week 2021Taking place in the first week of November, Hong Kong FinTech Week 2021 has come to its 6th edition, once again gathering thought leaders, entrepreneurs and corporates in the fintech industry right in Hong Kong, the leading international financial hub in Asia.As leading homegrown fintech companies, WeLab Bank and its parent company WeLab Group are proud to be participating in this biggest event in the industry of the year.Want to know what you can enjoy in the week-long event? Read on for the top 3 things to look forward to in FinTech Week 2021:1. Physical and virtual conferencesThemed &quot;Scaling FinTech Future Together&quot;, Hong Kong FinTech Week 2021 will be held in hybrid form for the first time ever, available both in-person and virtually. The series of online and offline events will concurrently deep dive into research and applications of cutting-edge technology in Hong Kong and elsewhere in the Guangdong-Hong Kong-Macao Greater Bay Area, and growth opportunities in key finance verticals.2. Multi-track events with prominent speakersHosting over 250 speakers, 400 exhibitors, and 30 delegations from over 100 economies, the week-long event will feature multi-track conferences with prominent speakers, the Global Fast Track Programme, exhibitions, a deal floor, networking and satellite events and demo shows, just to name a few.What’s more, representatives of WeLab Bank and WeLab Group will be sharing their experiences and insights on numerous hot topics in the industry:<ul><li>Physical panel discussions on 3 November:</li></ul>- “Reaching the Unreached: Disruptive Technologies Changing the Narrative” (Speaker: Tat Lee, Chief Executive &amp; Executive Director, WeLab Bank)- “Funding the FinTech Revolution in Asia”(Speaker: Jessica Lam, Group Chief Strategy Officer, WeLab)<ul><li>Physical panel discussions on 4 November:</li></ul>- “Financial Institutions &amp; Fintech Working in Partnership” (Speaker: Simon Loong, Group CEO, WeLab)<ul><li>Online masterclasses from 1 November onward:</li></ul>- “Data-driven product design​” (Speaker: Michael Ng, Head of Digital Product, WeLab Bank)- “How to Win with Culture”(Speaker: Jenny Lee, Group Chief Product Officer, WeLab)3. FinTech Week exclusive: WeLab Bank HKD200 Welcome OfferIn celebration of the industry&#x27;s leading fintech conference, WeLab Bank is now unveiling a limited-time welcome offer, exclusive to all delegates of FinTech Week 2021! From now until 30 November 2021, simply open an account with WeLab Bank using referral code “WELAB1” to enjoy 100% spending rebate* capped at HKD 200 in the first 30 calendar days upon successful account opening.Mark your calendars and meet us at Fintech Week 2021! If you still haven’t registered, get your ticket now before it’s too late at <a href="https://www.fintechweek.hk/">https://www.fintechweek.hk/</a>!* This offer cannot be used in conjunction with other referral programmes. You can only use one referral code when opening a WeLab Bank account. Terms and conditions apply, please <a href="/en/legal/welab-bank-welab1-referral-code-account-opening-reward-terms-and-conditions/">Click HERE</a> for details.

WeLabbers Community

Hong Kong Fintech Week

Want to find out more about life of a WeLabber? Read on…Leo’s BackgroundLeo Du is a member of Infrastructure Team in WeLab Bank Technology Team. Having spent almost two years at WeLab, we are glad to have him here sharing his personal story, and telling us what he’s been witnessing many milestones of WeLab first-hand.Q: How was your first day at WeLab? How has your opinion changed since then?When I first arrived at WeLab, I was packed with anxiety and worries - coming from a traditional bank, I lacked the confidence to thrive in the FinTech industry and as my position as a founding member of the infrastructure team. But sooner or later, the discomfort faded, and these negative emotions were overshadowed by my eagerness to learn more.Q: Any advice for newcomers?I started only with one goal in mind: Ask more, learn more, do more; don’t fear tough times, unfavourable short-term losses, and any hassles that may arise. Before you know it, you will easily grow accustomed to our culture and the work we do at WeLab!Q: Sounds good! Is there anything that you wish someone has told you back then when you first joined?Don’t be afraid to explore at the start - ask your peers: identify what’s important; what has been done before &amp; what has not; what’s the value of the project. This ensures that everyone is on the same page, and it will prevent a LOT of re-dos. Trust me! Also, you get the benefits of collective thinking, of which I guarantee the results will be much better than one’s sole opinion.Q: Is learning a significant part of your time here?I cannot stress this enough, but you must develop an open mind-set to learn. Pick up new skills, absorb new knowledge, learn from your peers; internalize all the new information &amp; apply them onto your job! When needed, share your expertise, and pass it on.Q: What’s your secret to achieving so much at WeLab throughout your two years?It’s all about taking action. Speak to your manager regarding future plans and schedule. Act upon advice from meetings. Fix and learn from your mistakes proactively. Combined with planning &amp; flexibility (and some hardwork), you will become more efficient and can achieve more.If you guys are interested, drop your cv here! <a href="https://www.welab.co/en/careers/">https://www.welab.co/en/careers/</a>

Insider Magazine: First Episode - Leo Du (Infrastructure, WeLab Bank Tech)

Want to find out more about life of a WeLabber? Read on…Q: What incentivized you to join WeLab after graduation?Having the experience of different IT roles at various financial organizations in HK, I was very inclined to work at a bank - and a non-traditional one at that. I had a strong preference to work at a relative new company as I appreciate the opportunities to connect and bond with coworkers in different departments.Q: Were your coworkers, friends, and family surprised at your decision to join us?At that time, most people had an impression of ad-hoc and disorganised about start-ups, and so did my friends and family. They expressed their concern about my move to WeLab. But I had a different thought and an unique perspective on the matter.Q: Could you elaborate a little further?Well, WeLab Bank was a start-up at the time — and we were working in the most tightly regulated field as a company with limited experience. This mismatch between experience and the level of surveillance was undoubtedly going to be slightly messy, but precisely it did open up new doors for the whole banking industry, as people say, “disrupting the market”.Q: What makes WeLab unique?I view WeLab Bank as the platform to create changes — which is a three-step process. We must first change our own perspective, then influence the industry, and finally use that as a ticket to deliver real changes in our world. Think about how some businesses single-handedly changed the food-delivery market, and subsequently everyone’s lifestyle.Q: After working here, what are the qualities of WeLab that you admire the most?Here, I truly feel that everyone’s equal, and everyone’s voice is heard. WeLab values our department’s creativity and ideas, and we are empowered to freely put our vision into practice. Many ideas of ours were spontaneous, and we would get our hands dirty immediately by trying them out. Unlike traditional businesses, our fast-moving process really saves us a lot of time. The layers of bureaucracy typically would cost significant delays to traditional businesses’ work — taking up to 2-3 months for an approval, and half a year to implement plans. Here, two-three weeks are all we need, as long as we comply with the legal &amp; compliance rules.If you guys are interested, drop your cv here! <a href="https://www.welab.co/en/careers/">https://www.welab.co/en/careers/</a>

Insider Magazine: Second Episode – Wilson (Software Architecture, WeLab Bank Tech)

Q:  Briefly introduce your backgroundPrior to joining WeLab, I worked as a programmer, and then transitioned into business consulting to support ERP implementation for clients.Q:  Can you describe the way we work here?  How does it differ to other industries that you worked before?The efficiency and speed here at WeLab is unmatched of! In the company, we really have a lot of face-to-face communication and co-operation. We stress the importance of team-work and collaboration given the speed and standard we demand here.To me, the biggest difference is definitely the regulations that is imposed on our work as we are a virtual bank. Besides that, I really can feel the start-up gene within the company, as everyone here is open to discussion, and there is no “default” way of working, as long as it complies with the regulations. As many unexpected changes happening around the industry, we are allowed to take experiment to see what works and what doesn’t. I absolutely love this kind of freedom to explore new methods and engage in novel tasks.Q:  How would you describe your first 90 days here?Even now, I always think I’m still new and have less than 90 days here (though it’s clearly not the case, lol!)My first 90 days at WeLab was definitely challenging and enjoyable. My manager has given me great and clear guidance, so I always knew what my responsibilities are. The culture here is amazing as I receive a lot of support from my co-workers, and we have a saying here that we truly embrace — “never not my job”. I credit this drive and passion to the young mental culture that we developed over-time!There were lots of challenges that I had to learn how to deal with. Some notable ones including urgent and unexpected issues — e.g. resources, communication, risk compliance problems — and it took me some time to get used to the fast-paced and slightly hectic environment. When there are new problems, we have to figure out some new solutions without any reference – that is the experience that I enjoy much.Q:  Any tips to people who are thinking to take a leap into the FinTech industry?First, don’t be wowed (or fooled) by the word Fin-Tech. It’s really just finance and technology, and it’s definitely accessible to most people.In Hong Kong, there are 8 virtual banks and many traditional banks, keen competition is guaranteed. This naturally means that you’ll be very busy if you decide to dive in.At WeLab, we embrace new technology, methodology, and even business development procedures. For the young talents, you will be able to learn a lot in a short time-frame. Unlike a traditional businesses, discussions and communications are definitely the key to success, so you must be able to collaborate radically with other teams.Virtual Banking is a highly regulated industry in Hong Kong, therefore, you must learn how to work effectively under a set of rules with agility.If you guys are interested, drop your cv here! <a href="https://www.welab.co/en/careers/">https://www.welab.co/en/careers/</a>

Insider Magazine: Third Episode – Edgar (Project Management Office, WeLab Bank)

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