Slump takes toll on Asia's wealthy

SINGAPORE: The number of high net-worth individuals in Asia-Pacific slumped 14 percent in 2008 and they lost over a fifth of their wealth, leading to only cautious moves from cash back into stocks this year, Merrill Lynch and Capgemini said yesterday.

The financial crisis spurred a flight to safe assets, with cash holdings higher than in other regions at 29 percent and a surge in demand for gold, especially in China and Thailand, Merrill Lynch and Capgemini said in their Asia-Pacific Wealth Report 2009.

"We expect them to remain cautious," said Eng Huat Kong, head of South Asia at Merrill Lynch wealth management.