There is a virtuous, cyclical relationship between high levels of financial well-being and personal well-being, with high self-esteem begetting a stronger sense of financial preparedness, and vice versa, according to a recent report.

For instance, 86% of Hong Kong respondents say being financially prepared will help them bounce back more easily from setbacks and challenges, while a corresponding 83% reflected that this cultivated resilience will encourage them to continually improve levels of financial preparedness, finds the Endowus x Intellect Wealth & Wellbeing Report.

The report surveyed 1,000 Gen Zs and millennials in Hong Kong and Singapore and looked at the personal factors of mental well-being like growth mindset, resilience, self-esteem as well as workplace well-being dimensions of job satisfaction and turnover intention.

Diving deeper into the strategies that Gen Zs and millennials plan to adopt to enhance financial preparedness, the report concludes that employers and organizations have a crucial role and responsibility to play in improving employees’ holistic financial and mental resilience, particularly with the business objectives of building a stronger, more resilient workforce by boosting job satisfaction and reducing turnover intention.

From the outset, Hong Kong respondents exhibit robust baseline metrics for overall well-being: a high percentage of respondents indicate healthy levels of growth mindset (87%), resilience (78%), self-esteem (85%) and job satisfaction (75%). However, a contrasting figure of nearly two in five respondents (41%) often think about leaving their job, reflecting considerable turnover intention.

In terms of financial preparedness, a majority (60%) of Hong Kong respondents feel “very prepared”, “prepared” today. Financial preparedness is defined in the study as the confidence that one is able to financially manage life's demands, both in the short-term and long-term.

A further one in two of respondents (48%) express confidence in the current predictability of their primary income source, contributing to this strong sense of financial preparedness reported among respondents.

Despite half of Hong Kong respondents being confident that their income sources are consistent and predictable, comparatively, only 16% cite sufficient levels of investment proficiency to understand the right type of investments for their financial goals.

Another 19% are confident in their ability to build an adequate retirement nest egg, highlighting the need for individuals to adopt a longer-term view on their financial planning, to stabilize their financial safety net further with meaningful wealth accumulation.

Employers, the report notes, play a crucial role in fostering the holistic well-being of their workforce. A significant one in three Hong Kong respondents desire greater workplace support through financial wellness workshops (31%), personal finance interest groups (34%), company endorsed/sponsored retirement investment plans (34%) and financial literacy training sessions (38%). This sentiment is echoed particularly strongly among millennials, with 38% expressing a preference for financial literacy training.

Notably, another 31% of Hong Kong respondents are also looking for their workplaces to offer mental wellness workshops, reflecting a growing understanding among Gen Zs and millennials on the interconnectedness between mental health and financial well-being.

Rather than seeing these two dimensions as mutually exclusive, the report suggests, organizations should look to offer mindfulness training sessions focused on financial stress reduction techniques, and provide access to counselling services that specifically address financial anxieties and their impact on mental health.

Some other key findings include:

• While 41% of respondents in Hong Kong often think about leaving their job, 69% agree that they are less likely to consider leaving their jobs when their workplaces provide support to help them be financially prepared.
• 82% say that they would feel more satisfied in their job when they have good financial preparedness.
• 83% think that being financially prepared would help them be less distracted and more productive at work, which is more pronounced than in Singapore (78%).
• 86% of Hong Kong respondents say being financially prepared will help them bounce back more easily from setbacks and challenges.

“Research consistently demonstrates the deep interconnection between financial well-being and mental well-being, with financial stress often leading to anxiety and reduced mental health,” says Theodoric Chew, Intellect’s co-founder and CEO. “The findings from our joint study with Endowus reinforce this link, highlighting the urgent need for comprehensive wellness solutions.”