The Luxury Index sits within our theme of stocks benefiting from Asian discretionary spending. HSBC Global Research estimates that the luxury goods market in mainland China will likely achieve 48 per cent growth in 2020, doubling its overall share of the global luxury market in 2020, with further growth expected through to 2025. Growth of the wealth management market is unparalleled in Asia, underpinned by the expansion in high-net-worth population and the increase in their sophistication. Global Markets continues to invest in our product manufacturing capabilities leveraging our market expertise, and deliver bespoke solutions for wealth clients.
Index-linked structured product exemplifies commitment to meet customers diverse wealth management needs aligned to prevalent investment themes. The product enables investors to gain exposure to the sector, while maintaining a high level of capital protection. Luxury spending from Asia, and in particular mainland China, already accounts for a significant portion of global luxury consumption. Luxury as an investment theme is poised to benefit from strong economic recovery led by Asian economies in the post COVID-19 world. The Luxury Index provides investors dynamic exposure to a list of global stocks that have high exposures to the luxury sector.