The boom in many stock markets last year boosted the fortunes of the wealthy and added more members to the club of dollar millionaires. According to a study by consultancy firm Capgemini, the number of people with investable assets of at least 1 million dollars (about 920,000 euros) worldwide has increased by 5.1 percent to an estimated 22.8 million.
The wealth of the rich rose 4.7 percent to a record high of about $86.8 trillion. According to information, this is the highest level since the first assessment in 1997.
“The rise in prices on the stock markets is reflected in the development of the rich,” said Capgemini expert Klaus-Georg Meyer, who summarized the results of the current “World Wealth Report” on Tuesday.
Growth in Germany despite economic slowdown
In Germany, which was in an economic downturn last year, the wealth of the rich rose 2.2 percent to $6.28 trillion, and the club of dollar millionaires grew by 34,000 (2.1 percent) to 1.646 million members. On the positive side, according to Meyer, there were higher savings rates and share prices, as well as a decrease in inflation, which, however, is still at a relatively high level of 5.9 percent on average over the entire year. The development was tempered, among other things, by falling real estate prices.
According to the evaluation, despite below-average development, Germany remains in third place in the ranking of countries with the most dollar millionaires: the US is still at the top with 7.431 million rich people, ahead of Japan with 3.777 (previous year: 3.551) million . China is in fourth place with more than 1.5 (last year: 1.498) million high-net-worth individuals (HNWI for short). “China has not yet managed to catch up with Germany on this point,” Meyer said.
North America with the largest increases
The strongest increases were recorded in North America. Thanks to a robust economy, declining inflation and the stock market boom, the wealth of the wealthy in North America increased by 7.2 percent to $26.1 trillion, and the number of wealthy people there increased by 7.1 percent to 7.431 million . “This trend continues in the same way in most regions, albeit to a lesser extent,” the study said.
However, there are clear differences within the group of wealthy people. According to estimates, the 1 percent of the super-rich with investable assets of at least $30 million own 34 percent of registered assets. It is estimated that more than 70 percent of the super-rich are self-made millionaires, and 20 percent are under 40 years old. According to Capgemini, these will probably mainly be digital entrepreneurs.
The “World Wealth Report” is released annually
In its ‘World Wealth Report’, which has been prepared annually since 1997, Capgemini takes into account equities, fixed income, alternative investments such as private equity, cash and real estate, provided that these are not used by the company itself. Collections or consumer goods are not included. According to the information, the assessment covers 71 countries, accounting for more than 98 percent of global gross national income and 99 percent of global stock market capitalization. In addition, at the beginning of this year, 3,119 dollar millionaires were asked about their investment strategy, among other things.
Source: Krone
I am Wallace Jones, an experienced journalist. I specialize in writing for the world section of Today Times Live. With over a decade of experience, I have developed an eye for detail when it comes to reporting on local and global stories. My passion lies in uncovering the truth through my investigative skills and creating thought-provoking content that resonates with readers worldwide.
