The richest people of the world have experienced a bump on the road for the rest of the world the financial crisis has been a disaster.
Merrill Lynch/Bank of America and Capgemini have issued their World Wealth Report for 2010 and there is no real surprise in the findings but there is some interesting information about how the assets of the world are distributed.
The study looks into how the demographics of high-income individual change over time and how different factors influence their population. A High Net Worth Individual or HNWI are basically the dollar millionaires of the world. The group of HNWIs grew 8.3% in 2010 and their growth in financial wealth was 9.7%, which is significantly more than the financial growth of the rest of the world population which is around 4,08 according to Economic Watch. The increase is enough to push global HNWI financial wealth up to US$42.7 trillion, beyond the pre-crisis high of US$40.7 trillion in 2007.
76% of the High Net Worth of individuals is men. Of cause there are regional differences but the majority of funds are still controlled by the male population and this is even though that women have to expect to live under the same life conditions as men.
India made the 12th place among countries with the highest number of HNWI. The top three are still the US, Japan and Germany accounting for more than half of the world riches people.
While the financial crisis have been a major disaster for the rest of the world are several countries experiencing major financial trouble. Like the Icelandic crisis where we were thought how to hedge a whole country, Ireland with its lean taxing system and housing bobble and Greece that have though us that you cant retire at age 52 and have a black economy of 30% of GNP without getting into trouble. For the rich people of the world the crisis only seems to be a bump on the road.
Other highlights and facts from the 2010 World Wealth Report:
Asset Allocations: In an environment of relatively stable but uneven recovery, equities and commodities markets, as well as real-estate (specifically in Asia-Pacific), performed solidly throughout 2010. By the end of 2010, HNWIs held 33% of all their investments in equities, up from 29% in 2009.
Spotlight: The post-crisis environment requires a higher degree of responsiveness and flexibility than in the past. This year’s Spotlight explores how wealth management firms and advisors need to provide a broader and more integrated set of capabilities to meet the complex needs of today’s HNWIs.
Investments of Passion: The value of many categories of investments of passion rose as HNWIs made acquisitions for the aesthetic and emotional appeal, as well as the potential to return value.
Regional and Country Trends: The U.S. is still home to the single largest HNW segment in the world, with its 3.1 million HNWIs accounting for 28.6% of the global HNWI population. Asia-Pacific posted the strongest regional rate of HNWI population growth in 2010 and has now surpassed Europe in terms of HNWI population, expanding 9.7% to 3.3 million, while Europe grew 6.3% to 3.1
- The Richest Man in Africa (socyberty.com)