In a recent report by Altrata, it was revealed that the global population of individuals worth $30 million or more, known as ultra-high-net worth (UHNW) individuals, saw an 8% increase in 2023. This surge in numbers was primarily driven by growth in the United States, where the UHNW population increased by 13% to 147,950 individuals. As a result, the U.S. now accounts for a third of the world’s UHNW population.
Looking ahead, the report predicts a further 38% growth in the UHNW population over the next five years, reaching a total of 587,650 individuals. This growth is expected to be accompanied by a rise of $19 trillion in combined fortunes, presenting a significant opportunity for businesses that cater to the ultra-wealthy demographic.
The report also highlights the significant impact of UHNW individuals on luxury spending. In 2023, the ultra-wealthy accounted for $118 billion in luxury spending, representing approximately one-third of global luxury expenditures. Additionally, they hold $38 trillion in investable assets, equivalent to one-third of the total, and contribute $190 billion in charitable giving, making up 38% of all philanthropic donations.
New York emerged as the city with the highest population of individuals worth $30 million or more, with 16,630 residents falling into this category. Hong Kong ranked second with 12,546 UHNW individuals, followed by Los Angeles with 8,955 and Tokyo with 6,445. These cities serve as hubs for the ultra-wealthy, offering luxury amenities and services to cater to their needs.
The rise of ultra-high-net worth individuals presents a growing market for luxury goods, lifestyle services, and high-end real estate. As the UHNW population continues to expand, businesses will need to adapt to meet the evolving interests and demands of this affluent demographic. With increased focus on family wealth planning and legacy transition, the ultra-wealthy are expected to play an increasingly significant role in shaping global economic trends and philanthropic initiatives.
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