Hong Kong, Not New York, Now Home To Highest Number Of Ultra Rich In The World

The increase in the number of ultra-rich people in Asia has forced New York from its leading position as the city that has the largest number of ultra-rich people.

A new report states that New York was over taken by Hong Kong to become the city that is home to highest number of people who are worth at least $US30 million ($42 million).

According to the report prepared by research firm Wealth-X found, in 2017, the number of ultra rich people in Hong Kong increased by 31 per cent at about 10,000. On the other hand, the number of such people in New York was about 9,000. The third city on the list is Tokyo. In Europe, Paris was is the city with the highest number of ultra-rich people beating London to the position because of capital drain from the UK due to Brexit.

According to the report, globally, there was a 13 per cent increase in the number of ultra-rich individuals at about 256,000 people in total, the combined wealth of these people is about $US31.5 trillion.

The report further said that the fastest growth of this set of individuals was noted in Asia – primarily driven by growth in China and Hong Kong. In the global context, the number of people with at least $US30 million in wealth in Asia accounted for about one fourth of the total such people in the world in 2017 compared to about 18 per cent the year before which reflects the growth of the region.

“Asia-Pacific is forecast to close the ultra-wealth gap with other regions over the next five years, but is expected to remain behind Europe, the Middle East and Africa in absolute terms,” the report’s authors wrote.  They expect the growth in the number of such individuals in the Asia-Pacific region to be 8.3 percent a year.

In 2017, about 35,000 of the ultra-rich were women which in itself is a record, noted the study.

Ironically, while Hong Kong topped the list as a city, none of the other cities in mainland China came in the top 10 of the list, despite China as a country was home to the third largest population of the ultra-rich, said the report. This is because the wealth in China is widely dispersed and demonstrated by the fact that 26 of the 30 cities wihtthe fastest growing number of ultra-rich were in China in 2017.

“The dynamism of wealth creation across China’s vast landscape is nevertheless staggering,” the authors wrote.

“Having experienced a roller-coaster ride the previous year, economic and financial markets almost without exception surprised on the upside in 2017,” they said. “On an annual basis, world real GDP expanded at its fastest pace since 2011.”

(Adapted from SMH.com)

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