Asia-Pacific Region Records 4.69M New Millionaires In 2014, Says Report
Asian Pacific region recorded 4.69 million new millionaires with a growth rate of 9 percent according to the World Wealth Report 2015 released by RBC Wealth Management and Capgemini on Thursday, June 18, 2015.
North America came up with 4.68 million new millionaires at eight percent growth rate while Europe has 4 million at four percent growth rate. The High Net Worth Individuals (HNWIs) global population reported an accumulated fortune of US$56.4 trillion. Such new figure indicated an increment by seven percent or almost 3.5 percent from last year’s.
Equity market and strong economic performance contributed to the growth which has the fastest rate in Asia-Pacific region, making it the new haven for HNWIs, according to George Lewis, RBC Wealth Management & RBC Insurance group head who added that 2014 saw the sixth year of consecutive growth for HNW market.
Lewis is also positive Asia-Pacific will take the highest spot for HNWI wealth before end of 2015.
“Asia-Pacific led the growth in wealth this year and just edged out North America as the new leader in High Net Worth population. Looking ahead to the next few years, we expect Europe to be a large driver of HNWI wealth as the region recovers economically,” Lewis was quoted in the report.
Also according to the report, United States and China drove 52 percent of global HNWI population growth when the figure is taken from a country-level perspective. For both wealth at 28 percent and HNWI population at 26 percent, India led the world’s growth, followed by China with its population growth at 17 percent and wealth growth at 19 percent.
India’s figure was driven by a reduction in substantial oil import costs on top of robust equity market performance. China’s growth was due to growth in GDP, moderate equity market performance and more exports.
Positive Impact On Society
According to last year’s World Wealth Report, 92 percent of HNWIs showed consistent interest in making investments to cause a positive social impact. The current report signified that 30 percent of HNWIs approached wealth managers while 27 percent turned to their family and 22 percent went to their friends to solicit advice on social impact opportunities.
Of the HNWIs who sought and received social impact support from firms and wealth managers, 54 percent of them expressed more desire for assistance in defining clear goals on social impact or in ascertaining which investments could have the most effect, among others, the report said.