Currently home to 210 centi-millionaires, Dubai is ranked 16th out of 50 globally.
Dubai is among the top 10 global cities that are poised to record the highest growth in its centi-millionaire or super-wealthy population (those worth $100 million or more) in the next decade.
With its vibrant and diversified economy, underpinned by superb infrastructure and safety, Dubai’s centi-millionaire population is set to grow 78 percent over the next 10 years, according to a report from Henley & Partners, a wealth and migration advisory firm, which used data from New World Wealth.
Currently, home to 210 centi-millionaires, Dubai is ranked 16th out of 50 globally for the number of people who have wealth of $100 million or more and also has 15 billionaires. The emirate is just behind Mumbai, which has 224 centi-millionaires and 27 billionaires, and ahead of Russia, which has 205 centi-millionaires and 23 billionaires.
The top three cities for the super wealthy are in the USA, with New York having the most centi-millionaires at 775, ahead of the Bay Area, San Francisco, which is ahead in terms of billionaires at 69 compared with New York’s 62. Los Angeles is in third place, followed by London then Beijing, Shanghai, Singapore, and Hong Kong.
The population of the super-wealthy across the globe doubled over the past 20 years as asset prices soared around the world. There are now 28,420 so-called centi-millionaires worldwide, up 12 percent over last year and more than twice the number in 2003, according to the report.
Dominic Volek, head of Private Clients at Henley & Partners, points out:
“Asia and the Middle East are going to feature even more prominently over the next ten years when we anticipate a 38 percent increase in the number of centi-millionaires worldwide. This cohort’s wealth has generally come from four sources: inheritance, selling off their small- to medium-sized enterprises, trading and investing in stock markets, and leading multinationals and highly successful tech companies.”
Of the top 50 global cities, the e-commerce hub of Hangzhou in China is expected to see the highest growth in its centi-millionaire population in the next decade with a projected 95 percent increase, closely followed by the prominent tech hub, Shenzhen (88 percent). The emerging global business center of Riyadh in Saudi Arabia and India’s largest commercial hub Delhi are projected to see the 3rd-highest growth of 85 percent each between now and 2033, while financial capital Mumbai is forecast to enjoy an 80 percent growth in its centi-millionaire community. Tech-friendly Austin in the USA also has a very strong growth projection of 84 percent by 2033. China’s main transport and trading nexus Guangzhou is projected to record 76 percent growth, followed by the world’s most expensive city, Monaco at 72 percent in 10 years. The numbers in Australia also look poised to increase sharply — by 67 percent in Melbourne, 60 percent in Sydney, and 57 percent in Perth. By contrast, centi-millionaire growth figures are forecast to be a sluggish 17% in Los Angeles, 12 percent in London, 6.0 percent in Chicago, and just 5.0 per cent in Moscow.
At a country level, most centi-millionaires are concentrated in the USA (38 percent), followed by the large emerging markets of China and India. One-third of the world’s centi-millionaire community lives in 50 key cities across the globe, with New York City wearing the crown with 775 resident centi-millionaires.
Dr.Low-interest Juerg Steffen, CEO of Henley & Partners, said the $100 million plus band represents the best definition in today’s world of what it means to be ‘super-wealthy’.
“Not long ago, in the late 1990s, $30 million was considered by most banks as the fortune that was needed to meet this status. However, asset prices have risen significantly since then, making $100 million the new benchmark.”
Low-interest rates and the resulting flood of money across the world since the 2008 financial crisis have also made the money effectively worth less, which has added to the growth of centi-millionaires in terms of dollars.
“The value of money has declined, so in dollar terms, you would expect more centi-millionaires,”
said Andrew Amoils, head of research at New World Wealth.
“It has also been fueled by strong growth in the US and Asia.”
News Source: Khaleej Times
