Executive summary:
In the first half of 2022, the global ultra high net worth (UHNW) population fell by 6%, to 392,410 individuals. This represents a sharp reversal from 2021 and the first downturn in UHNW numbers since 2018, as wealth portfolios were hit by shockwaves across the global economy, triggered by the war in Ukraine. Following historical highs in recent years, combined net worth fell by 11%, to $41.8trn. It will be a bumpy road in the near term.
North America saw the most significant
fall of any region in H1 2022. In stark
contrast with the vibrant growth seen
in 2019-21, the UHNW population in
the world’s largest ultra wealth region
declined by almost 10% in the first half of
2022, to 134,530 individuals. The number
of UHNW individuals in Asia fell by 3.9%;
this was a smaller decline than in North
America and Europe, allowing Asia to consolidate its position as the second-largest UHNW region.
China was the only major wealth market
to see a rise in its UHNW population.
Ultra wealthy numbers in the world’s
second-largest UHNW country rose by
2.3% over H1 2022. The US was one of
three countries (the others being Japan
and France) in the top ten to record a
double-digit fall. Among the world’s
premier UHNW cities, Hong Kong slightly
extended its lead over second-placed
New York, although both cities recorded
declines in their UHNW populations.
Women account for only 11% of the
UHNW population, but this proportion
is gradually rising. UHNW women are, on
average, far more likely to have inherited
at least some of their wealth; and have a
greater interest (or be working directly)
in philanthropy. Asset allocation also
differs between ultra wealthy women and
men: real estate and luxury goods, which
account for 13% of all assets among
UHNW women, is three times greater
than the allocation among their male
counterparts.
Among luxury assets, ultra wealthy
women have a greater preference for
art and jewelry assets than do their
male counterparts. Assuming an equal
number of ultra wealthy men and women
(for comparison purposes), women
account for 70 of every 100 UHNW
owners of luxury watches and jewelry,
and are slightly more often the owners
of high-end art. Jets and yachts are far
more commonly owned by UHNW men.
Ownership of a secondary residence
worth more than $5m is equally common
among UHNW men and women.
On average, US ultra wealthy women
make larger political donations than
do ultra wealthy men. Individual ultra
wealthy female donors gave, on average,
$134,100 in the period 2018-21, compared
to $125,000 among ultra wealthy male
donors. While the average female gift is
slightly smaller, they give more frequently.
