- Advertisement -spot_img
Friday, March 31, 2023

Global wealth rises in 2021, but remains concentrated in a few hands

World wealth grew 9.8% in 2021, considered an “extraordinary” year by analysts, although it remained concentrated in very few hands, with the 1% of global wealth holding 45.9% of total wealth (1.7% more than the previous year). ) Is.

Furthermore, the increase in wealth is concentrated in only two countries: the United States represents half of the total and China a quarter. The rest of the world shared the rest of the quarter, according to benchmark analysis published today by Credit Suisse Bank.

Global wealth stood at $463.6 trillion at the end of 2021, while the average wealth per adult rose to $87,489 (+8.4%).

Good financial year despite pandemic

The 9.8% annual growth in assets last year has already been corrected at current exchange rates, but if this factor is omitted, the growth reaches 12.7%, the fastest annual rate ever recorded. represents, even though the world was just beginning to recover. Epidemic.

“2021 was a good year for finance,” commented one of its authors, Anthony Shoroux, in a presentation to Credit Suisse’s annual asset report, who cited general growth in stocks and low interest rates as reasons. determined by the central banks.

“It is too early to determine the impact of the war in Ukraine, inflation and problems in global supply chains; perhaps we will see a reversal of this trend,” said Nanette Hechler-Faid, head of research at the bank. Herb..

But even if household wealth stalls in the short term, researchers say the five-year projections are positive, with global wealth per adult expected to rise 28% by 2026 and cross the $100,000 threshold in two years.

Concentration of the rich and the super-rich

The United States and China were the biggest contributors to the progress of global wealth last year, first at $19.9 trillion and $11.2 trillion respectively, well ahead of the rest of the pack, followed by Canada (+1.8 billion), India and Australia.

Similarly, the United States tops the pyramid of adults considered to be ultra-rich (with a net worth of over $50 million), while China comes second again.

Overall, the number of the ultra-rich grew more (21%) than just millionaires (more than a million dollars, 9%), which now number 62.5 million individuals.

In 2021, more than 30,000 new ultra-rich emerged in the US, 5,200 in China, 1,750 in Germany, 1,610 in Canada and 1,350 in Australia, while departures from this group were rare, with the exception of the UK (1,130 less), Turkey ( -330) and Hong Kong (-130).

At the base of the pyramid are those who had “wealth” of less than $10,000 in 2021 and who represent 53% of the world’s population.

regional distribution

According to the report, middle-income countries will be the main engines of the economy in the coming years.

This notion is supported by the fact that those with wealth between $10,000 and $100,000 have been the ones that have grown the most since the turn of the century (504 million to 1,800 million individuals).

Of all the world’s wealth ($463.6 million), only $12,579 billion corresponds to Latin America, where last year wealth grew by $1.2 billion (10.5% up from a global 9.8%).

Europe has the second largest wealth pool after the US and ahead of China, although it added only 1.6 trillion in 2021, a fraction of the $32.5 trillion added together by the two biggest economic powers.

World Nation News Desk
World Nation News Deskhttps://worldnationnews.com/
World Nation News is a digital news portal website. Which provides important and latest breaking news updates to our audience in an effective and efficient ways, like world’s top stories, entertainment, sports, technology and much more news.
Latest news
Related news
- Advertisement -


Please enter your comment!
Please enter your name here