32.5 C
Sunday, July 21, 2024

High-net-worth individuals hit record numbers in 2023

Must read

High-net-worth individuals hit record numbers in 2023

People Demonstrate Against The Buying Of Swiss Bank Credit Suisse By Ubs, In Zurich

    The number of high-net-worth individuals (HNWIs) and their combined wealth reached unprecedented highs in 2023, driven by a rebound in global stock markets, according to a report by consulting firm Capgemini released on Wednesday.

    The “World Wealth Report” estimates the global HNWI population grew 5.1% to 22.8 million last year. Their collective wealth also rose 4.7% to a record $86.8 trillion.

    This surge is attributed primarily to strong stock market performance. The report highlights significant gains in major indices, with the Nasdaq rising 43%, the S&P 500 gaining 24%, and European markets like CAC 40 (Paris) and DAX (Frankfurt) climbing 16% and 20% respectively.

    “Stock markets surged alongside the technology sector, fueled by optimism surrounding advancements in artificial intelligence and its projected economic impact,” the report states. It utilizes a statistical sampling system and the Lorenz curve, a graphical tool for analyzing wealth distribution, to analyze data from 71 countries.

    The report contrasts this year’s growth with 2022, when the wealthiest individuals saw the most significant decline in asset values ​​in a decade due to a stock market downturn.

    North America led the growth, with the number of millionaires rising 7.1% and their wealth climbing 7.2%. This surpassed growth rates in both the Asia-Pacific region and Europe.

    The concentration of wealth and rising inequality have reignited discussions about taxation of the ultra-wealthy. Within the G20, Brazil and France advocate for a global minimum tax on large fortunes.

    The report cites a scenario where such a tax could generate an additional $250 billion if the world’s 3,000 billionaires paid at least 2% of their wealth in income taxes.

    - Advertisement -AliExpress WW

    More articles

    - Advertisement -AliExpress WW

    Latest article