Merrill Lynch Global Wealth Management and Capgemini released the 15th annual World Wealth Report on 22nd June 2011.
The report shows that the number of High Net Worth Individuals reached 10.9 million in 2010. The report defines HNWIs as “those having investable assets of US$1 million or more, excluding primary residence, collectibles, consumables, and consumer durables”. Between them, the HNWIs included in the report have financial wealth totalling US$42.7 trillion – up 9.7% on the previous year.
Over 50% of HNWIs live in the US, Japan and Germany. The United States alone is home to 3.1 million HNWIs – accounting for 28.6% of the global total. India entered the top 12 for the first time in 2010. Most HNWI investments are primarily held in equities, fixed-income investments and around 14% in cash. Commodity investments are also popular – growing to 22% in 2010.
In the Asia Pacific region other than Japan, HNWI’s are more likely to hold their investments in real estate – around 33% of the total assets held by HNWI’s in the region. The report forecast that HNWIs will increase their equity and commodities allocations in 2012 while reducing their allocations to real estate and cash/deposits.