Hong Kong’s ultra rich sees growth in population, assets
Household wealth in city expected to maintain upward momentum for next five years, says Credit Suisse report
Hong Kong’s ultra rich are not only getting richer but also growing in number, with the number of ultra high net worth people in the city rising to 1,800 or by 14.7 per cent, from a year ago, a new report said.
According to the latest Global Wealth Report published by Credit Suisse, mainland China was ranked second after the US in the number of ultra high net worth individuals, with their ranks rising by 6.2 per cent to 11,000 individuals so far in 2016. That also represented a 100-fold rise since 2000, said the report.
Household wealth in Hong Kong grew by an estimated 8.1 per cent in the same period to US$1.2 trillion, partially thanks to the strengthening of the Hong Kong dollar which is linked to the US dollar.
The US dollar index, a gauge of the strength of the greenback against a basket of major currencies, hit a 30-year high last week after clocking a steady growth in the last two years. The growth accelerated on higher expectations of a US interest rate rise next month and chances of higher inflation in the US under the Donald Trump presidency.
Household wealth in the city is expected to increase by 5.9 per cent every year in the next five years to US$ 1.5 trillion by 2021, according to Credit Suisse.
In contrast, due to a strengthening US dollar and accordingly a weaker yuan, household wealth in mainland China fell by 2.8 per cent to US$23 trillion so far this year. However, when the same is calculated in yuan terms, the figure increased by 4.1 per cent, it said.
