Saturday, 15 February 2020 05:12

The number of very rich people surged in 2019. Here's why

Rate this item
(0 votes)

The number of rich people around the world shot up in 2019.

That's according to a report released Wednesday from market research firm Wealth-X focusing on the "very high net worth" population, defined as those with a net worth of between $5 million and $30 million.

The number of people with a net worth of between $5 million and $30 million rose to 2.67 million in 2019, a growth rate of 10% from 2.39 million people in 2018, Wealth-X says.

By comparison, the number of people with a net worth of between $5 million and $30 million rose to 2.39 million individuals in 2018, a growth rate of just 1% from 2.35 million individuals in 2017, a Wealth-X spokesperson tells CNBC Make It.

The jump is due to the prices of most asset classes rising in 2019, according to Wealth-X.

For example, the United States stock market was up across the board in 2019: the S&P 500 was up 28.9% for 2019, its biggest one-year gain since 2013; the Nasdaq was up 35.2% in 2019, its best one-year performance in six years; and the Dow rose 22.3% in 2019, its best annual performance since 2017, CNBC reported

The surge in stock prices was largely due to global central banks focusing on "monetary stimulus" programs, wherein the leading central banks cut interest rates to stimulate the economy, according to Wealth-X. (In the United States, that is the Federal Reserve Bank.)

The United States was home to the majority of people with a net worth of between $5 million and $30 million, when compared by country. There were 969,075 very rich individuals in the United States in 2019, up 15.9% from the year earlier.

Of course, the United States also has a stark wealth gap, with income inequality in 2019 at its highest level in at least 50 years, according to one measurement from the government's Census Bureau.

China had the second highest number of very high net worth individuals, with 259,830; it was followed by Japan with 186,250 and Germany with 129,875.

Taken together, the combined net worth of these very rich individuals rose by more than 10% to $26.6 trillion in 2019, Wealth-X says.

 

CNBC

May 04, 2024

Peer-to-peer trading in cryptocurrencies worth $500bn in Nigeria – Expert

Chief Executive Officer of one of the leading cryptocurrency platforms in Nigeria, NoOnes, Ray Youssef,…
May 01, 2024

Overwhelming majority of Nigerians have lost confidence in INEC, survey reveals

Yiaga Africa, a prominent election observation group, reveals in its latest report that only 23…
May 04, 2024

‘Your personality will get you 10 times richer than your intelligence,’ says self-made millionaire who retired at 35

I interviewed millionaire early retiree Steve Adcock recently on the subject of financial regrets. Adcock…
April 13, 2024

A new camera can undress people almost in real time—to send a message about AI

Nuca, a new deepfake camera, is an art project that shows how artificial intelligence can…
May 03, 2024

Two military officers face court martial over drone strike that killed 85 civilians in Kaduna

Nigeria's military has ordered two officers to face court martial proceedings over a drone strike…
May 04, 2024

What to know after Day 800 of Russia-Ukraine war

WESTERN PERSPECTIVE Russia says it has driven Ukrainian army from 211 square miles of territory…
May 01, 2024

Wellspring Consulting proposes cybersecurity investment to boost Nigeria's economy

In a bid to rescue Nigeria from its economic challenges, Wellspring Consulting advocates for significant…
April 30, 2024

Finidi George is new Head Coach for Super Eagles

Former Nigerian winger Finidi George has been appointed as the head coach of the national…

NEWSSCROLL TEAM: 'Sina Kawonise: Publisher/Editor-in-Chief; Prof Wale Are Olaitan: Editorial Consultant; Femi Kawonise: Head, Production & Administration; Afolabi Ajibola: IT Manager;
Contact Us: [email protected] Tel/WhatsApp: +234 811 395 4049

Copyright © 2015 - 2024 NewsScroll. All rights reserved.