Australia

Australia scored nearly 400,000 new billionaires last year as wealth inequality rises

number of millionaires Australia Nearly 400,000 more by 2021, increasing the number of wealthy people in the world stock and profits in the housing market.

According to Credit Suisse’s latest annual Global Wealth Report, 390,000 Australians will become billionaires in 2021, bringing the country’s total to 2.18 million.

The report measures wealth in US dollars, meaning that the number of Australians with wealth of $1 million or more in local currency is likely to be higher than the current 2.18 million.

The number of Australian billionaires will grow by nearly 400,000 in 2021. (Brooke Mitchell/Sydney Morning Herald)

Australia is currently home to 3.5% of the world’s billionaires, despite having less than half the world’s total population.

Credit Suisse expects that number to rise further. By 2026, the number of Australian millionaires is expected to grow by 35%, reaching a maximum of 2.94 million.

Perhaps unsurprisingly given the rise in billionaires, the report notes that wealth inequality in Australia has widened in recent decades.

“In 2007, the wealth share of the top 1% of adults was just 19.6%,” says the report.

“By 2021, the share of the top 1 percent will be 21.8 percent.”

However, across the report, Australians are listed as the richest people in the world, with a median wealth per adult of $415,300 (50% of Australians have less, and 50% of Australians have less). is greater than or equal to).

A pump-and-dump scheme advertises stock for dubious reasons and sells it after someone else has bought it.
The number of HNWIs worldwide has increased on the back of rising stock and housing markets. (Ben Rushton)

Measured by average wealth (total wealth divided by adult population), Australia has $834,200 per adult, ranking fourth in the world behind Switzerland, the United States and Hong Kong.

In this report, assets are calculated as financial assets owned by households plus real assets (mainly housing) minus liabilities.

Australia’s surge in billionaires was remarkable, but nothing compared to the United States, which had 2.5 million new billionaires in 2021.

Credit Suisse estimates that by the end of 2021, there will be a total of 62.5 million billionaires in the world.

According to the report, total global wealth reached $703 trillion at the end of last year, an increase of 9.8%.

Not surprisingly, the top two economies (United States and China) saw the greatest growth in household wealth, followed by Canada, India and Australia.

Australia’s surge in billionaires was remarkable, but nothing compared to the United States, which had 2.5 million new billionaires in 2021. (AP)

Countries were probably helped by strong increases in economic output in 2021, combined with “brisk” activity in their respective housing and stock markets, the bank said.

This exacerbates global inequality again, already significantly exacerbated through the pandemic.

According to the World Bank, 2020 marked a historic setback in the fight against global poverty, with the number of the world’s poorest growing for the first time in more than two decades.

Overall poverty has since declined slightly again, but the agency said, “The lingering effects of the pandemic, the war in Ukraine, and rising inflation will push tens of millions more this year than previously thought. We estimate that as many as 10,000 people may still be living in extreme poverty.”

This is in contrast to the luckiest people in the world.

Credit Suisse said in a report last year that the wealth share of the top 1% “increased for the second year in a row”. These individuals accounted for his 45.6% of global wealth in 2021.

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Australia scored nearly 400,000 new billionaires last year as wealth inequality rises

Source link Australia scored nearly 400,000 new billionaires last year as wealth inequality rises

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