In a striking contrast to the global trend, Singapore’s ultra-wealthy populace is set to spike. A report by esteemed real estate consulting firm Knight Frank reveals that by 2027, Singapore will see an increase of 17.7% in ultra-high-net-worth individuals (UHNWIs), taking the tally to an estimated 5,300.
Knight Frank’s recently published Wealth Report asserts that the number of UHNWIs in Singapore, individuals holding a net worth of US$30 million or more inclusive of their primary homes, escalated by 6.9% to 4,498 in 2022 from 4,206 in 2021.
Despite the global UHNWI population dipping by 3.8% in 2022 after a massive 9.3% rise in 2021, Singapore stayed buoyant. This dip was primarily driven by underperforming equities and bond markets, says Leonard Tay, the head of research at Knight Frank Singapore.
However, growth in the prime residential markets worldwide and luxury investment assets acted as a stabilizing factor. “Average price growth in 100 prime residential markets globally was 5.2%, and luxury investment assets surged by 16%,” Tay added.
Also read: Singapore Ranks 6th for Prime, Super-Prime, and Ultra-Prime Properties Globally
Singapore, with its strong UHNWI growth, ranked eighth globally in 2022, with the UAE leading the pack with an 18.1% growth rate. Other Asian nations like Malaysia and Indonesia also made the top 10 list with a 9.4% and 9% growth rate respectively.
The report also divulges that high net worth individuals, those with a net worth of US$1 million or more, including their primary homes, swelled by 2.9% globally in 2022, pushing the total to nearly 70 million.
Knight Frank predicts the global UHNW population to expand by 28.5% over the next five years. This projection, however, indicates a slowdown from the 44% growth observed between 2017 and 2022.
In terms of future growth, Hungary is forecasted to take the lead with an expected growth rate of 74.4%, followed by Turkey and Poland.
This news was sourced from asiaone.