Latest news with #HNWIs
Khaleej Times
3 days ago
- Business
- Khaleej Times
UAE: The global hotspot for wealth, capital, and enterprise
Over the past decade, the UAE has transformed from a regional financial hub into a global epicenter for wealth, business, and innovation. As global economies shift, the UAE's strategic positioning both geographically and fiscally has placed it firmly on the radar of investors, entrepreneurs, and family offices worldwide. What once was a tax-free playground for businesses is now evolving into a credible, structured, and compliant jurisdiction thanks to a proactive regulatory approach spearheaded by the Ministry of Finance, Ministry of Economy, and visionary government leadership. The national roadmaps Vision 2030, 2033, and 2040 are not mere policy documents but a clear playbook for sustainable economic leadership. A magnet for wealth and capital High net-worth individuals (HNWIs), family offices, and institutional investors are increasingly gravitating towards the UAE. With global tax regimes tightening and transparency standards rising, the UAE offers a balanced ecosystem combining tax efficiency with regulatory credibility. It's not just about low taxes anymore; it's about being part of a jurisdiction that is globally respected and compliant with international norms. A destination for people and businesses Entrepreneurs, SMEs, and multinational corporations are setting up in the UAE not just for its incentives, but for its open, business-friendly environment. Access to emerging markets, world-class infrastructure, and a progressive visa system make the UAE a hub for talent and enterprise. The rise of tech and funds Venture capital, private equity, fintech, and digital assets UAE's capital markets are rapidly diversifying. The surge in fund setups, tech investments, and fintech platforms reflects a growing confidence in the UAE's financial ecosystem. Abu Dhabi's ADGM, Dubai's DIFC, and emerging jurisdictions like RAK DAO are playing pivotal roles in this capital influx. The shift is real and unprecedented As Singapore tightens, the UK redefines its tax landscape, and Mauritius matures, the UAE is stepping forward as the jurisdiction of choice for the next generation of global business. This shift is not a coincidence it is a result of deliberate reforms, strategic partnerships, and a vision to be a trusted global gateway. The world is moving towards the UAE — and the UAE is ready. The writer is Partner, MICS
Forbes
3 days ago
- Business
- Forbes
Italy's Flat Tax Is Quietly Reshaping Its Real Estate Market
Aerial photo shooting with drone on Milan Center, the central business area of the city with new ... More skyscrapers and iconic Cathedral and square of Duomo While tax reform debates in the UK and the US continue to make headlines, one of the most consequential developments of the past years has played out more quietly – in Italy. The country's flat tax regime, first introduced in 2017 and increased to €200,000 in 2024, is rapidly repositioning Italy as a destination of choice for high-net-worth individuals (HNWIs). And the impact is now increasingly visible in the real estate and construction sectors. Globally, we are seeing record levels of wealth migration. In 2025 alone, more than 142,000 millionaires are expected to relocate, with the UK projected to lose around 16, by contrast, is expected to welcome approximately 3,600 of these HNWIs – a substantial number shift for a country that, until the introduction of its flat tax regime, had not featured prominently in global wealth migration trends Prime Property Demand Is Just the Beginning The most immediate impact has been felt in the real estate market. Milan, Rome, Florence, and lifestyle destinations such as Lake Como and Tuscany are experiencing rising demand for prime residential stock. Milan's residential prices rose 2% in the past year and have increased between 15 to 28% over the last five years, making it both the most dynamic and the most expensive property market in Italy. In the city's prime areas such as Brera and Porta Nuova, prices now exceed €15,000 per square metre. Energy-efficient new-builds average €7,250 per square metre, often selling out before completion. Demand is also accelerating in formerly overlooked districts like Bovisa and Lambrate, where prices rose by as much as 12% in 2025 alone due to regeneration and transport upgrades. However, this does not appear to be just a passing housing trend. Many of those relocating are putting down roots – setting up businesses, moving their families, and enrolling their children in local and international schools. Cities such as Verona, Bologna, and Turin, which have often been overlooked by global buyers, are also seeing more interest. . Developers are responding accordingly, with new investments flowing into Build-to-Rent (BTR) schemes, renovation projects, and new-build developments designed for long-term use. The focus is shifting from lifestyle to liveability – schools, services, infrastructure, and the everyday quality of life. A Predictable Framework, An Evolving Market What makes the flat tax regime so compelling is not just its cost – €200,000 annually on foreign income, plus €25,000 for each additional family member – but its predictability. Individuals can apply for advance tax rulings before relocating, providing rare legal clarity. Between 2017 and 2023, nearly 4,000 people joined the regime, and uptake has since accelerated. In 2023, 46% of participants also declared Italian-source income totalling €87 million. The regime's exemption of foreign-held assets from Italian wealth, inheritance, and gift tax makes it particularly appealing for long-term planning. For family offices, this framework offers stability in a region where tax law unpredictability can often be a deterrent. Real Estate Meets Broader Urban Regeneration The influx of international residents is also fuelling wider infrastructure demand – from international schools and healthcare to digital services and transport. This dovetails with Italy's €194.4 billion National Recovery and Resilience Plan (NRRP), funded by €71.8 billion in EU grants and €122.6 billion in loans. The NRRP is already funnelling €34.5 billion into sustainable mobility, €24.7 billion into renewable energy and waste systems, and €16.9 billion into energy efficiency upgrades for residential and public buildings. Southern Italy is also attracting renewed interest. Regions like Campania, Puglia, and Sicily are now part of the investment conversation. Rich in architectural heritage and natural capital, they offer value – but also regulatory complexity. For developers, this creates both opportunity and friction. For local governments, it signals the urgency of streamlining permitting and improving planning coordination. Challenges Ahead: Managing Growth and Public Perception Despite the momentum, structural challenges remain. Demand continues to outpace supply, especially in Milan's most desirable neighbourhoods, where properties often receive multiple offers and close within weeks. Developers face higher construction costs, lengthy permitting timelines, and increasingly complex energy-efficiency regulations, all of which raise barriers to delivery. Affordability is also becoming a concern. The inflow of international capital is driving up prices, widening the gap between local incomes and housing costs. Without a parallel response on the supply side, Italy risks deepening affordability pressures similar to those seen in other global cities. Administrative bottlenecks compound the issue. Permitting processes remain fragmented, with significant variation across municipalities. For international investors, this lack of consistency can undermine confidence and delay projects. Progress on regulatory reform and planning coherence will be key to sustaining investment. Public perception also matters. While the flat tax has succeeded in attracting wealth, it will only remain viable if it's seen to benefit the country as a whole – not just the few who use it. Clear reinvestment strategies and inclusive policies will be essential to to maintaining long-term support for the policy. Looking Ahead Italy's flat tax was never just about offering a financial incentive. At its core, the policy is meant to bring in people who will stay, contribute, and help reinvigorate the economy – not only in Milan or Rome, but across regions that have seen years of underinvestment. That original goal is now being tested. The increase to €200,000 for new applicants signals that the government still sees the scheme as worthwhile, even as it seeks more revenue. Whether the policy delivers in the long term will depend on what happens next. If Italy wants this early success to last, the focus needs to shift from attraction to integration. Housing must be available where people want to live. Schools, transport, and healthcare need to keep pace. And smaller cities must be given a real chance to benefit too. The flat tax has put Italy on the map for people who could choose almost anywhere in the world to live. Keeping them here – and making that presence count – is now the bigger task.
CNBC
4 days ago
- Business
- CNBC
Here are 10 of the most expensive cities for high-net-worth individuals, according to a new report
Singapore retained its top spot as the most expensive city globally for high-net-worth individuals (HNWIs) for the third consecutive year, according to the 2025 Global Wealth and Lifestyle Report by Swiss bank Julius Baer. The report is based on the Julius Baer Lifestyle Index, which looks at the relative cost of a basket of 20 goods and services that affluent consumers across 25 major cities globally buy and use such as cars, jewelry, lawyers and private schools. It also includes data from a survey of 360 HNWIs (bankable household assets of $1 million or more). The sixth editionof the bank's annual report comes amid global economic uncertainty, rising geopolitical tensions and a slowdown in consumer spending. Data collection for this study was completed before the U.S. administration announced its tariff plans, so the subsequent market turmoil was not factored into this year's numbers, according to the report. Notably, the report recorded a 2% decline in U.S. dollar terms for the cost of a high-net-worth lifestyle. This is significant because "historically, high-end consumer prices have risen at twice the rate of average consumer prices," the report said. The report added that a decline of more than one percentage point underscores the headwinds facing the high-end sector. "One of the biggest drivers of this was a fall in the price of technology, which has decreased across all regions." In contrast, the price for business class flights and watches rose sharply by 18.2% and 5.6%, respectively, in the past year, according to the report. Ultimately, spending still increased globally among the HNWIs who were surveyed for the study, albeit at a lesser extent than in previous years. Europe showed the slowest growth compared to the Middle East, Latin America, North America and the Asia-Pacific regions. Here are the top 10 most expensive cities for high-net-worth individuals globally: This year, Europe made up five of the ten costliest places for HNWIs to live with London leading the group, ranking second globally. London has consistently been a strong performer on the index. "Through the global financial crisis, Brexit, the Covid pandemic, and a war in Europe, it has always maintained a spot in the upper reaches," according to the report. That is partly due to the city's status as a global financial hub that's modern and cosmopolitan with "history, liveability, culture, and charm." Meanwhile, Dubai made a big jump to seventh place from 12th place last year, largely attributable to rising property, car, and champagne prices, the report noted. Shanghai, on the other hand, dropped to the sixth position from the fourth, a steep tumble from its top ranking in 2022. And notably, there was only one American city — New York — in the top ten on the list. The Asia-Pacific region topped the ranks, with Singapore and Hong Kong landing in two of the top three positions for the most expensive cities. "Asia Pacific remains one of the fastest-growing regions globally. Real GDP grew 4.5% year on year in 2024 – moderating slightly from 5.1% in 2023 but still outpacing the global average of 3.3%," said research analyst at Julius Baer, Jen-Ai Chua. "Firm fundamentals have set the stage for the rapid ascent of wealth in the region. The number of high-net-worth individuals in Asia is projected to have grown 5% year on year to 855,000 in 2024," Chua added. Interestingly, although Singapore maintained its top position as the most expensive city for HNWIs, it still remains very livable. The country is a leading choice for relocation and residency, according to the report, on account of its stable political environment, overall safety and quality healthcare and education. The city-state is also becoming a pioneer in wellness tourism, "opening a slew of therapeutic gardens to help visitors who are interested in mental wellness experiences," the report said. This comes amid a wider trend of an increased emphasis on longevity. Nearly all of the respondents were interested in longevity and ageing well, with between 87% (North America) and 100% (APAC) actively taking steps to increase their longevity. This ranges from lifestyle changes like regular exercise and good diet to investing in things like gene therapy and cryogenic chambers. These high-net-worth individuals were also concerned with financial longevity. "The vast majority of respondents in all regions saw an increase in overall asset value, and a similar majority say they would adjust their wealth strategies were they to live ten years or more longer than expected," according to the report.
Arabian Post
4 days ago
- Business
- Arabian Post
Dubai Rises to 7th Most Costly City for the Ultra‑Wealthy
Arabian Post Staff -Dubai Dubai has climbed to seventh place worldwide among the most expensive cities for high-net-worth individuals, according to Julius Baer's Global Wealth and Lifestyle Report 2025, up from 12th last year. This marks the largest ascent within Europe, the Middle East and Africa, even though local currency prices rose by just 1 per cent. The report evaluates the cost of living for HNWIs using a 'Lifestyle Index' that covers 20 goods and services ranging from property and cars to legal services and education. In Dubai, steep increases in big-ticket sectors—13 per cent for car prices and 17 per cent for residential property—have driven the city's rise in rankings, reinforcing its appeal to affluent migrants. ADVERTISEMENT Regionally, EMEA now accounts for over half of the top ten most expensive cities for HNWIs. London, Monaco and Zurich also climbed the rankings, securing second, fourth and fifth positions globally. Dubai's dramatic move to seventh place complements these traditional wealth centres, overtaking cities such as Shanghai and New York. Globally, Singapore remains the costliest city for wealthy lifestyles, with London and Hong Kong following in second and third place. While overall prices in US dollar terms fell by 2 per cent—driven by a 3.4 per cent decline in the cost of goods—Dubai defied this trend with its sharp price hikes in luxury property and automotive sectors. Dubai's real estate sector experienced exceptional growth in 2024, with property sales value surging by 27 per cent year-on-year. Concurrently, the number of millionaires in the emirate more than doubled over the past decade, now exceeding 80,000, accompanied by a rise in centi-millionaires and billionaires. Julius Baer attributes this shift to the emirate's strategic appeal to mobile elites via residency schemes, minimal personal taxation and a vibrant lifestyle combining beachfront living, upscale services and robust business potential. Luxury dining, designer fashion, fine jewellery and experiential spending remain in high demand, even as global consumption for goods softens. Beyond wealth rankings, the report highlights evolving HNWI priorities, with growing emphasis on both physical and financial longevity. Across regions, including Asia and North America, wealthy individuals are increasingly investing in wellness, advanced healthcare and long-term wealth preservation. As Dubai solidifies its position among global wealth hubs, analysts expect its progressive trajectory to continue. Julius Baer suggests that it may soon challenge top-tier cities like Singapore or London if growth in luxury sectors and affluent residency persists. Despite global economic headwinds—such as trade tensions, slowing consumption and geopolitical uncertainties—the emirate's ability to attract HNWIs has remained strong, positioning it as a dominant destination for global mobility and wealth settlement.
Gulf Business
4 days ago
- Business
- Gulf Business
Dubai seventh most expensive city globally for HNWIs, reveals report
Image: Getty Images/ For illustrative purposes Dubai has climbed significantly to rank as the seventh most expensive city globally for high-net-worth individuals (HNWIs) in Global Wealth and Lifestyle Report 2025 , marking a notable ascent from its 12th position in the previous year. This rise, the largest within the Europe, Middle East, and Africa (EMEA) region, occurred despite only a marginal 1 per cent increase in average local currency prices, according to the report published by Julius Baer. Global shifts in wealth and lifestyle The report, released at a juncture of slowing global consumption and rising geopolitical tensions, indicates a shift in priorities for HNWIs towards longevity, both physical and financial. Globally, the Julius Baer Lifestyle Index recorded an exceptional 2 per cent decline in prices in US dollar terms, with goods falling by 3.4 per cent and services modestly by 0.2 per cent. Christian Gattiker, head of Research at Julius Baer, commented, 'In light of ongoing uncertainty, trade tensions, and tariffs, our findings represent the final moment 'before' the current situation, and next year's Global Wealth and Lifestyle Report will likely provide a fascinating 'after' perspective.' The city ranking remains highly competitive. Singapore retained its position as the most expensive city for HNWIs globally, followed by London, which moved into second place, and Hong Kong in third. Regional dynamics: EMEA's strong showing Within EMEA, cities now account for more than half of the global top ten, with London leading the region, climbing to second place globally. Monaco and Zurich both moved up one position to fourth and fifth respectively. Dubai's five-place jump to seventh consolidates its position as a serious challenger among traditional wealth hubs. Milan and Frankfurt held their positions, while Paris fell slightly in the rankings. Johannesburg remained at the bottom despite some price increases. Price developments within EMEA have been moderate overall, with local currency prices remaining stable or even falling in cities such as Zurich. The region's most notable price increase came in Paris, where rising travel and hospitality costs led to a 5 per cent year-on-year rise. Private education costs in London also surged, driven by recent legislative changes. Dubai's ascent: A magnet for HNWIs The cost of living for wealthy residents in Dubai saw notable increases in specific 'big-ticket items.' Car prices rose by 13 per cent, and residential property values increased by 17 per cent. This aligns with Dubai's real estate market experiencing exceptional growth in 2024, with property sales values rising 27 per cent year-on-year. This surge reflects the city's increasing appeal as a long-term residence for HNWIs and their families, many of whom have already relocated to the emirate. The report highlights a continuing momentum of millionaires relocating to Dubai, a trend that began during the pandemic and is predicted to surpass inflows to all other countries. According to a Henley & Partners report, the number of millionaires living in Dubai has risen by 102 per cent over the last decade due to increased residency applications. Dubai's attractiveness is further strengthened by its favourable tax environment, high quality of life, and forward-thinking residency programmes, including the golden and entrepreneur visas. Its status as a leading global financial centre is also noted, with the Dubai International Financial Centre (DIFC) recording a 25 per cent increase in active companies operating there during 2024. Read: Middle East luxury and economic resilience Middle Eastern HNWIs continue to demonstrate a strong appetite for both experiential and material luxury, particularly in premium hotels, luxury menswear, and fine dining. Business and leisure travel in the region also surged, with 53 per cent and 47 per cent of respondents, respectively, reporting increased activity. Read: Rishabh Saksena, co-head Global Asset Class Specialists at Julius Baer, stated that GCC economies remain resilient amidst global macroeconomic uncertainty. 'While oil-related growth has moderated, the broader outlook for 2025 is positive, supported by robust non-oil performance, strong fiscal buffers, and a continued commitment to economic reform,' he said. In the UAE, non-oil economy growth remains strong, with Abu Dhabi's non-oil economy grew by 8.6 per cent in 2024, contributing over 55 per cent of GDP. Dubai continues to lead the region's services and tourism rebound, with visitor numbers projected to exceed 22 million in 2025. Dubai Airports, serving 92.3 million passengers in 2024, remains the world's busiest for international travel, with an extensive upgrade to the city's second airport underway. The rise of financial centres like DIFC and Abu Dhabi Global Market (ADGM) underscores the UAE's growing role as a regional hub for investment, private capital, and global finance. These centres are increasingly at the forefront of innovation, particularly in the fields of digital assets, fintech, and AI, serving as new building blocks for diversified, future-ready economies. The region is also experiencing a significant inflow of global talent and capital, recognising the GCC, particularly the UAE, as a safe and stable jurisdiction for families and wealth preservation, supported by long-term residency programs, advanced healthcare, high-quality education, and a pro-business environment. Overall, the report showed that the Middle East, led by the GCC, is set to maintain strong fiscal and current account positions, even amidst external headwinds. Inflation remains among the lowest in emerging markets, while the region's proactive approach to innovation, infrastructure, and investor confidence positions it as a key destination for growth in an increasingly fragmented global economy. Shifting priorities: Longevity and experiences The Julius Baer lifestyle survey findings reveal a near-universal focus on longevity among HNWIs, with 87 per cent (North America) to 100 per cent (APAC) actively taking steps to extend their lifespan. Financial longevity has also gained critical importance. Wealth creation remains the top priority globally, but wealth preservation has gained importance, especially in Europe and North America. In contrast, HNWIs in APAC, the Middle East, and Latin America continue to embrace higher risk levels and diversify portfolios, with real estate (18 per cent) and equities (13 per cent) being preferred asset classes in the Middle East. Overall, the report confirms an ongoing shift from material consumption towards experiences, with demand for fine dining, exclusive travel, and curated experiences remaining robust. This reflects a broader evolution in how HNWIs define luxury, focusing increasingly on lifestyle, wellbeing, and meaningful experiences over possessions.
