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Business Insider
20-07-2025
- Business
- Business Insider
Here are the 10 most expensive cities for the ultra-rich in 2025 — and the quiet power shift shaping the next luxury capitals
For the third year running, Singapore ranked as the world's most expensive city for high-net-worth individuals, according to the latest Global Wealth and Lifestyle Report from Julius Baer Group, a Swiss wealth management group. London moved into second place, nudging Hong Kong into third — but behind these familiar frontrunners, a quiet transformation could soon redraw the global map for the super wealthy The 2025 edition of the report, published on Monday, tracked the cost of what it called "living well" — meaning the ability to afford and regularly spend on 20 luxury goods and services that high-net-worth individuals typically enjoy. These include private school fees, luxury property, watches, fancy dinners, and business class flights. Pricing data was collected across 25 cities between November 2024 and March 2025, and each city was ranked based on the weighted-average total cost of all 20 items, converted into US dollars. To complement the price index, Julius Baer also conducted a separate Lifestyle Survey, polling 360 high-net-worth individuals across 15 countries in February and March 2025 to understand how the wealthy are spending and investing. While the methodology is robust, it does not account for geopolitical shifts that followed, including the Trump administration's April tariff announcements, and its relatively small sample size may limit broad conclusions. Still, the findings point to a clear shift in momentum: while the podium remains stable, several key cities — especially in Asia and the Middle East — are climbing fast, suggesting a broader power shift in global luxury hubs. The top 10 most expensive cities for the wealthy in 2025 Singapore. London. Hong Kong. Monaco. Zurich. Shanghai. Dubai. New York. Paris. Milan. The quiet rise of new luxury capitals Several emerging cities climbed the rankings at an unexpected pace, especially in Asia and the Middle East. Dubai jumped five spots to 7th place, edging closer to European strongholds like Monaco and Zurich. Bangkok and Tokyo both rose six positions, landing at 11th and 17th, respectively, driven by rising costs of fashion, watches, and property. Bangkok's "growing upper-middle class has had a direct impact on the expansion of the local luxury market," Rishabh Saksena, cohead of Julius Baer's global asset class specialists, told Business Insider. "Increased wealth has mechanically driven demand for luxury goods and services, allowing the development of luxury malls, fine dining, and experiences such as spas," he said. "Additionally, the city benefits from Asia's long-standing appeal as a global tourism destination." Tokyo's rise reflects a similar trend. " Tokyo, and Japan more broadly, has long been a culturally rich and influential region, with a strong luxury market, especially in areas such as fashion, fine dining, and experiences," Saksena added. "The recent global shift among HNWIs toward valuing experiences over goods has further enhanced Tokyo's attractivity and appeal." Meanwhile, Shanghai, which topped the index in 2022, fell from 4th to 6th place — a sign that its dominance may be fading So Paulo and Mexico City also dropped notably in the rankings. "Dubai is nipping at the heels of the bastion cities in the region for wealth and lifestyle — London, Monaco, and Zurich — in a trend that is likely to continue as the Emirate ups the ante on offering an attractive residence proposition for HNWIs," the report said. Behind the movements is a growing desire among the ultrawealthy for stability, wellness, and future-focused cities. The report also notes that Dubai's appeal lies in tax advantages, luxury infrastructure, and a booming property market, while Bangkok and Tokyo benefit from regional economic momentum and cultural cachet. What's driving the change? The global average cost of "living well" actually declined 2% in US dollar terms between 2024 and 2025 — a rare drop in a sector typically shielded from macroeconomic headwinds. Yet, beneath that decline are sharp regional contrasts: Business class air fares jumped 18.2% globally, driven by a shortage of jets and booming demand for premium pleasure travel. Luxury goods like handbags and jewellery fell in price, reflecting shifting consumer priorities. Private school fees soared in cities like London, where new tax rules drove up costs by over 25%. More broadly, high-net-worth individuals increasingly prioritize experiences over possessions and longevity over status. These include spending more on wellness, curated travel, and health services, especially in Asia-Pacific and the Middle East. "The main shift we've seen recently is the growing move toward aspirational consumption among HNWIs, who increasingly value experiences over physical goods," Mark Matthews, Head of Research Asia at Julius Baer, told BI. "This trend varies from one location to another. Markets with a long cultural history of luxury goods (e.g., Switzerland with watches or Germany with cars) tend to show a slower transition toward 'experience-based' spending," he added. Data from the Lifestyle Survey backs this up. While luxury spending growth has cooled in Europe — where only 36% of high-net-worth individuals reported spending more on hotels — HNWIs in Asia-Pacific, the Middle East, and Latin America continue to ramp up their spending on high-end fashion, jewellery, and watches. In APAC, 65% reported increasing spending on both hotels and watches, and 63% on women's fashion. In the Middle East, 52% spent more on hotels and 50% on fine jewellery. Across the board, travel and hospitality remain top spending priorities, with fine dining and five-star hotels leading the way. A Eurasian future? The report also hints at a broader geopolitical rebalancing in how — and where — the world's wealthy choose to live. "There is already talk of many wealthy Americans decamping to Europe for the next four years — and possibly forever," Julius Baer's report said, citing affluent individuals looking for political stability and strong institutions. Cities like London, despite Brexit and political change, remain magnets for global wealth thanks to world-class education, healthcare, and cultural capital.
Business Insider
20-07-2025
- Business
- Business Insider
Here are the 10 most expensive cities for the ultra-rich in 2025 — and the quiet power shift shaping the next luxury capitals
Singapore, London, and Hong Kong still top the charts as the world's most expensive cities — but upstarts like Dubai, Bangkok, and Tokyo are rising fast as global wealth patterns shift. For the third year running, Singapore ranked as the world's most expensive city for high-net-worth individuals, according to the latest Global Wealth and Lifestyle Report from Julius Baer Group, a Swiss wealth management group. London moved into second place, nudging Hong Kong into third — but behind these familiar frontrunners, a quiet transformation could soon redraw the global map for the super wealthy The 2025 edition of the report, published on Monday, tracked the cost of what it called "living well" — meaning the ability to afford and regularly spend on 20 luxury goods and services that high-net-worth individuals typically enjoy. These include private school fees, luxury property, watches, fancy dinners, and business class flights. Pricing data was collected across 25 cities between November 2024 and March 2025, and each city was ranked based on the weighted-average total cost of all 20 items, converted into US dollars. To complement the price index, Julius Baer also conducted a separate Lifestyle Survey, polling 360 high-net-worth individuals across 15 countries in February and March 2025 to understand how the wealthy are spending and investing. While the methodology is robust, it does not account for geopolitical shifts that followed, including the Trump administration's April tariff announcements, and its relatively small sample size may limit broad conclusions. Still, the findings point to a clear shift in momentum: while the podium remains stable, several key cities — especially in Asia and the Middle East — are climbing fast, suggesting a broader power shift in global luxury hubs. The top 10 most expensive cities for the wealthy in 2025 Singapore. London. Hong Kong. Monaco. Zurich. Shanghai. Dubai. New York. Paris. Milan. The quiet rise of new luxury capitals Several emerging cities climbed the rankings at an unexpected pace, especially in Asia and the Middle East. Dubai jumped five spots to 7th place, edging closer to European strongholds like Monaco and Zurich. Bangkok and Tokyo both rose six positions, landing at 11th and 17th, respectively, driven by rising costs of fashion, watches, and property. Bangkok's "growing upper-middle class has had a direct impact on the expansion of the local luxury market," Rishabh Saksena, cohead of Julius Baer's global asset class specialists, told Business Insider. "Increased wealth has mechanically driven demand for luxury goods and services, allowing the development of luxury malls, fine dining, and experiences such as spas," he said. "Additionally, the city benefits from Asia's long-standing appeal as a global tourism destination." Tokyo's rise reflects a similar trend. " Tokyo, and Japan more broadly, has long been a culturally rich and influential region, with a strong luxury market, especially in areas such as fashion, fine dining, and experiences," Saksena added. "The recent global shift among HNWIs toward valuing experiences over goods has further enhanced Tokyo's attractivity and appeal." Meanwhile, Shanghai, which topped the index in 2022, fell from 4th to 6th place — a sign that its dominance may be fading São Paulo and Mexico City also dropped notably in the rankings. "Dubai is nipping at the heels of the bastion cities in the region for wealth and lifestyle — London, Monaco, and Zurich — in a trend that is likely to continue as the Emirate ups the ante on offering an attractive residence proposition for HNWIs," the report said. Behind the movements is a growing desire among the ultrawealthy for stability, wellness, and future-focused cities. The report also notes that Dubai's appeal lies in tax advantages, luxury infrastructure, and a booming property market, while Bangkok and Tokyo benefit from regional economic momentum and cultural cachet. What's driving the change? The global average cost of "living well" actually declined 2% in US dollar terms between 2024 and 2025 — a rare drop in a sector typically shielded from macroeconomic headwinds. Yet, beneath that decline are sharp regional contrasts: Business class air fares jumped 18.2% globally, driven by a shortage of jets and booming demand for premium pleasure travel. Luxury goods like handbags and jewellery fell in price, reflecting shifting consumer priorities. Private school fees soared in cities like London, where new tax rules drove up costs by over 25%. More broadly, high-net-worth individuals increasingly prioritize experiences over possessions and longevity over status. These include spending more on wellness, curated travel, and health services, especially in Asia-Pacific and the Middle East. "The main shift we've seen recently is the growing move toward aspirational consumption among HNWIs, who increasingly value experiences over physical goods," Mark Matthews, Head of Research Asia at Julius Baer, told BI. "This trend varies from one location to another. Markets with a long cultural history of luxury goods (e.g., Switzerland with watches or Germany with cars) tend to show a slower transition toward 'experience-based' spending," he added. Data from the Lifestyle Survey backs this up. While luxury spending growth has cooled in Europe — where only 36% of high-net-worth individuals reported spending more on hotels — HNWIs in Asia-Pacific, the Middle East, and Latin America continue to ramp up their spending on high-end fashion, jewellery, and watches. In APAC, 65% reported increasing spending on both hotels and watches, and 63% on women's fashion. In the Middle East, 52% spent more on hotels and 50% on fine jewellery. Across the board, travel and hospitality remain top spending priorities, with fine dining and five-star hotels leading the way. A Eurasian future? The report also hints at a broader geopolitical rebalancing in how — and where — the world's wealthy choose to live. "There is already talk of many wealthy Americans decamping to Europe for the next four years — and possibly forever," Julius Baer's report said, citing affluent individuals looking for political stability and strong institutions. Cities like London, despite Brexit and political change, remain magnets for global wealth thanks to world-class education, healthcare, and cultural capital. Meanwhile, Dubai plans to double the size of its economy by 2033 and is quickly becoming a rival to Europe's traditional elite enclaves.
Time Out
17-07-2025
- Business
- Time Out
Revealed: Asia's most expensive cities to 'live well' in 2025
If you like living the high life but want to stretch your dollar, then this new list is a good guide for where not to go. According to the Julius Baer Group's Global Wealth & Lifestyle Report 2025, three cities in Asia have made it to a list of the top most expensive cities for 'living well'. The Julius Baer Lifestyle Index tracks the cost of living a high-net-worth lifestyle in 25 cities around the world. Some things it takes into consideration: residential property prices, private healthcare costs, business class flights, luxury goods, and even the cost of an MBA. This year, a survey of high-net-worth individuals adds insight into their habits and perspectives. So, the most expensive cities in Asia for high-fliers? Singapore, Hong Kong, and Shanghai. Singapore gets the (dubious) honour of being No. 1 on the list, and for the third year running too. It ranks first globally for the cost of cars (no thanks to the Certificate of Entitlement that must be purchased to own a car in Singapore) and women's handbags. So maybe get your Louis Vuitton goods somewhere else. Treadmills, on the other hand, are the most affordable index item to get in the country – all the better to work off those degustation dinners. Hong Kong is the third-most expensive city in the world for living well. It slipped one place compared to its ranking last year, losing its second-place spot to London. This is not a place where you want to get in trouble – lawyers are the city's costliest index item. But we guess you can drink your sorrows with endless bottles of champagne, its cheapest index item. Nevertheless, Hong Kong remains attractive to the wealthy thanks to its welcoming tax and investment environment, as well as its proximity to China. Finally, Shanghai, which slipped from No. 4 to No. 6 this year. According to the report, Shanghai's fall in the ranking could be due to cultural reasons – displays of wealth are increasingly frowned upon in China. Perhaps it's a good idea to keep it modest after all: individuals can expect to pay a hefty sum for fine dining meals, the priciest globally, and watches, which have seen a more than 11% increase in price over the last year. These are the top 10 most expensive cities for living well: Singapore London Hong Kong Monaco Zurich Shanghai Dubai New York Paris Milan
Business Times
17-07-2025
- Business
- Business Times
Julius Baer seeks to cut bonuses of bankers with risky books: sources
[ZURICH] Julius Baer Group plans to reduce the bonuses of relationship managers who generate revenue from high-risk business, as the bank seeks to introduce a new pay culture, according to people familiar with the matter. The amount that advisers will see their pay docked varies depending on factors such as the type of transaction and the type of market involved, the people said, asking not to be named discussing remuneration. The change is pending regulatory approval, one of the people said. The move comes as the bank's new chief executive officer Stefan Bollinger and chairman Noel Quinn seek to reset the Swiss bank and put it on a path for growth after a string of missteps, including running up a US$700 million exposure to Rene Benko's real estate empire. At an investor event in London last month, Bollinger said the bank was reviewing the compensation model with the aim to better align relationship managers' incentives with the interests of the bank and its shareholders. 'We want to incentivise the RMs to focus predominantly on long-term sustainable growth and therefore we will be very focused on the quality of net new money,' he said. A Julius Baer spokesperson said the changes, which are pending board approval, would 'preserve the essence of our framework, as we pay for performance and want to attract the best talent.' Wealth managers have different compensation models but often incentivise bankers through bonus payments that are tied to new assets they bring in. In June, Baer unveiled fresh targets and reintroduced a goal for net new money, which Bollinger stressed was underpinned by strengthened risk management. 'Risk management is my DNA, and I will be laser-focused on this,' Bollinger said. In its interim earnings update in May, the bank announced that Ivan Ivanic was taking over as chief risk officer from Oliver Bartholet, who was retiring. It also said the executive board would be strengthened by a new compliance officer role, to be announced in due course. BLOOMBERG
India.com
16-07-2025
- Business
- India.com
Which is world's most expensive city? It is not Hong Kong, Dubai, London, New York, Paris, Milan; Bengaluru name is..., Mumbai also is in top 20
The Zurich-based Julius Baer Group published its most current rankings recently, stating that Singapore is the world's priciest city now. According to the Julius Baer Global Wealth & Lifestyle Report 2025, London has secured the second position in the top 10 global cities for living well. In India, Mumbai ranks 20th overall, making it the most expensive city in the country. Interestingly, Mumbai held the same position last year as well. Which is world's most expensive city? As per the Julius Baer Global Wealth and Lifestyle Report 2025, Singapore is the most expensive city to enjoy a luxurious lifestyle. The report evaluates the cost of living for High-Net-Worth individuals (HNWI) from 25 cities around the world. 'The Julius Baer Lifestyle Index analyses the cost of a basket of goods and services representative of 'living well' in 25 cities around the world,' reads the statement on the official website. The Julius Baer Lifestyle Index survey is based on the living costs and luxury expenditure in 25 cities around the world. It considers living costs, which include housing, cars, business class flights, schooling, dining out, and anything else that can be labeled as 'premium lifestyle'. Of the top 20, eight of those cities are located in Asia, which include Singapore, Hong Kong (3rd), Shanghai (6th), Bangkok, Tokyo, Jakarta, Mumbai, and Manila. Although both Hong Kong and Shanghai dropped in the rankings this year, with Hong Kong dropping from 2nd last year and Shanghai dropped from 4th. The report states that people in Mumbai spend the most on air travel (42%) and dining in restaurants (44%), while only 12% of spend was on hotel stays and 9% was on luxury items. Approximately 13% of people in Asia travel in business class, while 9% usually spend money on watches and 8% on cycling. The report also emphasizes that the Asia-Pacific region is known as one of the fastest-growing places on the planet. Asia's projected figure of 47.5% of the world's new High-Net-Worth Individuals (HNWIs) between 2025 and 2028 are driven by the increased growth from China and India.
