Latest news with #UBSGlobalWealthReport2025
Al Etihad
6 hours ago
- Business
- Al Etihad
Growth in UAE household wealth likely to continue despite regional conflict: UBS Chief Economist
19 June 2025 00:25 KHALED AL KHAWALDEH (ABU DHABI) The outlook for household wealth in the UAE remains positive despite ongoing regional tensions, according to Paul Donovan, Chief Economist at UBS Global Wealth Management. Speaking at the release of the UBS Global Wealth Report 2025, Donovan underscored that the impact of the regional conflict on the UAE's wealth trajectory is expected to be limited. "The conflict is obviously a human tragedy. We are seeing a great deal of suffering as it unfolds," Donovan told Aletihad on Wednesday. "However, it is primarily a localised conflict, and at a global level, the economic and financial market implications to date have been very muted. I think that is likely to continue."Donovan emphasised that while geopolitical tensions can cause short-term volatility in asset prices, they are unlikely to derail the UAE's medium-term wealth creation, which, according to UBS data, has been substantial in the last decade. "I would not be expecting a great deal of disruption to the local economies in the UAE if we see an extended period of conflict," he noted. "There may be some implications for, say, the tourism industry, but it's unlikely to lead to a dramatic shift in terms of the medium-term direction of the economy and the wealth creation that is going on there."One factor Donovan pointed out is the limited movement in oil prices despite the conflict. He said the sector had proven to be resilient and believed the UAE would continue to benefit economically under the current trajectory of the conflict. "The movement in the oil price has been a positive movement, but a fairly limited movement," he said. "We're not seeing significant disruption at the moment. The expectation is that there will not be any threats over the Straits of Hormuz. In that situation, again, I don't see this as having a significant medium-term impact," he UBS Global Wealth Report 2025, released on Wednesday, highlights strong underlying fundamentals in the UAE's wealth landscape. According to the report, the UAE has seen significant growth in median household wealth since 2020, with median wealth per adult rising by more than 23% after adjusting for inflation. However, average wealth per adult grew more modestly at just 2.35% over the same period, suggesting a more polarised distribution of wealth gains compared to neighbouring Saudi Arabia and other economies. The report shows that about 62% of the UAE's gross wealth is held in financial assets, while non-financial assets such as property account for roughly 48%. Debt levels remain modest, at around 9% of gross number of dollar millionaires in the UAE also continued to rise in 2024, reaching over 240,000 individuals. The country added 13,000 in the last year, the second largest rate of growth, just behind Türkiye. Globally, the report found that household wealth rose again in 2024, following a buoyant 2023, although growth was uneven across regions. North America and China remain dominant, jointly accounting for over half of the total personal wealth in the UBS study's 56-country sample. The report also noted the rise of the so-called EMILLIs, everyday millionaires with between $1 million and $5 million in assets, a group that has quadrupled globally since 2000, largely on the back of inflated real estate values. Looking ahead, UBS expects the global millionaire population to increase by nearly 9% by 2029, adding over five million new millionaires. The UAE is poised to contribute to this growth, fuelled by its economic diversification efforts and prudent wealth management practices.
Time of India
9 hours ago
- Business
- Time of India
Every 30th adult now a millionare: UAE adds 13,000 dollar millionaires in 2024
In 2024, the UAE gained 13,000 millionaires, bringing the total to 240,000 with $785 billion in wealth/ Image: X The United Arab Emirates continued its meteoric rise on the global wealth map in 2024, adding approximately 13,000 new millionaires, according to the UBS Global Wealth Report 2025 , released Wednesday. This fresh wave of high-net-worth individuals (HNWIs) pushed the UAE's millionaire count to a striking 240,343, marking a 5.8% year-on-year increase. This growth makes the UAE the second-fastest-growing millionaire market, trailing only Türkiye, which experienced an 8.4% rise. A good number of these newly created millionaire base in the UAE came about from re-locations, as has been the case for four years now. Aaccording to the Swiss bank: 'In 2024, Turkey stands out from the crowd thanks to an 8.4% increase in its number of dollar millionaires over 2023, equivalent to a boost of roughly 7,000 people in a single year. The UAE (had) a rise of 5.8% in millionaire numbers, thanks to approximately 13,000 new entrants in this category.' To put it in human terms: According to Worldometers data, the UAE's population grew by 385,048 last year. While the total population is estimated at around 11 million, adults in their prime working years (25-54) number a substantial 7.28 million. With such a high concentration of wealth, effectively about one in every 30 adults or economically active individuals in the UAE is a millionaire. Where the Wealth Lives: UAE's $785 Billion in Private Hands The country's HNWIs now collectively control about $785 billion (Dh2.88 trillion) in wealth. Meanwhile, the average wealth per adult in the UAE currently stands at $147,663. According to the report: 62% of this wealth is held in financial assets, from equities and bonds to private investments. The remaining 48% resides in non-financial assets, primarily real estate and land, long considered pillars of wealth preservation in the Gulf. This concentration of wealth is clearly reflected in the UAE's property and investment markets. According to Knight Frank, a notable influx of high-net-worth individuals from Saudi Arabia, India, China, and the UK is driving larger, multi-million dollar deals, particularly in premium locations such as Jumeira Bay Island. Paul Donovan, Chief Economist at UBS Global Wealth Management, in a statement highlighted the broader implications of this capital accumulation: 'Wealth is not just an economic measure – it's a social and political force. As we navigate the fourth industrial revolution and rising public debt, the way wealth is distributed and transferred will shape opportunity, policy, and progress.' Generational Shifts: $19 Billion in Wealth Transfers Expected One particularly notable trend in the UAE is the coming wave of wealth transfers. UBS estimates that the country will see $19 billion (Dh70 billion) in intra- and inter-generational transfers. That figure represents 1.4% of the UAE's total private wealth. This includes wealth moving between: Spouses, such as from a widow or widower to their partner. Generations, especially from older family members to children or grandchildren. Globally, the report expects over $83 trillion to change hands in the next two to three decades, most significantly in the: United States: over $29 trillion Brazil: nearly $9 trillion Mainland China: more than $5 trillion Wealth Rankings: Where the UAE Stands Globally and Regionally Regionally, the UAE ranks second in the Middle East for millionaire population: Saudi Arabia: ~340,000 millionaires UAE: 240,343 Israel: 186,000 Globally, Switzerland maintained its position as the wealthiest nation by average adult wealth: Switzerland: $687,166 United States: $620,654 Hong Kong: $601,195 Luxembourg: $566,735 Australia: $516,640 By contrast, while the UAE's average per adult ($147,663) trails these top-tier economies, its pace of wealth creation—and wealth attraction, signals an upward trajectory. Inflow of Wealth: Why Millionaires Are Moving to the UAE Not all of the 13,000 new millionaires in the UAE were homegrown. According to Knight Frank , citing Henley & Partners data, the UAE attracted 7,200 millionaires from abroad in 2024, a 53% increase from the previous year. This surge in financial migration brings the total number of resident HNWIs to 130,500, as reported earlier. Industry experts suggest that favorable tax policies, political stability, and high-end infrastructure continue to make the UAE a magnet for mobile global wealth. A Global Picture: Wealth Growth Tilted to the Americas While the UAE experienced notable domestic gains, the global wealth landscape also saw overall expansion: Global private wealth rose by 4.6% in 2024, up from 4.2% in 2023. Most of the increase came from North America, where stable currencies and strong financial markets drove momentum. The Americas led with more than 11% of global wealth growth. In contrast, the Asia-Pacific and EMEA (Europe, Middle East, Africa) regions saw sluggish growth: below 3% and 0.5%, respectively.
Time of India
11 hours ago
- Business
- Time of India
Over 379,000 in US became dollar millionaires last year, equivalent to more than 1,000 every day
Over 379,000 people in the United States became dollar millionaires last year, equivalent to more than 1,000 every day, according to a 2025 Global Wealth Report from UBS. Wealth grew disproportionately in the US last year with the country accounting for almost 40% of global millionaires in 2024. Private individuals' net worth rose 4.6% worldwide, and by over 11% in the Americas, driven by a stable U.S. dollar and upbeat financial markets, the report found. What does the USB report found? The UBS Global Wealth Report 2025 shows that global wealth grew by 4.6 per cent in 2024, after a 4.2 per cent increase in 2023, continuing a consistent upward trend. The Americas overall accounted for the majority of the increase, with more than 11 per cent, driven by a stable dollar and buoyant financial markets, the report reveals. Asia-Pacific (APAC) and Europe, the Middle East and Africa (EMEA) were lagging behind, with growth rates of below 3 per cent and less than 0.5 per cent respectively. This is in marked contrast to 2023 when the rebound in wealth was led most strongly by growth in EMEA. ALSO READ: Kristi Noem's hospitalisation linked to her visit with RFK Jr to a controversial biohazard lab for Ebola, SARS-CoV-2? Live Events The US and mainland China also jointly account for more than half of the entire personal wealth in the sample. A significant gap in wealth per adult persists between North America and Oceania on the one hand, and the world's other sub-regions on the other, the report reveals. The number of millionaires worldwide, measured in U.S. dollars, increased by 1.2% in 2024—adding over 684,000 people compared to the previous year. The United States alone contributed more than 379,000 new millionaires, averaging over 1,000 a day. According to the report, the U.S., mainland China, and France recorded the highest numbers of millionaires, with the U.S. making up nearly 40% of the global total. This year's report also shines a spotlight on a rapidly growing yet often overlooked group: the Everyday Millionaires , or 'EMILLIs'—individuals with investable assets ranging from $1 million to $5 million. Since 2000, the number of EMILLIs has more than quadrupled, reaching approximately 52 million worldwide by the end of last year. ALSO READ: A list of 'safest' countries to seek shelter as World War III fear looms Collectively, this segment now holds about $107 trillion in wealth—nearing the $119 trillion owned by individuals with over $5 million in assets. The expansion of this group has been largely fueled by rising property values and favorable exchange rate shifts. Despite regional variations, the steady global growth of the Everyday Millionaire population remains a clear trend. The report also highlights differences in wealth distribution among generations in US Millennials (born after 1981) which have the highest proportion of their assets in consumer durables and real estate, and invest more heavily in private businesses. Baby Boomers (born between 1946 and 1964) hold over $83 trillion in net wealth, surpassing Generation X (born between 1965 and 1980), the Silent Generation (born before 1945), and Millennials.
