It’s raining cash as return of boom-time fat cats adds to injection of new blood
TEN years on from the crash and wealth is once again plentiful among Ireland’s rich and successful elite. While the past decade has mercilessly reshuffled the pecking order of the super rich — the richest man in Ireland was Sean Quinn in 2008 — many of the big names have held on to their fortunes and are once again building their empires with investments in property and stocks, and even taking punts on high potential start-ups.
And, of course, they are also investing in trinkets to reflect their success, such as private jets, palatial homes, luxury cars and statement yachts.
The Trump factor and Brexit were the two unknowns for the Irish super rich last year. But neither dented confidence in 2017, meaning that most of Ireland’s richest people are starting 2018 on a high note. In general, balanced portfolios were up about 7-8pc in 2017, despite currency fluctuations. Credit Suisse’s Global Wealth Report reckons that Irish individual wealth rose by 7.8pc last year, thanks to the upward march of property prices and the strong performance of investments. While many Rich List regulars have enjoyed a good year, there were several new names joining the ranks of Ireland’s wealthiest. In total, there are nine new entrants, with Conor McGregor beaten by entrepreneur Tommy Kelly of eShopworld for the title of highest new entry. Kelly, from north county Dublin, is finding great success with his business which makes it simple for companies to sell goods online across the world, and we value his wealth at €150m. McGregor comes in at €140m, which has been a massive rise in wealth in a short space of time. And he is still under 30. While tech has been the source of wealth for many newcomers in recent years, food and beverages have been lucrative for two new entrants — Declan Gallagher from Donegal sold a stake in his gluten-free business to a UK private equity last year, valuing his business at €100m. And Dubliner Bryan Meehan sold a majority stake in his upmarket coffee business Blue Bottle for €400m.
Among those to have crystallised their wealth last year were Cork couple Dan and Linda Kiely, whose incredible success story saw them turn an outsourcing services business into a key provider for some of the world’s biggest tech companies. Their business, Voxpro, was bought by Canadian company Telus International, which confirmed to the
Sunday Independent that it will pay up to CA$152m (€101m) in total for the company. This includes €40m paid upfront last year, a spokeswoman said.
Dan Kiely is one of the multi-millionaires who gives us an insight into what makes him tick in this year’s Rich List. He and Dr Michael Smurfit are among those who have spoken to us to share their inspiration, their habits and some secrets of their considerable success.
However, it’s not all plain sailing for the super rich as US wealth therapist Clay Clayton explains (see pages 20-21).
This year we have re-evaluated the wealth and entry requirements for the Rich List using a range of metrics to estimate the worth of all entries. We have 250 entries, with a minimum of over €45m required to make it on to the list.
The estimates of wealth are based on stock market filings, documents in the Companies Registration Office, annual reports and information disclosed in interviews. We have also spoken with sources in the worlds of business, sport and entertainment, and, in some cases, the individuals or their representatives have spoken to the Rich List team directly. We have also consulted with Irish international wealth indices and wealth managers who advise some of the country’s most affluent clients.
While 2017 and the start of this year have been good to the wealthy after a lost decade which ruined some people and delivered mixed fortunes for many others, some uncertainties lie ahead. The biggest of these may be the expectation among many stock market observers that a ‘correction’ or fall in prices is inevitable. However, many advisers believe that 2018 will be another bumper year for those with plenty of money.