Global wealth up 27 per cent since fi­nan­cial cri­sis: Study

Oman Daily Observer - - FRONT PAGE -

ZURICH: Global wealth has grown by more than a quar­ter in the decade since the fi­nan­cial cri­sis, but the spread is far from even, a study pub­lished on Tues­day showed.

In its An­nual Global Wealth Re­port, the re­search arm of Swiss bank­ing gi­ant Credit Suisse found that global wealth had ex­panded 27 per cent in the past 10 years.

And be­tween mid-2016 and mid-2017, global wealth grew by 6.4 per cent — its fastest pace in five years — al­low­ing the mean wealth per adult to reach a record high, the study showed.

It pointed to “wide­spread gains in eq­uity mar­kets”, at the same time as non-fi­nan­cial as­sets like realestate for the first time passed the level they were at when the global fi­nan­cial cri­sis struck in 2007.

“A decade since the start of the global fi­nan­cial cri­sis, we see a sig­nif­i­cant in­crease in wealth across all re­gions of the world,” Credit Suisse chair­man Urs Rohner said in a state­ment.

But while wealth grew world­wide, some ob­vi­ously ben­e­fit­ted more than oth­ers.

Today, less than 10 per cent of the global pop­u­la­tion owns 86 per cent of the global wealth.

And since year 2000, the num­ber of mil­lion­aires glob­ally has in­creased 170 per cent, while the num­ber of peo­ple with more than $30 mil­lion to their name has bal­looned five-fold to around 45,000 showed.

At the same time, the Credit Suisse re­port de­tailed how so­called Mil­len­ni­als are fac­ing far more ad­verse mar­ket con­di­tions than pre­vi­ous gen­er­a­tions, which will “most likely limit their wealth ac­quir­ing prospects.”

They have been hit with di­rect losses from the global fi­nan­cial cri­sis, but also “faced first-hand the sub­se­quent un­em­ploy­ment, in­creased in­come in­equal­ity, as well as higher prop­erty prices, tighter mort­gage rules, and in some coun­tries, a con­sid­er­able rise in stu­dent debt,” the study said.

“They are also set to ex­pe­ri­ence less ac­cess to pen­sions than their pre­de­ces­sors.” Ge­o­graph­i­cally, the United States raked in most of the global wealth gains.

US house­holds alone added around $8.5 tril­lion to their com­bined cof­fers, half of the to­tal world gain over the past 12 months, the study showed.

By com­par­i­son, con­trib­uted $1.7 tril­lion global wealth gain.

Switzerland mean­while re­mained the coun­try with the high­est av­er­age wealth per adult, with that num­ber soar­ing 130 per cent since the turn of the cen­tury to $537,600, the study showed.

Nor­way, Den­mark, Bel­gium, Bri­tain and France, also fig­ure among the top coun­tries in terms of wealth per adult. world­wide, the study China to the

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