More than 2.7 million multimillionaires spanned the globe in 2019 – a 10-percent increase from the previous year – raising the cumulative wealth of those with a net worth of $5 million to $30 million to $26.6 trillion, according to a report released Wednesday.
The United States' “very high net worth" population, or those who are worth $5 million to $30 million, increased by 16 percent in 2019, rising "faster than any country in the top 10," according to Wealth-X’s Very High Net Worth Handbook. The U.S. group makes up an “equivalent to a global share of almost 40 [percent].”
China and Japan's wealth markets were ranked second and third, respectively.
"The diverse regional performances were a symptom of the elevated uncertainty that afflicted markets throughout 2019, amid threats of trade tariffs; the possibility of 'no-deal' Brexit; impeachment of the US president, Donald Trump; an escalation in Middle East tensions; ad a possible global recession," the Wealth-X report states.
The U.S. boasted a very high net worth population of 1.05 million people in 2019, according to the report, which ranked six of the country’s cities in the world’s top 10 in terms of very high net worth population, according to the report.
New York topped the list with 110,170 multimillionaires, an increase of 16.9 percent from the previous year. Los Angeles ranked fourth, behind Tokyo and Hong Kong, with a very high net worth population of 63,535 people. After London and Paris, Chicago, San Francisco, Washington, D.C. and Dallas filled the 7th through 10th spots.
While the U.S. maintained its standing as the world's "largest wealth market" in 2019, the country ranked fifth in terms of the year's "major wealth drivers," behind Africa, Asia, Europe and the Middle East, Wealth-X data shows.
Approximately 85 percent of the world’s very high net worth population were self-made multimillionaires, with the remaining 15 percent consisting of those whose net worth was built in part, or completely, from inherited money.
According to Wealth-X data, 32.1 percent of women's net worths were either wholly or partially inherited, while the same is said for 12.4 percent of their male counterparts.
The primary focuses of approximately 20 percent of very high net worth women are social organizations and nonprofits, while only 6 percent of men are as invested in those areas.
Ninety percent of the world’s millionaires are actually those with a net worth $1 million to $5 million, and who therefore do not even fall under the very high net worth category.
On the other hand, the combined net worth of the “Ultra High Net Worth” population – or those worth $30 million or more – accounts for 34.6 percent of global wealth – despite representing just 1.2 percent of the “global millionaire population.”