_Number of global Ultra High Net Worth Individuals grows by 9.3% in 2021, up from 2.4% in 2020

According to Knight Frank’s latest edition of The Wealth Report, the number of UHNWIs globally increased by 9.3% in 2021, with over 51,000 people seeing their net assets increase to US$30 million (S$40 million) or more. This was a considerable increase compared to 2020 which saw growth of only 2.4%.

Every world region saw an increase in the numbers of UHNWIs between 2020 and 2021 – Americas (+12.2%), Russia & CIS (+11.2%), Australasia (+9.8%), Middle East (+8.8%), Latin America (+7.6%), Europe (+7.4%) and Asia (+7.2%) – except for Africa, where the UHNW population declined by 0.8%.

Flora Harley, deputy editor of The Wealth Report at Knight Frank said: “Asset price rises, from property markets to equity markets and luxury collectibles, have all helped boost the fortunes of those wealthy enough to have investment portfolios. The top five gainers for UHNWIs, in absolute terms were the US, the Chinese mainland, France, the UK and Japan. Research from The Wealth Report reveals that, on average, just shy of two-thirds of UHNWI wealth is allocated to property. Just under a third of total wealth is held in principal and second homes, while the remainder is invested directly or indirectly into investment property.”

Over the next five years, Knight Frank forecasts that the global UHNW population will grow by a further 28%, with Asia and Australasia (+33%) seeing the largest growth, followed by North America (+28%) and Latin America (+26%).

Taking a ten-year view, 2016 to 2026, Knight Frank forecasts the global UHNWI population will more than double – from 348,355 to 783,671 and by 2026, Asia will surpass Europe as the second largest wealth hub. During that time, for example, it’s predicted that Singapore will have witnessed a 268% growth in its UHNWI population to almost 6,000, a growth rate second only to New Zealand. However, by region, 10-year growth is led by Australasia. The region’s UHNWI population, led by New Zealand, is expected to more than treble by 2026 (from 1,249 to 4,618).

Wealth Hubs 2016 - 2026
The countries and territories forecast to see the largest proportional increase in their UHNWI populations between 2016 – 2026

Wendy Tang, Group Managing Director of Knight Frank Singapore said, “Singapore’s strategic geographical location as the gateway to cities in Asia-pacific, as well as the availability of modern infrastructure, a stable pro-business environment and newly-minted rich from pandemic related growth industries and entrepreneurship, has led to a concentration of wealth and a growing ultra-rich population.”

Knight Frank’s wealth sizing model recorded an 8.6% increase in the number of UHNWI’s in Singapore to 4,206 in 2021, up from 3,874 in 2020. Evidently, the inflow of wealth into Singapore did not falter even as the country continues to press on in a slow fight against COVID-19; a 10.2% jump in the Singaporean UHNWI population was already recorded in 2020 from 2019.

As a case in point, the model also finds that there are now 28 billionaires in Singapore as of 2021, up from 25 in just one year, and about 76% of the Singapore respondents experienced an increase of more than 10% in their total wealth during 2021 based on the Attitudes Survey.

And this increase in affluence permeates all levels of Singapore society. According to the Singapore Department of Statistics, the median household income from work also grew in 2021. Median household income regained positive growth of 1.5% year-on-year (y-o-y) in 2021 after falling 2.4% y-o-y in 2020, as Singapore’s GDP growth coming in at 7.6% for the whole of 2021.

What’s next

For the first time, Knight Frank has examined the size of the ‘next generation’ of the world’s UHNWI population and assesses what that could mean for property markets. Globally, it is estimated that 129,557 UHNWIs are self-made and under the age of 40, around a fifth of the total population. North America, with 44,751, has the largest cohort, but Asia’s marginally lower figure (44,565) accounts for a higher proportion – 26% – of the region’s super-wealthy. Russia, however, boasts the highest relative number of next-gen wealth creators, with 45% (2,923) of its UHNWIs falling into the category.

Liam Bailey, Global Head of Research at Knight Frank said: “The growth in younger self-made UHNWIs (21% of the total) will drive new investment themes and innovation in the near-term. However, with 83% of our Attitude Survey respondents expecting wealth to rise in 2022, and our expectation of a further 28% growth in global UHNWIs by 2026, policy responses to tackle inequality are on the rise. Expect more wealth taxation, focussed on assets rather than income, and a narrowing in the number of low-tax-jurisdictions.”

Leonard Tay, Head of Research at Knight Frank Singapore added, “Within the Singapore landed property market, good class bungalows (GCBs)¹ are highly regarded and so elusive that they are usually beyond reach of even the island’s typical affluent. Last year, there were three prominent transactions completed by the younger generation of super-wealthy that made their money in not-so-traditional areas. They include TikTok CEO Chew Shou Zi who purchased 11 Queen Astrid Park (S$86 million), crypto-billionaire Zhu Su who bought his GCB at Yarwood Avenue ($48.8 million) and Secretlab CEO Ian Ang who bought his GCB at Caldecott Hill Estate ($36 million).”

To read the full Wealth Report 2022, visit: http://www.knightfrank.com/wealthreport


For further information, please contact:

Mr Leonard Tay, Head of Research, Knight Frank Singapore
(E) leonard.tay@sg.knightfrank.com (D) +65 6228 6854

Mr Hector Tan, Head of Marketing & Communications, Knight Frank Singapore
(E) hector.tan@sg.knightfrank.com (D) +65 6228 7358

Ms Jane Sng, Assistant Manager, Marketing & Communications, Knight Frank Singapore
(E) jane.sng@sg.knightfrank.com (D) +65 6228 6827

Knight Frank has a strong presence in Singapore with a head office and two subsidiaries: Knight Frank Property Asset Management and KF Property Network. For further information about Knight Frank Singapore, please visit www.knightfrank.com.sg.
Knight Frank LLP is the leading independent global property consultancy. Headquartered in London, Knight Frank has more than 16,000 people operating from 384 offices across 51 territories. The Group advises clients ranging from individual owners and buyers to major developers, investors and corporate tenants.

¹ Good Class Bungalows (GCB) include bungalow developments larger than or equal to 1,400 sm located within Good Class Bungalow Areas (GCBA), or are designated GCBs by the authorities. There are only about 2,500 such homes on the island.