Global population of high net worth individuals and their wealth hit new highs

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While North America continues to rank first overall for HNWI wealth at US$16.2 trillion vs. Asia-Pacific’s US$15.8 trillion and Europe’s US$13.0 trillion, Asia-Pacific’s wealth growth (11% vs. North America’s 9% and Europe’s 4.6%) is expected to continue. In fact, Asia-Pacific is expected to take top spot for HNWI wealth before the end of 2015.   Asia-Pacific also expanded its HNWI population at the fastest rate globally (9%), pushing it past North America as the region with the most HNWIs at 4.69 million. North America’s HNWIs grew to 4.68 million (8% growth) and Europe’s grew to 4.0 million (up 4%).

“2014 was the sixth consecutive year of growth for the high net worth market, with robust equity returns and economic performance enabling wealth to grow by about 7%, following double digit growth the year prior,” said George Lewis, Group Head, RBC Wealth Management & RBC Insurance. “Asia-Pacific led the growth in wealth this year and just edged out North America as the new leader in high net worth population. Looking ahead to the next few years, we expect Europe to be a large driver of HNWI wealth as the region recovers economically.” From a country-level perspective, China and the U.S. drove more than half (52%) of global HNWI population growth. India led the world in growth for both HNWI population (26%) and wealth (28%) due to strong equity market performance and the reduced cost of its substantial oil imports. China followed, with population and wealth growth rates of 17% and 19%, respectively, driven by GDP growth, increased exports and moderate equity market performance.   Strong growth in Asia-Pacific and North America contrasted with negative growth in Latin America – the only region with a decline in HNWI population (-2%) and wealth (-0.5%) in 2014, largely due to falling commodity prices and a resulting decline in equity markets.  In Europe HNWI population and wealth grew by roughly 4% due to weak economic performance and falling equity markets in most countries.

[1] HNWIs are defined as those having investable assets of US$1 million or more, excluding primary residence, collectibles, consumables, and consumer durables.

[2] The Capgemini and RBC Wealth Management Global HNW Insights Survey 2015 is the largest and most in-depth survey of high net worth individuals ever conducted, surveying more than 5,000 HNWIs across 23 major wealth markets in North America, Latin America, Europe, Asia-Pacific, the Middle East, and Africa and was conducted in January and February 2015.

About Capgemini

With more than 145,000 people in over 40 countries, Capgemini is one of the world’s foremost providers of consulting, technology and outsourcing services. The Group reported 2014 global revenues of EUR 10.573 billion. Together with its clients, Capgemini creates and delivers business and technology solutions that fit their needs and drive the results they want. A deeply multicultural organisation, Capgemini has developed its own way of working, the Collaborative Business ExperienceTM, and draws on Rightshore®, its worldwide delivery model.

Capgemini’s Global Financial Services Business Unit brings deep industry experience, innovative service offerings and next generation global delivery to serve the financial services industry. With a network of 24,000 professionals serving over 900 clients worldwide Capgemini collaborates with leading banks, insurers and capital market companies to deliver business and IT solutions and thought leadership which create tangible value. Learn more about us at www.capgemini.com and www.capgemini.com/financialservices.   Connect with our wealth management experts in the Financial Services section of Capgemini Expert Connect at http://www.capgemini.com/experts/financial-services   The World Wealth Report 2015 and other Capgemini thought leadership is available for your iPad through Capgemini’s Financial Services Insights app. Download it through iTunes here.  

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About RBC Wealth Management

RBC Wealth Management is one of the world’s top five largest wealth managers*. RBC Wealth Management directly serves affluent, high-net-worth and ultra-high net worth clients globally with a full suite of banking, investment, trust and other wealth management solutions, from our key operational hubs in Canada, the United States, the British Isles, and Asia. The business also provides asset management products and services directly and through RBC and third party distributors to institutional and individual clients, through its RBC Global Asset Management business (which includes BlueBay Asset Management). RBC Wealth Management has more than C$747 billion of assets under administration, more than C$481 billion of assets under management and approximately 4,100 financial consultants, advisors, private bankers, and trust officers. For more information, please visit www.rbcwealthmanagement.com

*Scorpio Partnership Global Private Banking KPI Benchmark 2014. In the United States, securities are offered through RBC Wealth Management, a division of RBC Capital Markets, LLC, a wholly owned subsidiary of Royal Bank of Canada. Member NYSE/FINRA/SIPC.
 

About RBC

Royal Bank of Canada is Canada’s largest bank, and one of the largest banks in the world, based on market capitalisation. We are one of North America’s leading diversified financial services companies, and provide personal and commercial banking, wealth management, insurance, investor services and capital markets products and services on a global basis. We employ approximately 78,000 full- and part-time employees who serve more than 16 million personal, business, public sector and institutional clients through offices in Canada, the U.S. and 39 other countries. For more information, please visit rbc.com.

RBC supports a broad range of community initiatives through donations, sponsorships and employee volunteer activities. In 2014, we contributed more than $111 million to causes worldwide, including donations and community investments of more than $76 million and $35 million in sponsorships.