Population of Ultra High Net-Worth Individuals set to Rise by 2020
Monday, April 1, 2019
Posted by: Luxe Press
Would you rather finish a marathon or become an Ultra-High Net Worth individual? With the obvious answer being the latter, it comes to no surprise The Guardian magazine reports a rise in Ultra-High Net Worth Individuals, expected to surpass that of the London Marathon runners.
“More people will join the swelling ranks of the ‘ultra-rich’,” wealth reporter, Rupert Neate writes. Studies conducted by the World Wealth Report estimate a UHNWI population increase of 72,550 by 2021 regardless current global trends.
Despite political instability and industrialization, financial magazine Business Insider cites “urbanisation, rising income levels, and an increase in the number of women in work” as the driving forces behind the population surge. Though the findings can spark a sour taste in the mouths of the not-rich 99 percent, they offer a glimpse of hope for those in the Private Household Industry.
Facing an addition of 72,550 possible employers, Private Household workers —from estate managers to nannies— may once again experience the strain of a supply-and-demand issue by the turn of the decade, with high demand concentrating North America instead of Europe.
Neate reports 4,944 UHNWIs living in London as of Jan. 9, 2019; however, research conducted by think-tank Wealth-X show a nine percent UHNWI population growth in New York City as of 2017, noting the existence of at least 8,350 individuals. Political arguments surrounding Brexit may cause an increase in European numbers as property values plunge, attracting homebuyers and requiring household employees to work in multiple continents. Financial researcher Liam Bailey of property consultant Knight Frank notes an increase in property acquisition within the Ultra-High Net Worth world.
The average UHNW individual currently owns 3.6 homes. With lowering property prices and an increase in UHNW population, Private Household employees could expect to serve multiple homes and experience multiple cultures as the increase encompasses the globe. Though predictions may seem straining for current and future employees, associations and specialized schools can also expect to profit from the increase.
As economic change demands more Private Household employees, specialized schools can hope to provide quality and much-needed education to new employees, while associations can provide better accommodations and aide for future employees. One may expect membership increases in associations worldwide as it becomes clear that the need for selfless service will forever be an essential need.