### Summary
The wealth per adult in the UAE at the end of 2022 was $152,556, according to a global report. The UAE's total household wealth stood at $1.2 trillion, and the ratio of household debt to gross assets was 7.8%.
### Facts
- đ° Total household wealth in the UAE at the end of 2022 was $1.2 trillion.
- đž Wealth per adult in the UAE at the end of 2022 was $152,556.
- đ The ratio of household debt to gross assets in the UAE in 2022 was 7.8%.
- đ Wealth per adult in the UAE grew by 18.7% in 2021 using current exchange rates and by 20.6% using smoothed exchange rates.
- đ However, in 2022, the growth of wealth per adult in the UAE differed depending on exchange rates. It rose by 11.7% in current exchange rates and by only 4.1% using smoothed rates.
- đŒ The UAE hosts a high number of wealthy expatriate entrepreneurs, with an estimated 4,500 high net worth individuals relocating to the country in 2023.
- đ Globally, total net private wealth fell by $11.3 trillion to $454.4 trillion at the end of 2022.
- đ Wealth declines in 2022 were mostly due to financial assets, while non-financial assets like real estate remained resilient.
- đ Wealth losses were concentrated in wealthier regions like North America and Europe, with the United States, Japan, China, Canada, and Australia experiencing the largest losses.
- đ Wealth inequality also fell in 2022, with the wealth share of the global top 1% decreasing to 44.5%.
- đ Global median wealth increased by 3% in 2022, contrasting with the 3.6% fall in wealth per adult.
- đź The report projects that global wealth will rise by 38% over the next five years, reaching $629 trillion by 2027. Wealth per adult is expected to reach $110,270, and the number of millionaires is forecasted to reach 86 million.
- đŁïž Regarding the report, Iqbal Khan, president of global wealth management at UBS, emphasized its valuable insights, while Anthony Shorrocks, economist and report author, discussed the decline in wealth driven by high inflation and currency appreciation.
- đ Nannette Hechler-Faydâherbe, chief investment officer at Credit Suisse, highlighted the resilience of wealth during the pandemic but noted the reversal in 2022 due to inflation, rising interest rates, and currency depreciation. She expects global wealth to rise by 38% in the next five years.
The wealth per adult in the UAE at the end of 2022 was $152,556, according to a global report, with the UAE hosting a large number of wealthy expatriate entrepreneurs.
The US government's debt has reached a record high of almost $33 trillion, causing concerns about its impact on the nation's finances and the risk of a debt crisis, according to experts like Larry McDonald, Ray Dalio, and Nouriel Roubini.
The number of millionaires worldwide has increased significantly over the last decade, with total millionaire wealth reaching $208.3 trillion in 2022, driven by factors such as tech revolutions and market booms; North America is home to the largest percentage of millionaires (42%), followed by Europe (27%); however, wealth inequality remains a significant issue, and the number of millionaires is projected to grow to 86 million by 2027.
The US experienced a significant decline in wealth last year, but millennials saw their net worth rise due to their higher investment in real estate, debunking the myth that they are financially struggling.
The average net worth needed to be considered wealthy in the United States is $2.2 million, according to the 2023 Modern Wealth Survey by Charles Schwab, although respondents in San Francisco believe it takes $4.7 million to be wealthy, the highest across all cities surveyed. However, when asked if they feel wealthy themselves, respondents diverged from the monetary benchmark, with 48% feeling wealthy with an average net worth of $560,000, indicating that wealth is not solely determined by a financial figure.
The number of ultra wealthy individuals worldwide decreased by 5.4 percent last year, and their combined net worth fell by 5.5 percent to $45.4 trillion, with Asia experiencing the largest decline due to China's Covid policies and the war in Ukraine.
Despite increased household wealth in the US, millions of households are struggling financially due to inflation, high interest rates, and rising living costs, which have led to record levels of debt and limited access to credit.
US household income fell by the most in over a decade in 2022, showing the impact of rising costs and the expiration of pandemic relief programs, with the median income dropping 2.3% and marking the third consecutive annual decline, contributing to concerns about the financial well-being of American families.
The United States has a net wealth of $136.8 trillion, with the private sector holding all the wealth while the public sector runs a deficit due to federal debt, and pro-growth policies are essential for economic health.
American household debt has reached record levels in the second quarter of 2023, as Americans have taken on more debt amidst diminishing savings and high interest rates.
The wealthiest people in the U.S. have seen a significant increase in their wealth, with the richest Americans now holding a total of $4.5 trillion, tied with the record set in 2021, due to rebounding stock markets and the flourishing AI-driven tech industry.
Ten of the wealthiest people in America, including Thomas Tull of Pittsburgh, call Pennsylvania home with a combined asset worth of $4.5 trillion, according to Forbes 400.
The richest Americans are seeing their share of wealth and income increase despite expectations that the pandemic might narrow the wealth gap, with the top 1% holding roughly 26.5% of household net worth and the share of income going to the top 5% growing. On the other hand, the bottom 40% has seen a smaller slice of the pie even as their net worth has risen.
