The wealth of the world’s billionaires soared by an impressive 17% over the past year, reaching a record $14 trillion, according to UBS’s Billionaire Ambitions Report for 2024.
The surge, largely fueled by gains in the United States, marked a significant rebound despite economic headwinds like geopolitical instability and inflation.
Notably, while billionaire fortunes flourished in the US, wealth declined in China, reflecting contrasting economic dynamics between the two global superpowers.
The report highlights a growing concentration of wealth among the ultra-rich, with 2,682 billionaires now accounting for an extraordinary share of global assets.
In 2023, billionaire fortunes stood at $12 trillion, but their rapid climb to $14 trillion underscores the resilience of the ultra-wealthy in navigating challenges such as inflationary pressures and financial market fluctuations.
Interestingly, billionaire wealth has more than doubled since 2015, when it was valued at $6.3 trillion.
This massive accumulation of wealth contrasts starkly with global economic metrics; for instance, the World Bank reported a global GDP of $105.4 trillion last year, illustrating the sheer financial power concentrated in the hands of a few.
The report also sheds light on the composition of new billionaires.
While self-made billionaires dominated the list this year, they represented a shift from 2023, when inheritance played a more prominent role in the creation of new ultra-wealthy individuals.
According to the UBS survey conducted between June and September, key concerns for billionaires include geopolitical tensions and inflation, which could impact their investments and growth prospects.
US emerges as a major driver of billionaire wealth growth
The United States emerged as a major driver of billionaire wealth growth, contributing significantly to the global increase.
Conversely, China experienced a contraction in billionaire fortunes due to losses in real estate and a decline in the valuation of companies owned by its wealthiest individuals.
UBS highlighted that the uncertain economic environment in China played a pivotal role in this downturn.
Benjamin Cavalli, head of strategic clients at UBS Global Wealth Management, pointed out that the diverging trends underscore regional economic disparities.
“The wealth decline in China reflects challenges in real estate and broader market uncertainties,” Cavalli stated, adding that the broader geopolitical landscape has also influenced investment behavior among the ultra-rich.
India and Europe: rising fortunes
India saw a remarkable surge in billionaire wealth, with the number of billionaires increasing by over 20% to 185.
Their combined fortunes skyrocketed by more than 40%, reaching nearly $906 billion.
The robust growth underscores India’s expanding economic influence and the entrepreneurial vigor driving wealth creation in the country.
Meanwhile, in Western Europe, Switzerland surpassed the United Kingdom as the country with the second-largest number of billionaires after Germany.
Switzerland’s billionaire count rose to 85, reflecting its stability as a hub for wealth preservation and growth.
As billionaire wealth continues its upward trajectory, the divide between the ultra-rich and the rest of the world grows starker, prompting questions about wealth distribution and its implications for global economies.
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