The tsunami of private capital has left Russia and Ukraine, Britain has lost its crown of wealth hubs, and the US is quickly disappearing as a magnet for the world’s richest people, with the UAE expected to overtake by attracting the largest net inflows of global millionaires. in 2022, according to the latest Henley Global Citizens Report.
Data on residence and citizenship by investment advisory firms shows the latest 2022 net inflows and outflows from the U.S. dollar millionaire forecast by New World Wealth.
HNWI migration figures only focus on people whose wealth exceeds $ 1 million and who have migrated indeed – that is, people who have lived in a new country for more than half a year.
As expected, Russia experienced the largest emigration of millionaires in the past six months, with an estimated net outflow of 15,000 HNWIs by the end of 2022 – 15% of the HNWI population and 9,500 more than in 2019, pre -pandemic.
The Russian invasion will cause a huge spike in HNWIs coming out of Ukraine, which are predicted to suffer the highest net loss in the country’s history – 2,800 millionaires (42% of the HNWI population) and 2,400 net losses over 2019, the report shows.
The top 10 countries gain and lose millionaires in 2022
The forecast figures in the Henley Global Citizens Report show the top 10 countries in terms of net inflows of HNWIs in 2022 are the UAE, Australia, Singapore, Israel, Switzerland, the US, Portugal, Greece, Canada, and New Zealand. Many millionaires will also move to the ‘three Ms’: Malta, Mauritius, and Monaco.
On the other hand, the 10 countries that predicted the highest HNWI flows were Russia, China, India, Hong Kong, Ukraine, Brazil, the United Kingdom, Mexico, Saudi Arabia, and Indonesia.
Dr Juerg Steffen, CEO of Henley & Partners, said: “HNWI migration is an increasing trend over the past decade to, understandably, decline in 2020 and 2021 due to the Covid-19 pandemic. The 2022 forecast reflects a volatile environment around the world.
By the end of the year, 88,000 millionaires are expected to have moved to the new country, 22,000 fewer than in 2019 when 110,000 moved.
Projected net outflow HNWIs 2022
Next year, the largest migration flow of millionaires on record is predicted-125,000-as affluent investors and their families eagerly prepare for a new post-Covid world, with an unspoken rearrangement of the global order, and forever. -the current threat of climate change is an ongoing background.
Andrew Amoils, head of research at New World Wealth says that HNWI migration rates are a good barometer for economic health.
“Wealthy individuals are very mobile, and their moves can give an early warning signal to future state trends. Countries that attract wealthy individuals and families to move to the coast tend to be strong, with low crime rates, competitive tax rates, and an interesting business opportunity.
Britain and the United States – the strong collapsed
According to the latest data, the goals that normally attract wealthy investors will disappear. The UK, once referred to as the financial center of the world, continues to suffer millionaire losses, with an outflow of 1,500 predicted for 2022.
This trend began five years ago when the Brexit vote and tax hikes saw more HNWIs leaving the country than entering the country for the first time. The UK has suffered a total loss of around 12,000 million people since 2017.
The appeal of another financial giant, the US, is also diminishing. America is more popular among migrant millionaires now than before Covid, possibly because of the threat of higher taxes.
The country still attracts more HNWIs than it does with emigration, with a net inflow of 1,500 projected for 2022, although this is an 86% drop from the 2019 level, which resulted in a net inflow of 10,800 millionaires.
My net HNWI inflows are increasing in Israel, with a forecast of 2,500 for 2022 – an increase of 79% since 2019.
Long-term Australian high performers consistently attract many HNWIs. New World Wealth estimates that more than 80,000 million U.S. dollars have moved to the country over the past 20 years. By 2022, net inflows are expected to be 3,500 – the second highest number in the world.
Neighboring New Zealand is expected to receive a net inflow of 800 HNWI by 2022, and Asia’s main prosperity center, Singapore, continues to attract millions, with a net inflow of 2,800 expected – an increase of 87% compared to 1,500 in 2019.
Projected net inflows of HNWIs 2022
Commenting on the wealth growth projections in the Henley Global Citizens Report, Prof. Trevor Williams, former chief economist at Lloyds Commercial Bank, said the growing economy is expected to boom in the next decade.
“As the world economy grows, economies in Africa, Latin America, and elsewhere in the Global South are holding high -income economies. And as this report shows, they will see an increasing number of millionaires and billionaires in the next decade.
“For example, the number of HNWIs in Sri Lanka is projected to increase by 90% by 2031, while the growth of Indian and Mauritian millionaires is projected at 80%, and China at 50%, compared to 20% in the US and 10% in the United States. France, Germany , Italian, and English.
The data shows approximately 4,500 HNWIs have left South Africa over the past decade.
Most of these people have gone to the UK, Australia, and the US. New World Wealth says significant amounts have also been reported in Portugal, Switzerland, Israel, Mauritius, New Zealand, the UAE, Canada, Monaco and Malta.
According to the report’s authors, Portugal continues to see an influx of high -value people, supported by the top -notch Gold Resident Permit Program, which has attracted many millionaires from Brazil, China, Russia, South Africa, and Turkey and over the past decade.
Portugal’s Gold Residence Permit program remains the most popular program in 2022, according to Henley & Partners followed by St. Kitts and Nevis Citizenship by Investment Program. Next up is Canada, with the Canadian Start-Up Visa Program being the fastest way for entrepreneurs and wealthy people to access Canadian homes and the North American market.
Rising in popularity this year is the Greek Golden Visa Program, and last in the top five is the Antigua and Barbuda Citizenship by Investment Program, said Henley & Partners.
Although not in the top 10 in 2022, Malta has been one of Europe’s top success stories over the past decade, not only in terms of the migration of millionaires but also in terms of overall wealth growth. This is also a destination for South Africans.
Citizenship by naturalization process has brought vast new wealth to the island nation and is credited with driving Malta’s strong growth in a number of sectors including financial services, IT, and real estate. About 300 millionaires will move to Malta in 2022.
The Indian Ocean island nation of Mauritius has been attracting high-priced people over the past decade, possibly because it’s easier to do business there, Amoils said. Mauritius is also known for its safety, competitive tax rates, and a fast -growing financial services sector, he said.
According to the 2022 African Wealth Report, Mauritius is now home to 4,800 high -income individuals compared to 2,700 a decade ago – a 78%growth. About 150 millionaires will move to Mauritius by 2022, mainly from South Africa and Europe.
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