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Chinese HNWI market wealth to increase at a CAGR of 14.7%

Press Release   •   Aug 30, 2012 15:19 BST

The number of high net worth individuals (HNWIs) in China increased by 41% every year during 2007-2011, and the Chinese HNWIs market reached almost 1 million in 2011, while the number of UHNWIs reached 60,000.

It is estimated that HNWI wealth will grow at a compound annual growth rate (CAGR) of 14.7% through to 2015, to reach an estimated US$7.5 trillion.

Although HNWIs make up only 0.4% of China's population, this is equivalent to over 4 million individuals. Furthermore, the number of HNWIs in China is expected to double by 2015, which will change's China's position as the third-largest global wealth market in 2011 to the second-largest global wealth market in 2015.

The volume of UNHWIs in finance is projected to grow by 25% per year through to 2015, due to the large growth in the private banking, bonds, hedge funds, private equity and insurance industries, as well as the continued wealth diversification of China's middle class.

HNWI allocations to property are expected to fall to 23% of total assets in 2015, from 27% in 2011. However, the amount of wealth held in foreign real estate is forecast to increase.

Beijing has the wealthiest individuals, followed by Guangdong and Shanghai. Only 16% of China's wealthy are to be found in the country's northeastern, southwestern, central and northwestern areas.

For more information on the Chinese HNWI market, see the latest research: Chinese HNWI Market Report

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