South Africa has set itself apart as Africa's main wealth management hub with $82bn assets under management with Johannesburg at the centre of it all.
Around $140bn of African HNWI wealth is tied up with wealth managers and private banks according to the New World Wealth's AfrAsia Bank Africa Wealth Report 2018.
It is estimated that the African wealth management market will increase by about 7% per annum over the next 10 years. Services that are in high demand from wealth managers include: asset management services, financial planning and inheritance planning.
Wealth managers in Africa typically target individuals with more than $500 000 in investable assets.
As the wealth industry kickstarts in the rest of the continent, the most promising emerging African markets for private banking going forward are countries like Mauritius, Morocco, Angola, Ghana and Kenya, according to AfrAsia Bank.
Total private wealth held in South Africa rose from US$670bn at the end of 2016 to US$722bn at the end of 2017, whilst HNWI wealth rose from US$284bn to US$306bn. The industry expects even further growth as the number of South African HNWIs is forecast to increase by 28%, to reach approximately 56,000 by 2027. as reported by International Investment.