• Home
  • News
    • People moves
    • Africa
    • Asia
    • Australia
    • Canada
    • Caribbean
    • Domicile
    • Europe
    • Latin America
    • North America
    • Middle East
    • US
    • US
    • UK
  • Products
    • Funds
    • Pensions
    • Platforms
    • Insurance
    • Investments
    • Private Banking
    • Citizenship
    • Taxation
  • Fintech
  • Regulation
  • ESG
  • Expats
  • In Depth
  • Special Reports
  • Directory
  • Video
  • Advertise with us
  • Directory
  • Events
  • European Fund Selector
  • Newsletters
  • Follow us
    • Twitter
    • LinkedIn
    • Newsletters
  • Advertise with us
  • Directory
  • Events
    • Upcoming events
      event logo
      International Investment Nordic Forum 2021

      International Investment is delighted to announce the 2021 International Investment Nordic Forum which will take place on Tuesday March 9, at 9am (GMT). This curated virtual event will be broadcast live and will feature a series of fund manager interviews and presentations, as well as interviews with some of the Nordic regions top fund selectors.

      • Date: 09 Mar 2021
      • ONLINE, ONLINE
      event logo
      Sustainable Investment Festival 2021

      The Sustainable Investment Festival will run online from 22-25 June and will include thought-provoking presentations from renowned keynote speakers, innovative breakout events and sessions specifically tailored to meet the information needs of fund selectors, financial advisers, pension consultants, trustees and scheme managers.

      • Date: 22 Jun 2021
      • Online, Online
      View all events
  • European Fund Selector
International Investment
International Investment

Sponsored by

Sharing Alpha
  • Home
  • News
  • Products
  • Fintech
  • Regulation
  • ESG
  • Expats
  • In Depth
  • Special Reports
  • Video
  • Wealth management

Global wealth resilient amid covid-19 pandemic

Global wealth resilient amid covid-19 pandemic
  • Pedro Gonçalves
  • @PeterHSG
  • 23 October 2020
  • Tweet  
  • Facebook  
  • LinkedIn  
  • Send to  

Global household wealth has proven resilient in the wake of the pandemic, showing a small increase in total wealth according to Credit Suisse's 2020 Global Wealth Report.

Thanks to government and central-bank actions to mitigate the Covid-19 fallout, global wealth rebounded from an initial slump in the first quarter of the year, adding $1trn by June after ending 2019 at $399.2trn. "Given the damage inflicted by Covid-19 on the global economy, it seems remarkable that household wealth has emerged relatively unscathed," said economist Anthony Shorrocks, one of the report's authors.

Related articles

  • Credit Suisse reports 24% leap in Asian revenue
  • Global wealth expands to $360trn, led by US and China: Credit Suisse
  • Global wealth expands to $360trn, led by US and China: Credit Suisse
  • Global wealth up 4.6% to $317trn with Switzerland at the top: Credit Suisse report

Without the pandemic, the best estimate of global wealth per adult would have risen from $77,309 at the start of the year to $78,376 at end-June 2020. Instead, the pandemic has caused average wealth to drop to $76,984. 

Given the damage inflicted by Covid-19 on the global economy, it seems remarkable that household wealth has emerged relatively unscathed"

For the world as a whole, the report estimates that total mid-year global household wealth was $1trn above the January level, a rise of 0.25%. This is less than the rise in adult numbers over the same period, so average global wealth fell by 0.4% to USD 76,984. In comparison to what would have been expected before the Covid-19 outbreak, global wealth fell by $7.2trn, or $1,391 per adult worldwide.

The most adversely affected region was Latin America, where currency devaluations reinforced reductions in Gross Domestic Product (GDP) to result in a 12.8% reduction in total wealth in US dollar terms. The pandemic eradicated the expected growth in North America and caused losses in every other region, except China and India. Among the major global economies, the United Kingdom has seen the biggest relative erosion of wealth.

Wealth per adult slipped to an average $76,984 from $77,309 at the start of the year, the report found. Switzerland, the Netherlands, Taipei and Hong Kong saw gains, while Norway and the UK posted the biggest declines. The number of millionaires remained stable after soaring to 51.9 million last year, while the club of the ultra-high net worth individuals with more than $50m in net assets lost only 120 members to 175,570. In the US, which has the most people in the top 1% wealth group and 39% of the world's millionaires, the inequality gap has narrowed, according to the report.

Chief Investment Officer International Wealth Management and global head of Economics & Research at Credit Suisse, said: "Although 2019 was a year of incredible wealth creation, the Covid-19 pandemic has been a sobering reminder of the danger of exogenous shocks to the global economy. Unlike the financial crisis of 2007-08, there is reason for optimism this time around, as the global financial sector is much healthier than it was then. Governments and central banks have also learned the importance of credit arrangements and quantitative easing during a severe crisis.

 

Subscribe to International Investment's free, twice-daily, newsletter

  • Tweet  
  • Facebook  
  • LinkedIn  
  • Send to  
  • Topics
  • Wealth management
  • HNWIs
  • US
  • Latin America
  • China
  • India
  • Wealth
  • Credit Suisse

More on Wealth management

Schroders' results show AuM at record high

  • Wealth management
  • 04 March 2021
Aviva Investors' operating profits tumble 11% on lower fee income

  • Wealth management
  • 04 March 2021
Quilter launches redundancy support hub for client advice

  • Wealth management
  • 02 March 2021
European family offices face 'tricky' balancing act

  • HNWIs
  • 01 March 2021
Jupiter shakes off £4bn outflows as Merian deal drives AuM to record high

  • Wealth management
  • 26 February 2021
Back to Top

Most read

HSBC appoints CEO for the Middle East region
HSBC appoints CEO for the Middle East region
People moves: Phoenix Group, Franklin Templeton, TMF Group, AJ Bell, Arete, Just Group
People moves: Phoenix Group, Franklin Templeton, TMF Group, AJ Bell, Arete, Just Group
Nordic Fund Selector of the Year 2021 shortlist announced
Nordic Fund Selector of the Year 2021 shortlist announced
UK Budget: Sunak freezes lifetime allowance for pensions contributions
UK Budget: Sunak freezes lifetime allowance for pensions contributions
Europe's wealth mangers increasingly focusing on Bitcoin: survey
Europe's wealth mangers increasingly focusing on Bitcoin: survey
  • Contact Us
  • Marketing solutions
  • About Incisive Media
  • Terms and conditions
  • Policies
  • Careers
  • Twitter
  • LinkedIn
  • Newsletters

© Incisive Business Media (IP) Limited, Published by Incisive Business Media Limited, New London House, 172 Drury Lane, London WC2B 5QR, registered in England and Wales with company registration numbers 09177174 & 09178013

Digital publisher of the year
Digital publisher of the year 2010, 2013, 2016 & 2017
Loading