Saudi, UAE see fast growth of ultra-wealthy individuals: report

Saudi Arabia and the United Arab Emirates, the two largest Ultra-high net-worth (UHNW) countries in the Middle East, posted robust gains in their ultra-wealthy populations last year, noted the latest report by Wealth-X released on Wednesday.

This was driven primarily by a gradual upturn in oil prices throughout most of 2018, better-performing equities than in most regions, and currency resilience owing to the riyal’s and dirham’s respective dollar pegs, Wealth-X report titled ‘World Ultra Wealth Report 2019’ maintained.

Overall, the Middle East recorded by far the strongest growth in ultra-wealthy population in 2018 globally, up 6.8 percent to 9,710 individuals.

“The Middle East consolidated its position as the fourth-largest UHNW region in 2018, ahead of Latin America and the Caribbean, recording by far the strongest growth in ultra-wealthy population (up 6.8 percent),” the Wealth-X report added.

The US was by far the leading country for UHNW individuals in 2018, accounting for a 31 percent global share. This compared with 9 percent for second-placed China, and nearly 7 percent for third-placed Japan.

However, Wealth-X report noted the combined net worth of the UHNW population saw a decrease for the first time in three years, falling by 1.7 percent in 2018 to $32.3 trillion, implying a modest drop in the average net worth of the UHNW class, in part due to a late-year slump in investor sentiment and global equity markets.

All regions of the globe saw a drop in ultra-wealth -- regional declines ranged from a marginal dip in the Middle East to a drop of 7 percent in Latin America and the Caribbean. Net worth in Asia fell at a faster rate than in both North America and Europe.

The report however forecasts robust growth for the UHNW population, with a projected population increase to 353,550 individuals possessing a total combined wealth of $43 trillion by 2023.