Global Growth In Billionaires Led By China

Global Growth In Billionaires Led By China

Global Growth In Billionaires Led By China

Booming stock markets across the globe, higher property prices and economic growth were responsible for the record high in the wealth held by the world's most affluent people in 2017, a report by the Swiss bank UBS and consultants PwC published on Friday said.

China's young entrepreneurs are "set to swell the ranks of the world's billionaires for years to come", the report said.

In the past year, 44 billionaires were created through their inherited wealth. "This new gilded age is creating all kinds of new innovations and technologies that will not only will change how we live our lives, it will create great wealth, and not just for the people who innovate themselves, but all the other businesses that start up around it".

'Today, only 30 years after the country's government first allowed private enterprise, they number 373 - almost one in five of the global total'. Mathews said major anticipated initial public offerings in 2019, including Uber, could reveal more stealth wealth, potentially adding more billionaires to the US's count.

The report highlights the role of Chinese structural changes in generating wealth while the United States continues to boast the biggest wealth concentration powered by technology, consumer and retail sectors. In 2017, they equalled the US' level of venture capital funding for start-ups, and registered four times as many artificial intelligence-related patents, and three times as many blockchain- and crypto-related patents as their U.S. counterparts.

"Over the last decade, Chinese billionaires have created some of the world's largest and most successful companies, raised living standards".

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In the past, "the majority of breakthrough innovations have been driven by companies based in the Americas", John Mathews, UBS' head of ultrahigh net worth for the Americas, said in a statement. "This cohort is overwhelmingly self-made and determined to capitalize on one of history's greatest moments for new enterprise".

One billionaire told the researchers that: "The new generation, born in the internet era, are more willing to take risks".

It warned of lower economic growth in the United States and China if the trade war between the two countries escalates.

One Chinese billionaire told the researchers: "Nowhere else in the world can you find better conditions for growth than in China".

These mega-rich increased their wealth by a $1.4 trillion which is more than the entire GDP of Spain or Australia. This was largely due to currency appreciation in the euro versus the dollar. Wealth transition from just five families accounted for 30 percent of the continent's wealth expansion.

UBS estimates that the world now has a total of 2,158 billionaires, with 179 billionaires created past year.

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