AfrAsia Bank and its research partner New World Wealth recently released the Global Wealth Migration Review 2019 report. The report sheds light on global wealth and wealth migration trends. It has also ranked the top 10 wealthiest cities in the world based on the private wealth held by individuals living in each city. It includes all their assets less any liabilities.
Ranked: Top 10 wealthiest cities
As per the Global Wealth Migration Review 2019, the worldwide private wealth stood at $204 trillion at the end of 2018. The ten richest nations control 74% of the world’s private wealth. In the last few years, emerging giants like China and India have witnessed a massive growth in private wealth.
Wealth inequality remains a major concern around the world. And money is increasingly concentrating in the hands of only a small number of individuals. For instance, the top 10% of the US population used to hold 60% of the country’s wealth in 1989. But the richest 10% in the country now control 70% of its household wealth.
The total private wealth of a city depends on the city’s own business dynamics. These are the top 10 wealthiest cities on the planet, according to data from AfrAsia Bank and New World Wealth.
Singapore is one of the world’s wealthiest city-states. Thanks to its world-class infrastructure, corruption-free governance, and low tax rates, Singapore has become one of the world’s most business-friendly countries. It is also among the most expensive. The country is home to 39 billionaires, and its total wealth stands at $995 billion.
Sydney is the financial capital of Australia. Its total household wealth stood at $1 trillion at the end of 2018. According to New World Wealth, Sydney has become an attractive destination for high net worth individuals (HNWIs) from around the world because of its lifestyle, safety, and climate.
8- Hong Kong
The semi-autonomous, special administrative region of China is one of the wealthiest cities in the world. Its total wealth is $1.3 trillion. According to Wealth-X, Hong Kong is home to 87 billionaires with a combined net worth of $259 billion. Hong Kong also has the world’s fifth-largest stock exchange.
7- Los Angeles
Though Los Angeles has less than half as many billionaires as Hong Kong (39 vs 87), its total wealth is slightly higher than the Asian city. The combined wealth of individuals living in Los Angeles is $1.3 trillion. Most of the multi-millionaires and billionaires in the city amassed their wealth from a variety of industries such as entertainment and technology.
Shanghai is the financial capital of China. It has seen a meteoric rise in private wealth over the last decade as the Chinese economy continued to expand rapidly. Total wealth held by individuals in Shanghai stood at $1.9 trillion. The city is also home to the world’s fourth largest stock exchange.
Beijing is home to many of China’s largest corporations. The city’s total wealth is estimated to be $2.1 trillion. Beijing had 55 billionaires at the end of 2018. The US-China trade tensions and other factors such as the weakening global growth, softer domestic consumption, and emerging market volatility have affected the growth in private wealth. But Beijing remains among the top 10 wealthiest cities.
4- San Francisco Bay Area
The San Francisco ‘Bay Area’ includes the city itself as well as the neighboring towns such as San Jose, Mountain View, Palo Alto, and Redwood City. The total household wealth held in the Bay Area is $2.3 trillion. San Francisco has one billionaire per 11,612 residents. The city has 75 billionaires.
London’s total household wealth is estimated to be $2.4 trillion. The figure doesn’t include the wealth held in nearby towns such as Windsor, Henley, Leatherhead, Ascot, and Virginia Water. Despite Brexit-concerns, a stronger pound against the US dollar benefited London’s private wealth. The city is home to 65 billionaires.
The Japanese capital holds a total household wealth of $2.5 trillion, behind only New York City. Tokyo is home to the world’s third largest stock exchange, which has 2,300 listed companies with a combined market capitalization of $5.67 trillion. It is one of the world’s most expensive cities.
1- New York City
New York City is a global financial hub with an estimated total household wealth of $2.9 trillion. It is home to two of the world’s largest stock exchanges: NYSE and Nasdaq. New York also has 105 billionaires, more than any other city in the world. The city’s wealth figure doesn’t include the vast amount of wealth held in neighboring areas such as the North Shore and the Hamptons.