A 16% Rise in US Millionaires by 2028: UBS
The U.S. world-leading population of millionaires is expected to expand at a double-digit rate in the coming years as a result of a global resurgence in wealth accumulation, representing a growing field of affluent potential clients for U.S.-based financial advisors, according to UBS.
Nearly 22 million U.S. residents were millionaires as of 2023, which accounted for 38% of the global total and outnumbered the second largest nation in the millionaire population, mainland China, by over 3.5 times.
In its Global Wealth Report 2024, UBS anticipates that the number of U.S. millionaires will increase by 16% to over 25.4% by 2028. At that rate, the U.S. would be positioned in the mid-range of the 56 markets that UBS sampled for the report.
The U.S. is anticipated to be outpaced by a number of countries, including Kazakhstan, Indonesia, Turkey, and Taiwan, in terms of the percentage growth of millionaires. Nevertheless, the U.S. is expected to surpass mainland China and all other nations in terms of the number of millionaires by the end of 2028, with over 18 million.
UBS observed that 2022 was one of only three years in the past 15 in which wealth totals worldwide declined, with a 3% decrease in global wealth. The other two years were 2008 and 2015.
However, the number of millionaires is not the only demographic that is expected to grow. Each wealth bracket, except the lowest, is expanding. According to the report, wealth increased globally by 4.2% in U.S. dollars last year, with the Americas experiencing a 3.5% increase. The average wealth of U.S. adults increased by 2.5%.
As wealth opportunities expand, this expansion is anticipated to persist. Paul Donovan, chief economist of UBS Global Wealth Management, stated that technology and more readily accessible revenue streams have expanded the potential for new wealth and will continue to offer new opportunities.
