Hong Kong’s millionaire population is expected to grow strongly over the next five years, with figures forecasting a growth rate of 45.7%to reach over 339,000 millionaires by 2017.

According to a new report from WealthInsight, there will be more than 339,000 high net worth individuals (HNWIs) in Hong Kong in 2017, and the amount they possess will increase by 53% to just over US$1.7 trillion in combined wealth.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

The Hong Kong economy has performed well since the credit crunch of 2008. There are currently 3,308 multi-millionaires (individuals with over $30 million in net assets) in Hong Kong, an increase of 201% since 2008. By 2017, WealthInsight expects this number to reach 4,810 multi-millionaires, reaching a combined wealth of US$485 billion.

The number of billionaires in the country is also expected to grow. Between 2008 and 2012 the number of billionaires rose from 21 to 42. This number is expected to increase by a further 9 in the next five years.

Hong Kong has always been known for its diversified economy, with the country being seen as the second biggest financial hub in Asia, after Singapore. This is evident in the amount of HNWIs that have made their money from the Financial Service sector, accounting for 13.3% of the total, followed by Retail (11.2%) and Real Estate (9.9%).

Soaring house prices and the effect on Hong Kong’s millionaire population

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

House prices in Hong Kong rose by 25.7% in 2012. Many analysts now expects the housing bubble to pop, and wonders how this will affect HNWIs and their capital over the next few years.

Hong Kong HNWIs have traditionally preferred investing in real estate and WealthInsight figures’ show that over 35% of capital is invested in this sector. With Chinese growth starting to wound down as well as the Federals Reserve reducing its bond buying programme, many analysts are expecting house prices to fall by as much as 60% which was last seen in the previous house bubble of 1997-1998.

"If a decline of between 30% to 60% is seen in the real estate market, this could wipe out between US$73 and US$146 billion dollars of HNWIs domestic real estate portfolios in Hong Kong", says WealthInsight analyst, Tom Carlisle.

"For HNWIs to reduce the damage that could happen in the next two years, it has been advised by many institutions to sell these real estate assets whilst demand is still high, and look to acquire properties again once the housing crash has settled down", says Carlisle.

"Hong Kong politicians have been implementing new rules that they hope will slow down the housing market, for example applying stamp duty on properties over US$200,000. These changes have appeared too late, with prices in the country reaching astronomical levels of over 13 times the average salary and making it the world’s most unaffordable city", says Carlisle.