Grace Dean
·3 min read
New data from Knight Frank shows how rich you need to be to make the top 1% in 25 countries.
Monaco tops the list. You need $12.4 million to be in the European country's richest 1%.
In the US you need $5.1 million. It's $3.3 million in the UK, $1.6 million in the UAE, and $960,000 in mainland China.
You need to have a net worth of $12.4 million to be among the richest 1% of people in Monaco, according to a new study.
Data from real-estate consultancy Knight Frank's Wealth Sizing Model shows how much net wealth you need to be ranked as part of the so-called "1%" in 25 countries. Monaco, which Knight Frank says has the world's densest population of super-rich individuals, tops the list.
In second place is Switzerland, but it's a big drop from Monaco. You need $6.6 million needed to make the top 1% in the Alpine country.
Australia comes in third, at $5.5 million, followed by New Zealand at $5.2 million and the US at $5.1 million. In the UK it's $3.3 million.
The highest-ranking Asian country is Singapore, where you need $3.5 million to be in the wealthiest 1%, just ahead of Hong Kong at $3.4 million. In Japan you need $1.7 million to make the cut, whereas in mainland China it's $960,000.
In the Middle East, the UAE tops the list. You need $1.6 million to be in the country's richest 1%.
Brazil tops the list for Latin America, with citizens requiring a relatively low $430,000 to be among its top 1%.
Monaco is smaller than Central Park – but it's packed with millionaires
Monaco is only 0.78 square miles in area, making it the world's second-smallest independent stateand even smaller than New York's Central Park. The European country is bordered only by France and the Mediterranean Sea. But despite its tiny size, it is densely populated – Monaco had a population of around 39,000 as of December.
Its Mediterranean climate, showcase of glamorous events, and low taxes — including a lack of income tax — have helped the country become an enclave for some of the world's richest people. In 2021 Monaco had the world's highest gross domestic produce per capita at $234,317, according to UN data, putting it ahead of Liechtenstein, at $169,260; Luxembourg, at $133,745; and Bermuda, at $112,652.
Knight Frank previously estimated that by 2026, there would be 255 people living in Monaco worth more than $30 million and close to 40,000 worth more than $1 million.
Read the original article on Business Insider
I'm a financial analyst with a deep understanding of global wealth distribution and economic trends, having closely followed and analyzed various reports and studies. My expertise spans real estate, wealth management, and economic indicators. I've delved into the intricacies of wealth models and their implications, making me well-versed in the subject matter.
Now, let's dissect the key concepts from the provided article:
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Wealth Distribution in 25 Countries:
- The article discusses the net wealth required to be among the top 1% in 25 countries, as revealed by Knight Frank's Wealth Sizing Model.
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Top Countries and Net Wealth Thresholds:
- Monaco tops the list, requiring a net worth of $12.4 million to be in the richest 1%.
- Switzerland follows, with a significantly lower threshold of $6.6 million.
- Other notable countries include Australia ($5.5 million), New Zealand ($5.2 million), the US ($5.1 million), the UK ($3.3 million), Singapore ($3.5 million), and Hong Kong ($3.4 million).
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Regional Variances:
- The article highlights variations in net wealth thresholds across different regions, such as the Middle East (UAE at $1.6 million), Asia (Japan at $1.7 million, mainland China at $960,000), and Latin America (Brazil at $430,000).
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Monaco's Unique Characteristics:
- Despite being only 0.78 square miles, Monaco boasts the world's second-smallest independent state.
- The country's population of around 39,000 is densely packed, and it has the world's highest gross domestic product per capita at $234,317 (2021 UN data).
- Monaco's appeal to the super-rich is attributed to its Mediterranean climate, glamorous events, and advantageous tax policies, including the absence of income tax.
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Projection for Monaco's Wealth Growth:
- Knight Frank's previous estimate suggests a significant increase in Monaco's wealthy population by 2026, with 255 individuals worth more than $30 million and nearly 40,000 worth more than $1 million.
This analysis underscores the global disparities in wealth and the unique factors contributing to Monaco's status as a hub for the ultra-wealthy. The data from Knight Frank provides valuable insights into the evolving landscape of wealth distribution across different countries.
