Philippines’ ultra rich grows 4.5% in 2014

MANILA, Philippines – The Philippines’ ultra rich grew in numbers and in terms of wealth last year, according to the Wealth-X and UBS World Ultra Wealth Report 2014.

The report showed the population of ultra-high net worth (UHNW) individuals in the Philippines grew by 4.5 percent to 690 in 2014 compared to 660 in the previous year.

UHNW individuals are those with net assets amounting to $30 million and above.

In terms of wealth, the Philippines’ UHNW individuals rose 5.3 percent to $100 billion last year from $95 billion in 2013.

The latest figures on the Philippines’ UHNW population and their wealth placed the country on the 37th spot out of 60 countries ranked by the report.

Within Asia, the Philippines got the 11th spot out of 21 countries.

In terms of having the oldest UHNW population, the Philippines ranked fourth out of all countries covered by the report with the average age of its ultra wealthy individuals at 66.

The report released annually by leading UHNW intelligence firm Wealth-X and the global leader in wealth management UBS, serves as reference for firms who want to engage the ultra rich.

It uses a valuation model to assess the asset holdings including privately and publicly held businesses and investible assets to develop net worth values.

With the number of ultra wealthy individuals rising in the Philippines, British luxury car brand Rolls Royce recently opened a dealership in Manila to be able to tap into this segment of the market.

Michael Alexander Schneider, general manager for Asia Pacific at Rolls Royce said during the official opening of the Manila dealership, the luxury brand sees a very bright future for its business in the Philippines, citing market demand and the expectations of sustained economic growth.

The report noted that the world’s UHNW population grew by six percent to 211,275 in 2014 from a year ago, while their wealth climbed by seven percent year-on-year to $29.725 trillion.

While these ultra rich individuals account for only 0.004 percent of the global adult population, they control nearly 13 percent of the world’s total wealth.

The UHNW individual is estimated to spend an average of $1.1 million per year on luxury goods and services, ranging from travel to food.

The top 10 countries in terms of UHNW population and wealth in 2014 are the US, Germany, Japan, United Kingdom, China, India, Switzerland, Canada, France and Brazil.

“Within the next five years, the world’s total UHNW wealth will almost surpass $40 trillion, and the global UHNW population will exceed 250,000,” the report read. –Louella D. Desiderio (The Philippine Star)