In 2023, the number of ultra-high-net-worth individuals (UHNWIs) in Vietnam with a net worth of US$30 million or more will increase by 2.4% to 752, according to the newly released 2024 Knight Frank Wealth Report. Although this growth is not as substantial as in neighboring countries such as Malaysia (4.3%), Indonesia (4.2%) and Singapore (4%), it is three times higher than the growth rate in Thailand (0.8%).
The report predicts that Vietnam's UHNWI population will reach 978 by 2028, an increase of 30%. This growth is expected to exceed the growth rates of South Korea (29.5%), Hong Kong (22.4%) and Singapore (15.7%). As a result, Vietnam will rank fifth in terms of growth rate in the Asia-Pacific region.
Knight Frank uses a "Wealth Measurement Model" that it has developed and refined over the past decade to identify the number of ultra high net worth individuals in various countries. This methodology incorporates various data sources collected by the company, as well as machine learning technology designed to take into account factors such as geopolitical situations that may affect underlying economic relationships.
Globally, the report shows a 4.2% increase in the number of UHNWIs from 601,300 to 626,619, with nearly 70 new ultra high net worth individuals joining the ranks every day. North America and the Middle East led the growth with increases of 7.2% and 6.2% respectively, while Latin America saw a decline in the number of wealthy individuals. Although Europe is less active in creating new wealth, the continent remains home to the top 1% of the world's wealthiest individuals.
Asia is experiencing the fastest growth at 38.3%. It is predicted that this region will maintain its high growth rate over the next five years and will have up to 228,849 ultra high net worth individuals by 2028.
Kevin Coppel, CEO of Knight Frank Asia-Pacific, observes that as lifestyles become more affluent, wealthy and ultra-wealthy individuals in Asia continue to be interested in luxury investments. Mr. Coppel highlights that successful entrepreneurs and high net worth individuals across various continents continue to choose to invest their money in luxury purchases in order to diversify their investment portfolios and realize the significant profit potential offered by this asset class.
