The Migration of the Wealthy
The high net worth individuals (HNWIs) – those, whose wealth exceeds US$1 million – enjoy major freedom to travel and relocate when and where they decide to, and the reasons they may have for moving vary. Some may be attracted by more favourable tax jurisdiction, others by safety or better climate, or just chase new experience and change of scenery.
The map, based on the annual Global Wealth Migration Review, depicts the migration of the world’s millionaires, and allows to see which countries are attracting and which are losing wealthy citizens.
It is a well-known fact that in the past 20 years China has produced an incredible number of millionaires. Even though the country continues to make its citizens very wealthy, more than 15,000 Chinese HNWIs chose to migrate to other countries in 2018, making China the leader in wealth migration.
The wealthy citizens have the means to leave the country whenever things start to look unhealthy, whether economically or socially, so the increase in HNWIs outflow can be a worrying indicator
For instance, Turkey has lost more than 4,000 millionaires last year, and the tendency has been there for three consecutive years. About 10% of Turkey’s wealthy have left the country, which, unlike China and India, is not creating new millionaires in such great numbers.
This year the leading position among countries attracting the world’s HNWIs definitely belongs to Australia, even though the traditional reputable destinations like Switzerland and the Cayman Islands still remain popular.
The reasons for such a success among the rich and the powerful include Australia’s robust economy, safety, low health care cost and no inheritance tax, among other benefits.