Monday, 27 June 2011

Where the Wealth is being Created in 2011

In March the Forbes Rich List was published and in April the Sunday Times Rich List. They make interesting reading.

In 2011 The USA still has the most billionaires in the world with 413, followed by China with 115, and Russia with 101. The UK is classified in 8th position with 32 billionaires, behind Germany with 52 billionaires, but ahead of Spain with 15, France with 14 and Italy with 14.
However, there has been a radical shake up of the countries comprising the list since 2008. 

The USA has lost 46 billionaires, while still retaining the top spot. But China had only 42 billionaires in 2008 and now has 115. Wealth is being created at an incredible rate in China, probably the fastest wealth creation in history, with the possible exception of the internet years of 1994-2000 in the United States.

France has 5 billionaires in the top 100, while the UK has only one in the top 100 billionaires in the world. And what is happening in Turkey where they now have 38 billionaires, even more than the UK?

It is interesting to see where wealth is being created in the UK. The make up of the Sunday Times UK Rich List is composed of 198 people in property and land, and 180 in finance and 125 in industry. There are also:-

83 in film, media, music and sport
81 in retailing
62 in computers, telecoms and the internet.
61 in food retailing, drinks and food production
54 in leisure, hotels and travel
39 in construction.
33 in business services and recruitment
31 in pharmaceuticals and health care
27 in car sales and wholesalers
26 in transport, shipping and aviation

Traditionally the UK has had the largest number of individuals in its Rich List being composed of those in land and property, reflecting its position as a small country with a large population. However, its biggest growth in wealth appears to be coming from the second group in finance, with 180 people. These are the hedge fund managers, who have set up their bases around London since the 1990’s. These should not be confused with the bankers. This group have shown a steady growth from 160 in 2009 and 170 in 2010.

London and the South East is the overwhelming centre of wealth creation and retention, with over half of the 1,000 richest people in the country were born, live or have their businesses in the area. The remaining rich are spread around the country fairly evenly.

It is good to know that even though we are passing through a difficult recession, wealth creation goes on unabated, and there are more and more opportunities around the world to partake in this fascinating and challenging task.

No comments:

Post a Comment

Please add appropriate comments