S'pore will have more millionaires per population v US, China by 2030: HSBC

[Stary]

1 hour ago, Playtime said:

i never understood why people so happy when they hear hdb hit 1 million.

for me... it means our children are royally fxxked.... how to be cheapest and accept lower wages to compete with FT.

err...children can do this right?

1) Buy BTO......then inherit parents $1m HDB when they gone.  Sell it,  got lots of $$$

2), Can't afford to buy BTO (not likely) , then either rent or stay with parents.  Inherit parents $1m HDB when they gone. 

Either way, they get to inherit a $1m HDB.  Why worry for them? I would rather worry for the parents...did they enjoy their life before they are gone?

Edited August 18, 2022 by Starry

[Jamesc]

I am already a millionaire and I am happy to donate.

Any good looking young ladies welcome.

[Jamesc]

We will have many millionaires like Indonesia and Vietnam?

[Mooose]

2 hours ago, DOBIEMKZ said:

The Republic, where 7.5 per cent of the adult population had wealth of at least US$1 million (S$1.38 million) in 2021, would see the share of millionaires rise to 9.8 per cent in 2025 and then jump to 13.4 per cent in 2030.

...

To measure the wealth of the millionaires, HSBC said it used their cash in banks and investment in securities such as stocks and bonds. It also took into account real estate holdings, which include owner-occupied properties, after deducting any outstanding mortgage amounts. 

 

They use USD 1 million, counting cash, stocks, bonds plus the house but minus mortgage owing ..

Not so straight forward for HDB owners even if they have SGD 1 million flats .. need to have fully paid the mortgage, and have another SGD 400,000 or so in cash, stocks or bonds ..

 

[Throttle2]

2 hours ago, Turboflat4 said:

Even now, millionaire = just middle-class.

Correct.

And i have been saying that for years, but people choose to see it as bragging. 

Same reason why $10k pm is really sup sup suay. 
 

 

[Soya]

3 hours ago, DOBIEMKZ said:

S'pore will have more millionaires per population v US, China by 2030: HSBC

https://www.straitstimes.com/business/economy/singapore-will-have-more-millionaires-per-population-vs-us-and-china-by-2030-hsbc

Ovais Subhani Senior Correspondent, PUBLISHED 17 AUG 2022, 1:33 PM SGT

The study looks at resident population that comprises citizens and permanent residents. ST PHOTO: DESMOND WEE

SINGAPORE - In the next eight years, the number of millionaires in Singapore as a share of its population will be more than that of the United States, China or any other economy in the Asia-Pacific region, said HSBC in a report.

The Republic, where 7.5 per cent of the adult population had wealth of at least US$1 million (S$1.38 million) in 2021, would see the share of millionaires rise to 9.8 per cent in 2025 and then jump to 13.4 per cent in 2030.

The study looks at resident population that comprises citizens and permanent residents.

To measure the wealth of the millionaires, HSBC said it used their cash in banks and investment in securities such as stocks and bonds. It also took into account real estate holdings, which include owner-occupied properties, after deducting any outstanding mortgage amounts. 

The bank said that in Asia, Singapore is already second to only Australia, whose share of millionaires per population stood at 8 per cent in 2021.

By 2030, Australia will drop to second place with 12.5 per cent of the nation holding cash and assets of at least a million US dollars.

By that year, 11.1 per cent of Hong Kong's population will be millionaires, 9 per cent for the US, 7.2 per cent for Japan and 4.4 per cent for China.

Singapore's share of residents with wealth of at least US$250,000 will rise to 67 per cent by 2030, second to Australia's 70.8 per cent, said the report titled The Rise Of Asian Wealth.

HSBC said the growth of millionaires in Asia will continue through 2035 with their projected share reaching 17 per cent for Singapore, ahead of 15.1 per cent for Australia and 14.6 per cent for Hong Kong.

However, in absolute terms, the countries with large populations will continue to lead the league of millionaires in the region.

The number of adults with wealth of at least US$1 million in China stood at 17.1 million in 2021. HSBC said that number will rise to 50.4 million in 2030. 

The number of Singapore millionaires will rise over the same period from 400,000 to 700,000.

Mr Frederic Neumann, HSBC's chief Asia economist, said the deepening pool of local savings across the region is providing a measure of resilience against the vagaries of global financial markets and hardship from rising inflation and slowing growth.

"An account of Asia's growing wealth also shines a light on the societal resources that are ultimately available to lift millions more out of poverty," he said in the report.

"After all, the region is hardly short of capital, even if this is unevenly distributed, both between and within economies."

He noted that financial wealth in Asia had started to exceed that in the US after 2008 with the start of the global financial crisis, the worst economic disaster to hit the US since the Great Depression. Asian financial wealth reached just shy of US$140 trillion in 2021, well above US$120 trillion in the US.

Japan accounted for over half of the wealth held in the region in the years following the global financial crisis. But by 2021, China's share climbed to 46 per cent while Japan's has fallen to a quarter.

However, excluding Japan, Asia's financial wealth is still lower than that of the US at around US$100 trillion.

But "given current trends in per capita income growth, wealth in Asia ex-Japan could surpass that in the US by 2025", said Mr Neumann.

The number of millionaires in Asia, excluding Japan, is projected to jump from roughly 30 million currently to over 76 million by the end of the decade, he added.

=================================================

13% of S'pore population to become millionaires by 2030, highest proportion among Asia-Pacific economies: HSBC report

https://www.todayonline.com/singapore/13-spore-population-become-millionaires-2030-highest-proportion-among-asia-pacific-economies-hsbc-report-1971636

BY NAVENE ELANGOVAN, Published August 17, 2022 (Updated August 18, 2022)

Singapore is expected to see its share of millionaires among its residents grow from 7.5 per cent in 2021 to 13.4 per cent by the end of the decade.

By 2030, more than 13 per cent of adults in Singapore will be millionaires, said an HSBC report

This is the highest proportion among 15 Asia-Pacific economies

In absolute terms, the number of millionaires in Singapore will rise to 700,000 in 2030, up from 400,000 currently

SINGAPORE — In eight years' time, more than 13 per cent of adults in Singapore will be worth more than US$1 million (S$1.38 million), a proportion higher than the United States, China and 12 other Asia-Pacific economies, said an HSBC report.

In Singapore, Australia, Hong Kong and Taiwan, there are likely to be more millionaires on a relative basis than in the US, with South Korea and New Zealand coming close, the report also said.

Comparatively, the US is expected to have 8.8 per cent of its adult population as millionaires by 2030 while the figure for China is expected to be 4.4 per cent.

Singapore is expected to see its share of millionaires among its residents, which comprise permanent residents and citizens, grow from 7.5 per cent in 2021 to 9.8 per cent in 2025 and up to 13.4 per cent by the end of the decade.

In absolute terms, this means that the number of millionaires in Singapore will rise to 700,000 in 2030, up from 400,000 currently.

The report by HSBC, titled "The Rise of Asian Wealth", looks at the rise of wealth in Asia. It was released on Tuesday (Aug 16).

Among other things, the report examines the projected number of residents that will reach certain wealth brackets in the coming years.

It does so based on the residents' bank deposits, investments in bonds and equities, assets held by pension funds or insurance companies, as well as their real estate holdings after deducting any outstanding mortgage amounts. 

It compares 15 economies in the region, including Singapore, China, Japan, Malaysia and Taiwan. 

Mr Frederic Neumann, HSBC’s chief economist for Asia, said that although the region is going through economic instability, it is nevertheless worth taking stock of Asia’s rising wealth at this juncture.

This is because the deepening pool of local savings provides “a measure of resilience against the vagaries of global financial markets”. 

“An account of Asia’s growing wealth also shines a light on the societal resources that are ultimately available to lift millions more out of poverty,” he added in the report.

S’PORE HAS SECOND HIGHEST PROPORTION OF MILLIONAIRES IN REGION

The report said that currently, Singapore has the second-highest (7.5 per cent) number of millionaire adults based on the percentage share of its population, just after Australia (8 per cent) and ahead of Taiwan (5.9 per cent).

By 2030, Singapore will take the top spot at 13.4 per cent, followed by Australia (12.5 per cent) and Hong Kong (11.1 per cent).

By the end of 2030, only around 4 per cent of adults in mainland China and less than 1 per cent of adults in India are likely to be millionaires, noted the report.

However, in absolute numbers, China will continue to have the highest number of millionaires, rising from about 17 million currently to 50 million by the end of the decade. This figure is projected to rise to nearly 80 million by 2035.

The number of millionaires in India is also set to hit 6.6 million by 2030, exceeding the whole of the Association of Southeast Asian Nations (Asean) region, said the report.

However, it noted that the large number of millionaires in some of these economies can be explained due to the large sizes of their population, on top of their wealth distribution and level of economic development.

INDIVIDUALS WITH AT LEAST US$250,000

At the slightly lower end of the income bracket, Singapore is also expected to see the proportion of its residents having at least US$250,000 of wealth standing at 67 per cent by 2030, up by about 10 percentage points from 2021.

In terms of the percentage share of the population, this will make Singapore the second-highest city in the region with individuals of this net worth, just after Australia at 70.8 per cent.

Both economies also occupy the same top two spots in this category in 2021.

In China, the number of adults with a net wealth of at least US$250,000 is expected to double by 2030 to around 350 million, while the figure in India could triple to 57 million.

Region-wide, the number of millionaires is projected to jump from about 30 million currently to more than 76 million by the end of the decade.

The report said that economies that are growing more rapidly tend to accumulate wealth faster.

For example, Vietnam, the Philippines and India are expected to see the number of adults holding wealth of at least US$250,000 more than double by 2030, with Indonesia and Malaysia “not far behind”.

 

Guess soon, we'll be saying $110k COE is cheep cheep......

 

[Spidey10]

count as millionaire but a bowl of won ton mee will set you back $30 at the hawker ctr......still feel like a millionaire ka!! 

rubbish!!

[Throttle2]

53 minutes ago, Spidey10 said:

count as millionaire but a bowl of won ton mee will set you back $30 at the hawker ctr......still feel like a millionaire ka!! 

rubbish!!

And thats what it is , here in Singapore.

which is driving people to retire outside.

Damn sad, right? 
 

 

[Scion]

how about a major financial crisis between now and 2030? surely there's a chance of it happening

either it wipes away much of the fortune, or create another round of inflation (if govt resort to printing money again)

[Victor68]

2 hours ago, Starry said:

err...children can do this right?

1) Buy BTO......then inherit parents $1m HDB when they gone.  Sell it,  got lots of $$$

2), Can't afford to buy BTO (not likely) , then either rent or stay with parents.  Inherit parents $1m HDB when they gone. 

Either way, they get to inherit a $1m HDB.  Why worry for them? I would rather worry for the parents...did they enjoy their life before they are gone?

Today, not all HDB are selling at $1m but soon if this trend continues. As you have just pointed out, sell parent's $1m HDB mean your HDB is also closer to that $1m mark and smaller and further 😆 . Inherit and stay in the $1m mean depreciated value due to the 99 years lease. Advantage is your CPF stay intact lah but poor parents didn't get to enjoy their fruit. So who is the winner of this cycle? 

[Lethalstrike]

Means CAT A $130k, CAT B $200k 🤣

[Sosaria]

5 hours ago, Playtime said:

i never understood why people so happy when they hear hdb hit 1 million.

for me... it means our children are royally fxxked.... how to be cheapest and accept lower wages to compete with FT.

this is true.

it's not like you can sell, collect your 1 mio then move to ecp to stay in a tent

even if you could, nparks will chase you out soon enough

[Sosaria]

2 hours ago, Throttle2 said:

Correct.

And i have been saying that for years, but people choose to see it as bragging. 

Same reason why $10k pm is really sup sup suay. 
 

 

frightening isn't it?

when a large part of our working population is not even touching 10k pm

[13177]

34 minutes ago, Victor68 said:

Today, not all HDB are selling at $1m but soon if this trend continues. As you have just pointed out, sell parent's $1m HDB mean your HDB is also closer to that $1m mark and smaller and further 😆 . Inherit and stay in the $1m mean depreciated value due to the 99 years lease. Advantage is your CPF stay intact lah but poor parents didn't get to enjoy their fruit. So who is the winner of this cycle? 

Your HDB no need to sell $1m also can profit until siao. You see so many HDB esp with good location, the flat already 30 years and above still can get fetch $600k and more already consider very good liao. Imagine how much these owners bought their flat back then?!

[Stary]

12 minutes ago, Sosaria said:

frightening isn't it?

when a large part of our working population is not even touching 10k pm

Jialat.....think have to go do one youtube channel.....

Maybe 1m views can get near to 10k/month if one view get 1 cent from ads......😁

Edited August 18, 2022 by Starry

[Victor68]

2 minutes ago, 13177 said:

Your HDB no need to sell $1m also can profit until siao. You see so many HDB esp with good location, the flat already 30 years and above still can get fetch $600k and more already consider very good liao. Imagine how much these owners bought their flat back then?!

True, but once you sell and get that $600k, where are you going to stay? You can get a $400k at the same location and same size? Basically you down grade. Whether you sell $300K and buy $100k you still pocket the same $200k right?

How about you don't buy but stay with one of your children? How much do they have to pay for their BTO or resale? Resale means buying your $600k. Isn't your family returning this back to the pool? 

[Playtime]

7 minutes ago, 13177 said:

Your HDB no need to sell $1m also can profit until siao. You see so many HDB esp with good location, the flat already 30 years and above still can get fetch $600k and more already consider very good liao. Imagine how much these owners bought their flat back then?!

but, this is literally robbing the next generation, the great wealth transfer from the new to the old. kinda pyramid scheme.

 its unsustainable and a one way street cos once in, very hard to get out.

[Rickster]

5 hours ago, Victor68 said:

How do we classify millionaire? Cash, Asset? And $1 million or $100 million? 

If it includes a person's primary place of residence and cpf, then yes, many Singaporean will hit it exceed 1m.

This report is just another piece of sensational journalism trash when they don't even define the term millionaire.