Nomadic millionaires are increasingly relocating due to changes in the global economy. Luxembourg has the highest number of millionaires per capita, according to the 2024 Global Wealth Report by Swiss bank UBS.
The global wealth landscape is shifting as nomadic millionaires move in response to structural economic changes. Paul Donovan, chief economist at UBS Global Wealth Management, noted that countries like the United Kingdom and the Netherlands, which have traditionally attracted many millionaires, are expected to see declines in their millionaire populations.
“These countries have more millionaires than expected for their economy size,” Donovan said to Investment Officer. “This includes local entrepreneurs who have accumulated wealth and nomadic millionaires who have chosen to live in cities like Amsterdam or London.”
1.2 mln Dutch millionaires
In 2023, the Netherlands had 1.23 million millionaires, but this number is expected to decrease by four percent to 1.18 million by 2028, according to UBS. Similarly, the UK is projected to see a sharper decline, with the number of millionaires dropping by seventeen percent to 2.54 million over the same period. UBS attributes these declines not to local wealth generation issues but to the mobility of global millionaires seeking opportunities in emerging markets.
“The UK and the Netherlands are favored by millionaires, so any movement will likely impact their millionaire growth,” Donovan explained. “Local wealth generation is strong, but the global nomadic element adds volatility.”
This trend is driven by the evolving dynamics of wealth creation and accumulation. Today’s millionaires are increasingly looking beyond Europe to regions with better business opportunities and economic growth, such as Asia and the United States.
Shift in wealth focus
“If you’re a nomadic millionaire entrepreneur in Europe, you might now consider moving to Singapore, Taiwan, or the United States because wealth focus is shifting,” Donovan said.
UBS projects that wealth per adult will continue growing in almost all markets. Emerging markets, especially in Asia, are expected to see significant growth, with their share of global wealth projected to exceed thirty percent in 2024. In some markets, like Taiwan and Turkey, the number of millionaires is forecast to increase by up to forty percent over the next five years.
Luxembourg tops per-capita list
Luxembourg remains the country with the highest number of millionaires per capita at sixteen percent, followed by Switzerland at just below fifteen percent, and Hong Kong and Australia at almost ten percent. In terms of average wealth, Luxembourg was second only to Switzerland, with average wealth at 607,524 dollars compared to Switzerland’s 708,612 dollars.
Donovan referred to the current “period of rapid structural upheaval,” highlighting the volatility of the nomadic millionaire segment compared to the steady growth of local wealth. “In a period of rapid structural upheaval, this churn is not unexpected,” he said. “We need to distinguish between local wealth growth, which is steady, and the more volatile nomadic wealth.”