This report is the result of WealthInsight’s extensive research covering the HNWI population and Wealth Management industry in Australia.
Key Highlights
- There are just over 274,000 HNWIs in Australia, with an average wealth of US$3.1 million per person and a combined wealth of US$845 billion.
- The number of Australia’s HNWIs increased by 8.9% (2.2% pa) over the review period (2007-2011), while total wealth grew by 0.9% (0.2% pa).
- The number of Australian HNWIs is expected to rise by 20% (4.7% pa) from 2011 to reach over 330,000 individuals by 2015, while HNWI wealth will grow by 26% (6.0% pa) to reach US$1.1 trillion in 2015. Most of the growth in wealth will be driven by the lower-tier millionaires, whose wealth is expected to rise by over 33%.
- Australia is one of the largest private banking centres in Asia, with AuM of US$350 billion. The local market is dominated by local wealth managers and family offices. The single family office segment alone constitutes over US$180 billion in AuM.
- It should be noted that the size of the wealth management industry is limited by the dominant pension fund market, which makes it less necessary for core millionaires, and especially lower-tier millionaires, to use wealth managers.
- New South Wales is home to the largest number of SFOs in Australia (39%), followed by Victoria (27%), Queensland (19%) and then Western Australia (11%).
- Western Australia offers the greatest potential for new family offices as it has relatively few SFOs compared to its total number of UHNWIs
