High net worth individuals in Australia - statistics & facts
Australia is home to a growing population of high-net-worth individuals (HNWIs) and ranks in the top countries worldwide for the highest share of millionaires per adult population. HNWIs are defined as persons with investable assets of at least one million U.S. dollars, while ultra-high-net-worth individuals (UHNWIs) refer to those with investable assets of at least 30 million U.S. dollars. From a regional perspective, Australia sits among the top countries of residence for HNWIs in the Asia Pacific region. China leads the region with an overwhelming 9.2 million residents classified as HNWIs as of 2021, with this figure expected to almost double by 2026.
Recent tax cuts in Australia have been a topic of public and political debate. Analysis by the parliamentary budget office in 2022 showed that higher-income earners and HNWIs would benefit considerably from the changes, while low-income earners would see no benefit at all. How Australia manages its wealth gap and poverty in the country is likely to continue to be a hot topic for years to come.
Notable wealthy people in Australia
In 2022, there were 47 billionaires living in Australia. With an estimated 27 billion U.S. dollars net worth in 2023, mining magnate Gina Rinehart has topped the Australian rich list for over ten years running, and is one of the wealthiest women worldwide, after building her wealth through iron ore. A considerable share of billionaires in Australia has founded their wealth through mining, while real estate and technology are also popular industries among Australia’s super-rich. Lindsay Fox is another well-known billionaire in Australia. After being asked to leave school at age 16 for a lack of academic interest, he started working as a truck driver and soon after founded the aptly named logistics company ‘Linfox’ in 1956 with just one truck. Since then, Fox has accumulated a net worth of around 3.2 billion U.S. dollars as of 2022.Where do the ultra-rich invest their wealth?
In 2022, almost one-quarter of UHNWIs in the Australasia region had wealth invested in commercial property, while equities were owned by over one-fifth of the region’s UHNWIs. Popular investment sectors among the ultra-rich that year included retail, industrial and logistics, and offices. However, classic investment options are not the only places UHNWIs like to invest their wealth. Investments of passion are popular among UHNWIs residing in Australasia, with the majority planning to purchase art, wine, and jewelry as investments in 2023.The bottom line
Australia has long been considered one of the wealthiest nations in the world. The Australian population has the third highest average wealth per adult worldwide, with approximately 550 thousand U.S. dollars per person, trailing only Switzerland and the United States. The number of HNWIs living in Australia shows no signs of slowing down, while at the same time, more than one in ten Australians are living below the poverty line. The distribution of wealth in Australia was further impacted by the COVID-19 pandemic. While the majority of HNWIs in Australasia saw their wealth grow during the pandemic, the less fortunate share of the population faced soaring inflation rates increasing the cost of living.Recent tax cuts in Australia have been a topic of public and political debate. Analysis by the parliamentary budget office in 2022 showed that higher-income earners and HNWIs would benefit considerably from the changes, while low-income earners would see no benefit at all. How Australia manages its wealth gap and poverty in the country is likely to continue to be a hot topic for years to come.
