The wealth of billionaires worldwide has more than doubled over the past decade, surpassing the growth of global stock markets. The cumulative fortune of billionaires increased by 121% from 2015 to 2024, reaching an astonishing $14 trillion. This significant growth is mainly attributed to the booming technology sector.
In contrast, the MSCI AC World index, a benchmark for global equity markets, grew by 73% during the same period. The number of billionaires also saw a substantial rise, reaching 2,686 in 2021. This growth trajectory has remained stable since then, indicating a robust environment for wealth accumulation among the ultra-rich.
When examining regional wealth dynamics, Chinese billionaires experienced a doubling of their wealth from 2015 to 2020, but it has since declined due to challenges in the Chinese economy and real estate sector. On the other hand, North American billionaires have consistently seen their fortunes rise, with a cumulative wealth of $6.1 trillion in 2024. This growth can be attributed to a resilient economy and the dominance of technology firms.
While billionaire wealth has surged, the real estate sector has underperformed. Factors such as a correction in the Chinese real estate market, disruptions in commercial real estate due to the COVID-19 pandemic, and rising interest rates in the United States and Europe have contributed to this underperformance. This decline in real estate fortunes serves as a cautionary tale for investors.
Looking ahead, the trajectory of billionaire wealth will continue to be influenced by technological advancements and economic shifts. The technology sector is expected to remain a primary driver of wealth accumulation. However, challenges in sectors like real estate may prompt a reevaluation of investment priorities among the ultra-wealthy. The strategies employed by billionaires will need to be agile and responsive to emerging trends in order to navigate the dynamic nature of global markets.