"According
to a BCG study, ultra-high-net-worth (UHNW) households were mostly concentrated
in Saudi Arabia which registered 18 per 100,000 households," Massi told a
press briefing at the Four Seasons Hotel recently.
He added
that Saudi Arabia was followed by Switzerland (10), Hong Kong (9), Kuwait (8),
Austria (8), Norway (7), Qatar (6), Denmark (5), Singapore (5) and the UAE (5).
Massi added
that the findings are published in BCG's 11th annual Global Wealth Report entitled
"Shaping a New Tomorrow: How to Capitalize on the Momentum of
Change," which was released recently in the Middle East.
An UNHW
household has more than $100 million in assets under management (AuM). These
assets could be in the form of stocks, private equity, bank deposits and
assets.
He said
the big concentration of UHNW households in Saudi Arabia compared to other
countries is due to its strong economy, adding "it bodes well for the AuM
industry in the Kingdom."
"Positive
trends also emerged for the Middle East and Africa overall, as assets under
management rose 8.6 percent to hit $4.5 trillion in 2010 and with expectations
to reach $6.7 trillion by 2015," said the Dubai-based Massi.
He added
that growth in the Middle East and Africa was "somewhat above the global
average, at 8.6 percent."
Massi
added that wealth management in Saudi Arabia and other countries in the Middle
East is still very much a growth industry and many local wealth managers and
private banks are only now getting their business models — including offerings
and service delivery — at a level that is comparable with more developed
regions.
"The
growth of Islamic Wealth Management is also an advantageous trend for wealth
managers in the region — as their proximity to clients and their expertise
makes the GCC countries a natural Islamic Wealth hub," Massi said.
