Number of USD millionaires in ČR grows to 17,000 in 2011

Prague, Oct 18 (CTK) - The number of dollar millionaires in the Czech Republic grew by more than 5 percent to 17,100 last year, while worldwide the growth did not exceed 1 percent, according to a report produced by companies Capgemini and RBC Wealth Management, presented by Capgemini yesterday.

The increase in the number of rich people in the Czech Republic was influenced by the growth of GDP, relatively low inflation, positive export balance and the position of the Czech crown currency.

In contrast, a drop in real estate prices and a decrease in market capitalisation had a negative impact.

Most Czech dollar millionaires are, just like elsewhere in the world, people with invested assets worth one to five million dollars. The assets were most frequently in the form of various saving products.

Worldwide, the number of people whose wealth exceeds one million dollars in value rose by 0.8 percent to 11 million last year. However, their financial wealth decreased by 1.7 percent to $42 trillion owing to impacts of various crises.

A significant part of the growth in millionaire numbers can be attributed to dollar millionaires with assets worth one to five million dollars who make up 90 percent of the global population of dollar millionaires.

The only region that registered a drop in the number of rich people was North America which was overtaken by Asia-Pacific where there are 20,000 more dollar millionaires than on the North America continent at the moment.

Still, North America remains a region with the highest concentration of world wealth - that is $11.4 trillion compared with $10.7 trillion in Asia-Pacific.

In Europe, the number of dollar millionaires increased by 1.1 percent to 3.2 million, but their wealth decreased by 1.1 percent to $10.1 trillion.

"The development in Europe is being significantly influenced by the debt crisis which has lasted for too long," Capgemini chief executive Zdenek Pribyl said.

Fifty-three percent of all millionaires live in the USA, Japan and Germany. The number of the richest people is the highest in the USA which is a residence to 3.1 million dollar millionaires.

China, which ranked fourth, registered a sharp growth in the number of millionaires, but their absolute number is lower there than in the leading countries. The Chinese invest large sums in art and antiques which are not included in the calculations of freely investable wealth.

Uncertainty led many investors to safe depositing of their assets in 2011. Wealth was influenced by a number of various economic factors.

Stock and commodity markets were falling and investment in tangible assets was losing in value, so that investors focused on cash and and fixed income when protecting their capital.