Smart SpendingSmart Spending

World could have 11 trillionaires this century

A new report shows that 0.7% of the world's population holds 41% of its household wealth.

By businessed Oct 10, 2013 12:27PM

This post is by Ben Eisen of MarketWatch.

 

MarketWatch on MSN MoneyIn the past year, aggregate global household wealth increased by 4.9% to reach $241 trillion, a sign that even as the tepid economic recovery plays out, households are still accumulating wealth.  And that number is poised to grow over the next five years by 40%, reaching $334 trillion, according to Credit Suisse’s annual Global Wealth Report, out this week.

 

Businessman holding money magnet (© Tijana87/iStock/360/Getty Images)It’s pretty disconcerting to see over two-thirds of the world’s adults have wealth of less than $10,000, while the wealthiest 0.7% hold 41% of the world’s wealth.

 

But there are some heartening signs in the report. One suggests that some measures of mobility are high. Future projections of growth rates based on historical averages show that the fraction in the bottom category of wealth will fall steadily over a 60-year time-frame. After the first 30 years, the number of people currently at the bottom will be cut nearly in half. The authors write:

“Two generations ahead, future extrapolation of current wealth growth rates yields almost a billion millionaires, equivalent to 20% of the total adult population. If this scenario unfolds, then billionaires will be commonplace, and there is likely to be a few trillionaires too – 11, according to our best estimate.”

 

More from MarketWatch:

 

 

307Comments
Oct 10, 2013 1:06PM
avatar
Yeah,  I guess a BILLION DOLLARS just isn't what it used to be,  is it?
Oct 10, 2013 1:03PM
avatar
By all means, be a Trillionaire...its so easy even Billionaires can do it.

This tweet from Amenhotep: " Now a Trillionaire and enjoying all the comforts
of the Afterlife where - in a strange turnabout of events- one does not need money,
only an accumulation of good deeds."

Whats in Your Wallet?

avatar
I will certainly be on this list. Thanks to my friends in D.C. and the many grants and subsidies I receive, I can't help but to become enriched. Whenever I need citizens tax money, I visit D.C..  Stay thirsty my friends
Oct 10, 2013 2:04PM
avatar
The accumulation of wealth isn't my goal in life.  I make a comfortable living, have no debt, have all of my needs & a good percentage of my wants covered.  That's good enough for me.
Oct 10, 2013 1:08PM
avatar
Where can I get one of those money magnets?
avatar
There is something seriously wrong with world.  What the hell would anyone need a trillion dollars for?  Do you really think we will be around in 87 years?  I think greed will consume the world.
Oct 10, 2013 1:33PM
avatar

At the rate of inflation, I should be a millionaire with $10,000 in a few years with a gallon of milk at $50.

Oct 10, 2013 1:37PM
Oct 10, 2013 1:37PM
avatar
Trillionaires that is great!  and 
still starving children not just all over the world, but right here in the good USA... somehow it just seems sooo unfair.  But ultimately there is one judge up there, and one has to live with what we don in this life... 

Oct 10, 2013 2:49PM
avatar
The number in "the bottom category of wealth" may decline, but the great middle will become poorer while the oligarchs prosper. That doesn't seem like progress to me.
Oct 10, 2013 2:40PM
avatar
For the common people to allow a person to gain a trillion dollars, while they refuse to pay their employees sustainable salaries, is disgusting. They are only able to do this because they abuse their employees. We are idiots for allowing it to happen. Maybe, some place in the future, the people will say enough and take the money from those greedy, heartless, individuals. There is enough for everyone who wants to to live comfortably.   I don't expect most of you to understand my logic.
Oct 10, 2013 3:14PM
avatar
The way CEOs steal their companies blind these days.  I can believe it.
Oct 10, 2013 3:10PM
avatar
I have enough money to live comfortably for the rest of my life, Providing I die in a month and two weeks.  
Oct 10, 2013 2:38PM
avatar
Why does the human race tolerate this abuse of itself?
In order to create one trillionaire millions have subsist in total poverty
Oct 10, 2013 2:11PM
avatar
So many in need around the world, and we have people like this that have more money than any human being can possibly require. Where's Robin Hood when you need him. I hope they choke on the caviar. 
Oct 10, 2013 1:33PM
avatar
A billion here, a billion there.  Pretty soon you are talking about some real money!
Oct 10, 2013 1:38PM
avatar
Look how much the value of a dollar has dropped since the start of the last century.  If we keep up this pace, in another hundred years, a trillion will probably be the equivilent of $10 billion today.  We already have more than 100 people who have a net worth of more than $10 billion.
Oct 10, 2013 1:39PM
avatar
When the Federal Reserve prints $85 billion a month ($3 billion a day), then yeah, that money has to go somewhere...frequently into the pockets of the crony capitalists like Warren Buffett who are on the government's favorites lists with their tax-free foundations.
Oct 10, 2013 2:36PM
avatar
0.7% holding 41% of the wealth. THAT tells the real tale. Notice how the thugs in Congress called Republicans (Conservatives) do everything they can to put more money in the pockets of that 0.7% (calling them 'Job Creators', thought calling them that doesn't make them that, and in fact they are hoarding the wealth, not spending it or creating jobs with it) - and trying to cut any program that helps the non-rich, because that takes away from the money that the rich can hoard. The rich believe ALL the money is theirs, and so do the Republicans, who are beholden to the rich and paid off by them.
Oct 10, 2013 2:04PM
Report
Please help us to maintain a healthy and vibrant community by reporting any illegal or inappropriate behavior. If you believe a message violates theCode of Conductplease use this form to notify the moderators. They will investigate your report and take appropriate action. If necessary, they report all illegal activity to the proper authorities.
Categories
100 character limit
Are you sure you want to delete this comment?

DATA PROVIDERS

Copyright © 2014 Microsoft. All rights reserved.

Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.

ABOUT SMART SPENDING

Smart Spending brings you the best money-saving tips from MSN Money and the rest of the Web. Join the conversation on Facebook and follow us on Twitter.

VIDEO ON MSN MONEY

TOOLS

More