Global wealth surges in 2017 - Credit Suisse report


Credit Suisse was fined in the forex probe

Credit Suisse Group AG on Monday agreed to pay $135 million to NY to resolve a probe of misconduct in its foreign exchange business, which the state's banking regulator said deceived customers to enhance its own profits.

At the other extreme, the poorest half of the world's population - 3.5 billion people - own just 2.7 per cent of global wealth, which grew faster in the past year than at any time since 2010, reaching a total of $280 trillion.

The top one percent now own 50.1 percent of the world's wealth, up from 45.5 percent in 2001. In the 10 years since the peak of the financial crisis, it turns out that global wealth has grown by 27%. The Millennial group as a whole may face some ongoing challenges that prior generations have not faced.

According to the report, growth in Europe was the second highest of all regions, but the United Kingdom was singled out as having an "uncertain" outlook because of Brexit.

"The share of the top 1% in the household portfolio, which fell during 2000- 2008 and then began to rise after 2008, raising the wealth of numerous richest countries, and of numerous richest people", the reports says.

Not everyone expects to acquire such wealth, however, especially millennials. Issues hurting Millennials were tighter mortgage rules, growing house prices, increased income inequality and lower income mobility, all adding up to holding back wealth accumulation by young workers and savers in many countries.

The richest 1 per cent of people in the world now own half of the planet's wealth, according to a new report that highlights breathtaking levels of global inequality. High student debt in some countries was also referenced.

The number of millionaires has increased by 170% globally since the year 2000.

The report showed that there are now more than 36 million global millionaires in dollar terms.

It said global wealth should continue to grow at a similar pace to the last half a decade (3.9 percent expected and 3.8 percent recorded over last five years), albeit at a slower rate than the previously estimated 5.4 percent.

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