Quick Bite | The Asset Allocation of Ultra Wealthy

It’s always interesting to know how other people allocate their assets or their wealth. Of course, we would highly recommend that any client consult with an accredited, experienced and reputable investment adviser to determine an asset allocation that might be suitable for their particular objectives and circumstances. But the pie-chart below, from Visual Capitalist, refers to a group called Ultra High Net Worth Individuals (UHNWI) who are those with net worth in excess of USD 30 million (including their primary residence) equivalent to around AUD 47 million. Apparently, the data has been collected from a global survey of over 500 wealth managers, family offices, and private bankers that oversee a combined $2.5 trillion in assets, sourced from Knight Frank’s 2023 Wealth Report.

What do the Ultra Wealthy invest in?

Source: Visual Capitalist


As the table above shows, primary and secondary homes make up 32% of total wealth, the largest share across assets. The average UHNWI owns 3.7 homes. Investments in equities comprised almost 20% of UHNWI wealth, with those in the US having the highest share of wealth in equities (33%) followed by Europe (28%) and Asia (26%).

Private equity and venture capital investments, which include investments in startup companies that have not yet gone public, accounted for 6% of total wealth on average. A separate report shows that the average investment in a private equity company ranges between $1.8 million and $6.9 million for UHNWI investors. “Investments of passion”, which include a range of luxury items from art to classic cars, make up an average 3% of the total wealth of the ultra-rich.

Source: Visual Capitalist



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