One in fifteen Luxembourg residents are millionaires

By next-door millionaires, the company means individuals with investable assets of 1 to 5 million US dollars. If we take the figures from the last population census in the Grand Duchy, this would mean that one resident in 15 would be a millionaire.

On top of these local millionaires, the report also believes there are 3,780 'intermediate' millionaires (individuals with between $5 million and $30 million to invest), as well as 268 'ultra-rich'(the assets to be invested must exceed 30 million dollars) in the Grand Duchy.  To establish these figures, the company claims to have based its market forecasts on regional statistics. Capgemini also surveyed more than 3,000 millionaires across 23 markets and conducted surveys and interviews with 140 executives working in wealth management.

"Sharpest fall" since 2008

Despite an almost inconceivable level of wealth for the average person, 2022 has been a particularly disastrous year the ultra-rich: Capgemini reports that the fall in the stocks resulted in the loss of 3,000 billion dollars of wealth worldwide.

The biggest falls were seen in the United States (-7.4%) and Europe (-3.2%). Luxembourg is nonetheless one of the better performers in this respect. Only France did better (-0.5%), while countries such as Denmark recorded losses of up to 7.5%.

To what do Luxembourgish millionaires owe this resilience?

According to Capgemini, Luxembourg experienced one of the lowest inflation rates. The government's aid during the pandemic and energy crisis were also commended. Kris Poté, the company's vice-president and spokesman, recalled that in the Netherlands, no aid was provided to the restaurant and hotel sectors, which resulted in major asset losses.

However, the big losers in 2022 were the ultra-rich, in Luxembourg as elsewhere. Although they were able to limit the damage, local millionaires still recorded a loss of wealth estimated at 0.7% by Capgemini.

Intermediate' millionaires lost 1.8%. Among the ultra-rich, the figure is almost 4%. Capgemini estimates that there will now be 2.9% fewer individuals with $30 million less in investable assets. As a result, the number of millionaires in the Grand Duchy will fall by an estimated 0.7% by 2022.