There Are More Billionaires In Moscow Than In New York, But London Has The Most

There Are More Billionaires In Moscow Than In New York, But London Has The Most

Tyler Durden on 05/11/2014 16:41 -0400

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If the fame and status of a major global metropolis is determined by the number of billionaire inhabitants, then Moscow has officially overtaken New York City, with the Russian capital hosting 48 billionaires compared to NYC’s 43. More importantly, the number continues to rise even as economists and other so-called experts debate the reasons for society’s record inequality even though the answer stares all of them in the face (at least it would if their face were facing the chart below).

But while we are confident Putin will take particular enjoyment in this specific fact (and don’t worry about sanctions impacting Russia’s billionaires – the banks will always find loopholes to make sure their best clients don’t wire their funds elsewhere), the real story is what is going on in London, where as anyone who has tried buying an apartment flat in Mayfair will confirm, the situation is absolutely out of control, and as the Sunday Times reports as part of its annual Rich List, London now has a whopping 72 billionaires, nearly double the number residing in New York!

And it is not just London: with 104 billionaires living in the UK, and commanding a combined wealth of £301 billion, the UK has more billionaire per capita than any other country.

The increase in one year is startling, and represents an 18% jump from the 88 in 2013, as well as a 23% increase in the total wealth of the billionaire universe, up from £245 billion a year ago.

As BBC reports, “It is the first time since 2008 that the minimum wealth of the 50 richest people in the UK has exceeded £1.5bn.” And you know that at least a whopping $4.99 of this will be spent on thank you notes to Bernanke, Draghi and Carney.

A fortune of £1.7 billion is now required to make the top 50 – up from £700 million 10 years ago. Aside from that though, and everything else, deflation reigns supreme…

More from the BBC on the changing compsition of the list :

New members of the list include West End producer Sir Cameron Mackintosh, who is now worth £1bn, and Jon Hunt, the founder of estate agents Foxtons who is worth £1.07bn.

 

The wealthiest new entry is Carrie and Francois Perrodo and their family, who own the London-based Perenco oil and gas operation and are worth an estimated £6.14bn.

 

Philip Beresford, who compiles the list, told the BBC “culture, financial services, nice tax regime, good education for their kids and a nice lifestyle where they meet their friends” were among the reasons billionaires were attracted to the UK.

 

BBC financial correspondent Andrew Verity said the increase in the number of billionaires on the list undermined the argument that making them pay more tax would drive them away.”

Some other statistics:

More than half (39) of London’s billionaires were born outside the UK, but overall the proportion was lower, with 44 of the 104 not born in this country.

Also, it goes without saying that as IBTimes summarizes, “the figures are likely to add to concern that though the recession may be over, the rich are reaping the greatest rewards from the recovery, with the amount of wealth in the hands of the rich list members leaping by £55.4bn in a year.

Oh well, as long as the 99% still believe the lie that the welfare state is solvent (which keeps the guillotines at bay or else the French revolution scenario becomes all too real), and more importantly that since plasma TVs are getting hedonically cheaper and the BLS can say with a straight face that there is disinflation everywhere, the theft from what little is left of the middle class will continue.

Meanwhile, the beneficiaries of this wealth transfer are the people listed below which comprise the Top 25 of the Sunday Times rich list.

Sri and Gopi Hinduja, £11.9bn, up £1.3bn

Alisher Usmanov, £10.65bn, down £2.65bn

Lakshmi Mittal and family, £10.25bn, up £250m

Len Blavatnik, £10bn, down £1bn

Ernesto and Kirsty Bertarelli, £9.75bn, up £2.35bn

John Fredriksen and family, £9.25bn, up £450m

David and Simon Reuben, £9bn, up £719m

Kirsten and Jorn Rausing, £8.8bn, up £3.69bn

Roman Abramovich, £8.52bn, down £780m

The Duke of Westminster, £8.5bn, up £700m

Galen, Hilary and George Weston and family, £7.3bn, up £650m

Charlene de Carvalho-Heineken and Michel de Carvalho, £6.36bn, down £635m

Mohamed Bin Issa Al Jaber and family, £6.16bn, up £1.65bn

Carrie and Francois Perrodo and family, £6.14bn, new

German Khan, £6.08bn, new

Sir David and Sir Frederick Barclay, £6bn, up £3.65bn

Hans Rausing and family £5.9bn, up £1.18bn

Nicky Oppenheimer and family, £4.57bn, up £785m

Earl Cadogan and family, £4.2bn, up £525m

Joseph Lau and family, £4.03bn, down £570m

Sir Philip and Lady Green £3.88bn, no change

Denis O’Brien, £3.85bn, up £486m

Mike Ashley, £3.75bn, up £1.45bn

Sir Richard Branson and family, £3.6bn, up £86m

Idan Ofer, £3.43bn, new

 

 

About bambooinnovator
Kee Koon Boon (“KB”) is the co-founder and director of HERO Investment Management which provides specialized fund management and investment advisory services to the ARCHEA Asia HERO Innovators Fund (www.heroinnovator.com), the only Asian SMID-cap tech-focused fund in the industry. KB is an internationally featured investor rooted in the principles of value investing for over a decade as a fund manager and analyst in the Asian capital markets who started his career at a boutique hedge fund in Singapore where he was with the firm since 2002 and was also part of the core investment committee in significantly outperforming the index in the 10-year-plus-old flagship Asian fund. He was also the portfolio manager for Asia-Pacific equities at Korea’s largest mutual fund company. Prior to setting up the H.E.R.O. Innovators Fund, KB was the Chief Investment Officer & CEO of a Singapore Registered Fund Management Company (RFMC) where he is responsible for listed Asian equity investments. KB had taught accounting at the Singapore Management University (SMU) as a faculty member and also pioneered the 15-week course on Accounting Fraud in Asia as an official module at SMU. KB remains grateful and honored to be invited by Singapore’s financial regulator Monetary Authority of Singapore (MAS) to present to their top management team about implementing a world’s first fact-based forward-looking fraud detection framework to bring about benefits for the capital markets in Singapore and for the public and investment community. KB also served the community in sharing his insights in writing articles about value investing and corporate governance in the media that include Business Times, Straits Times, Jakarta Post, Manual of Ideas, Investopedia, TedXWallStreet. He had also presented in top investment, banking and finance conferences in America, Italy, Sydney, Cape Town, HK, China. He has trained CEOs, entrepreneurs, CFOs, management executives in business strategy & business model innovation in Singapore, HK and China.

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