A global, nomadic approach to personal and professional life is a key factor to the success of millionaires around the world.
Eighty-eight percent of millionaires who left their birth country in search success rated quality of life as important and 79% family cited needs, while 67% said business interests were a key factor, according to a new research report.
Wealth Through the Prism of Culture and Mobility, released Monday by RBC Wealth Management and The Economist Intelligence Unit, investigated the investment, wealth transfer and charitable-giving behaviors of individuals who lived, worked or spent more than half their time outside their country of origin and had investable assets of at least $1 million.
The report examined how their global paths influenced the key wealth decisions of internationally mobile wealthy individuals.
“As globalized economies converge, high-net-worth individuals have increasingly international footprints, with personal and professional interests in multiple geographies,” George Lewis, group head of RBC Wealth Management & Insurance, said in a statement.
“Our experience working with high net worth clients around the world shows that their success is often strongly influenced by a global perspective about building, protecting and ultimately transferring wealth to future generations.”
The survey found that 60% of internationally mobile wealthy individuals generated the majority of their income from their country of residence, and 48% invested the majority of their income back into that country; 32% invested primarily in their country of origin.
IMWIs took a similarly global approach to what they invested in, with 36% favoring global equities, compared with 25% of millionaires who had stayed in their home country.
Real estate topped the list of preferred asset classes for the internationally mobile wealthy, with 53% having it as a high or very high proportion of their portfolio. Those living in the Asia/Pacific region in particular invested heavily in real estate compared with their counterparts in North America and Western Europe: 31% versus 7% and 10%, respectively.