Despite stellar liquid asset growth in 2019 due to impressive financial market performance and confirmation the UK would leave the EU, 2020 was a different story due to the COVID-19 pandemic and the financial crash that occurred as a result. In this time of crisis, riskier asset classes such as equities and mutual funds were affected the most, and investors jumped into safe haven asset classes such as deposits and bonds. Looking ahead, 2021 is expected to be a more prosperous year for affluent individuals as the UK economy and financial markets continue to recover off the back of mass vaccinations and the UK reaching a last-minute trade deal with the EU.
Based on our proprietary datasets, this report analyzes the UK’s wealth and retail savings and investments markets, with a focus on the high net worth (HNW) segment. This includes the overall affluent market size (both by number of individuals and the value of their liquid assets) as well as a breakdown of liquid vs. illiquid HNW holdings. The report also provides analysis of the factors driving liquid asset growth, including a breakdown and forecast of total retail savings and investments split by asset classes including deposits, mutual funds, equities, and bonds.
– 2020 is predicted to have seen 1.5% and 1.4% decreases in the number of HNW and mass affluent individuals in the country respectively.
– We expect the HNW population to increase by 7.9% and the mass affluent segment to grow by 6% in 2021.
– Liquid assets held by HNW individuals are set to record a CAGR of 6% over 2020-25.
– As of January 2021, personal and household goods then healthcare were the top two sectors in terms of market share on the FTSE 100.
Reasons to Buy
– Make strategic decisions using top-level historic and forecast data on the UK wealth industry.
– Identify the most promising client segments by analyzing the penetration of affluent individuals.
– Receive detailed insights on retail liquid asset holdings in the UK.
– Understand investment behavior trends among the UK’s HNW, mass affluent, and mass market individuals.
Bank of England
Table of Contents
Table of Contents
The UK Wealth Market
Resident Savings & Investments