Rising disposable income, a relatively strong economic outlook, and a healthy stock market performance will all drive growth in the German wealth market. The retail savings and investments market increased by 4.8% in 2015, and is forecast to grow by 4.3% a year to 2019, reflecting the maturity and strength of the sector in Germany. Indeed, compared to many of its European peers, the German economy is in relatively good shape. Domestic consumption is increasing, with record employment, rising wages, and falling oil prices combined with low interest rates and inflation all fueling growth
Key Findings
* Affluent individuals account for 20% of the German population, holding 77% of liquid assets. This wealth distribution is similar to other developed economies.
* Increasing disposable income, a relatively strong economic outlook, and a healthy stock market performance will drive growth in the savings and investments market, which is forecast to grow by 4.3% a year to 2019.
* Deposits dominate, accounting for 67% of balances. This reflects a habitual, persistent risk aversion that is forecast to remain, in spite of the European Central Bank (ECB) lowering the main interest rate to 0%.
* Germany's stock market performance, alongside the poor returns available in other asset classes, is increasing investor appetite in equities and mutual funds, which will grow by 7.9% and 5.5% respectively a year to 2019. In contrast, negative yields are deterring investors from the bond market, which is forecast to decline by 4.8% a year to 2019.
* Germany's high net worth (HNW) individuals invest 28% of their investible assets outside traditional investments. Property accounts for two thirds of illiquid assets, where returns are greater than in some other liquid asset classes.
* Offshore investments account for 9% of HNW individuals' illiquid assets, distinctly below the global average. These investments are driven by the desire for better returns rather than tax efficiency.
Full Report Details at
- http://www.fastmr.com/prod/1171404_wealth_germany_sizing.aspx?afid=301
Synopsis
Wealth in Germany: Sizing the Market Opportunity analyzes the German wealth and retail savings and investments markets, with a focus on the HNW segment. The report is based on our proprietary datasets.
Specifically the report:
* Sizes the affluent market (both by the number of individuals and value of their liquid assets) using Verdict Financial's proprietary datasets.
* Analyzes which asset classes are favored by German investors and how their preferences impact the growth of the total savings and investments market.
* Examines HNW clients' attitudes towards non-liquid investments, such as property and commodities.
* Identifies key drivers and booking centers for offshore investments.
Reasons to Get this Report
* Benchmark your share of the German wealth market against the current market size.
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Now Available: Wealth in Germany
Company: Fast Market Research, Inc.
Contact Name: Bill Thompson
Contact Email: press@fastmr.com
Contact Phone: 1-413-485-7001
Contact Name: Bill Thompson
Contact Email: press@fastmr.com
Contact Phone: 1-413-485-7001