4th January 2023

North America

Wealth trends to watch in 2023

The world’s wealthy have a reputation for adding to their fortunes during crisis, as evidenced by huge jumps in the net worth of the likes of Jeff Bezos and Elon Musk through the 2020-21 COVID-19 pandemic. Now, with the world economy headed for a likely recession in 2023, high net worth individuals (HNWI) are aiming to continue growing and protecting their wealth. “The 2022 trends of HNWIs diversifying their asset portfolios by buying property offshore and snapping up luxury brands are likely to continue,” says Tarina Vlok, MD of Elite Risk Acceptances, a subsidiary of Old Mutual Insure. Just this week Rolls-Royce announced the price tag of its first electric vehicle, the Spectre at $413,000 or R7.5-million. It is the most expensive EV coupé on the market, yet there have already been more than 300 US buyers putting down deposits. Similarly, the latest results from luxury brands Louis Vuitton and Ferrari show an explosion in sales. “However, against this climate, there are several trends playing out that make insurance complex. It is worthwhile for the affluent to account for this in their wealth plans and protecting their assets in 2023.