Australia falls to last on Credit Suisse wealth report

Australia falls to stone cold last in Credit Suisse wealth report - Michael West

"Australia is one of a tiny minority of countries with wealth per adult lower in 2019 than back in 2012.
down over those seven years by 7.8%."

"The number of millionaires, as the bank’s director noted earlier, has decreased from 1,304,000 last year to 1,180,000 this year, a decline of 124,000 or 9.5%."

 

Its basically the effects of a floating exchange rate? The report is based on USD.

 

correct - AUD was almost at parity with USD in 2012 and now circa 36% down, so in purely AUD terms, the net wealth is up by 25% in those 7 years - also given they measured it over 2018/19 period, most of the wealth tied up in real estate would be down but this would reflect with significant gain as the markets improve in the next report for 2019/20.

 

Interesting to see the surge in student debt. Up to $62 billion now, which has tripled over the last decade.
HELP-debt-statistics-2017-18 – Parliament of Australia

 

According to a media report the other day regarding ABS statistics, its been another bad year for household spending levels.
Spending on Durable goods, furniture etc was the second lowest since records began in 1991, with labour productivity going negative.

https://www.watoday.com.au/politics...hare-dips-to-10-year-low-20191025-p5348w.html

"Employee wages' share of total national income dropped to 52.1 per cent last financial year, the lowest level in a decade, while the profit share enjoyed by the business sector rose to its highest level since 2006-07."

 

Similar to whats happening in USA.

 

Although to be fair , the number of recipients has doubled