Australia was the top country worldwide for HNWI inflows in 2018, beating out its main rival the US for the 4′-11
year running. Popular places for them to move to in Australia included: Sydney, Melbourne, Gold Coast,
Sunshine Coast, Perth, and Brisbane.
Possible reasons for Australia ‘s popularity among migrating HNWls:
- The safety of the country – low crime rate.
- The appeal of bringing up children and going to school/university in the country.
- English speaking country. Almost all HNWls globally know English as their first or second language.
- First world economy.
- First class healthcare system.
- Growing economy. One of the few high-income economies that have grown strongly over the past decade.
- Space – Australia has only 25 million people and is a large country.
- Climate, nature, and scenery.
- Tax rates – although company tax and income tax rates in Australia are quite high it should be noted
that unlike most other developed countries, Australia has no inheritance taxes – this encourages
wealthy people to stay in the country and build their businesses for future generations.
Reasons why migrating HNWls may be preferring Australia to the US:
- Safety. Australia was recently rated as the safest country worldwide in our annual woman safety
ratings. Australia is also a particularly safe country to raise children. The US has some safety problems
especially in big cities like Chicago and Los Angeles.
- Australia has no inheritance taxes. In the US, individuals with a wealth of over US$5.5 million (or US$11
million per married couple) pay inheritance taxes (top rate of 40%).
- Problems in the US healthcare industry. In the US, getting healthcare insurance can be difficult for
incoming HNWls. Notably, several international medical aids cover patients in all developed countries
with the exception of the US (which is a big warning sign). In particular, the Affordable Care Act
enacted in 2010 has not turned out well for wealthy and middle-class patients in the US, with average
premiums rising by over 120% since the act was passed in 2010.
For further analysis and rankings, please find the full report here.
Also please find a summary presentation here.