What is ultra-high-net-worth in Vietnam?

Ultra-High-Net-Worth Individuals in Vietnam: A Growing Elite

Vietnam’s ultra-high-net-worth individuals (UHNWIs) are a select group of affluent individuals who possess a significant amount of wealth. Defined as those with assets exceeding US$30 million, this exclusive cohort has witnessed steady growth in recent years.

Growth in UHNWIs

In 2023, Vietnam’s UHNWIs increased by 2.4% to reach a total of 752 individuals. This growth reflects the country’s robust economic development and the expanding presence of wealthy entrepreneurs and investors. The rise of various industries, such as real estate, finance, and manufacturing, has contributed to the accumulation of wealth among these individuals.

Factors Driving Growth

Several factors have driven the growth of UHNWIs in Vietnam:

• Economic Expansion: Vietnam’s GDP has grown steadily in recent years, providing fertile ground for businesses to flourish and individuals to accumulate wealth.
• Foreign Investment: Vietnam has attracted significant foreign direct investment, which has fueled economic growth and created new opportunities for UHNWIs.
• Entrepreneurship: Vietnam has a vibrant entrepreneurial ecosystem, with numerous successful startups and businesses leading to the emergence of new wealth creators.
• Asset Appreciation: The value of assets, such as real estate and stocks, has increased significantly in Vietnam, further boosting the wealth of UHNWIs.

Impact on the Economy

UHNWIs play a substantial role in the Vietnamese economy. They contribute to economic growth by investing in businesses, creating jobs, and generating tax revenue. Additionally, their philanthropic efforts support various social and environmental initiatives.

Challenges and Opportunities

While Vietnam’s UHNWIs have experienced strong growth, they also face challenges. The country’s wealth gap remains significant, requiring efforts to promote inclusive economic development. Additionally, regulatory changes and tax policies can impact the financial decisions of UHNWIs.

Despite these challenges, Vietnam’s UHNWIs represent an opportunity for the country to attract capital, drive innovation, and create a more prosperous future. By fostering a supportive environment for this affluent segment, Vietnam can continue to witness the growth of its ultra-high-net-worth population.