UAE’s financial wealth to grow by 6.7% annually, reaching USD 1trln by 2026

UAE’s financial wealth to grow by 6.7% annually, reaching USD 1trln by 2026

- A new BCG report expects that the UAE's financial wealth will rise from USD 0.7 trillion in 2021 to a high of USD 1 trillion in 2026

- Equities & investment funds are the largest asset class in the UAE and makeup 64% of total personal wealth in 2021, carrying the fastest expected growth estimated at an 8.8% Compound Annual Growth Rate.

Dubai: The United Arab Emirates (UAE) financial wealth will experience a sturdy Compound Annual Growth Rate (CAGR) of 6.7% in new wealth, rising from USD 0.7 trillion to a high of USD 1 trillion from 2021 - 2026, according to a new report by Boston Consulting Group (BCG).

The report titled, Global Wealth 2022: Standing Still Is Not an Option, shows equities and investment funds in the UAE make up the largest asset class at 64% of total personal wealth in 2021 and are by 2026 expected to grow the fastest with a CAGR of 8.8%. Whereas currency and deposits represent the second largest class at 29% of total personal wealth in 2021, bonds make up a mere 3%. It is expected life insurance and pensions will become the fourth largest asset class over the next five years.

“We see the