Shed no tears for the uber-wealthy |
|
Network this!
We can all take some comfort in the fact the wealthy are not suffering too greatly during this global downturn.
Nobody, surely, wants to see the haves going without the finer things in life - I mean, what is an evening out with a good dollop of caviar?
But, joking apart, could this be among the worst times in history to be among the elite of the super-rich.
Crooked hedge fund managers seem to be waltzing off with their fortune and taxes are being raised around the world, and are likely to rise further.
For people in the Middle East, luck might be running out as governments debate the pros and cons of tax. And, elsewhere, every politician running for election is taking potshots at the excesses of bankers and oligarch.
Even the offshore financial centres - usually the one place the wealthy could count on to be welcomed with open arms and a waiting limo - are contemplating handing over the details of accounts to the tax authorities back home.
It's enough to leave them crying into their last glass of bubbly. But they should try not to be too downhearted. In fact, there has never been a better time to be mega-wealthy. The plutocracy is entering a gilded era.
In what turned out to be the best-read story online last week, Emirates Business reported how all the things the wealthy need to maintain their lifestyles are getting cheaper. And there are a lot fewer of the super-rich around. The main point about being rich is not how much they have, but whether they have more than everyone else.
London-based wealth-management firm Stonehage calculates the cost of living for what it calls "ultra high net worth families". Its index, as reported last week, includes everyday essentials such as Beluga caviar, dinner at the Ivy, a day's grouse shooting, a grand tier box at the Royal Opera House, and breast-enhancement surgery.
None of them are cheap. They are, however, a bit cheaper than they used to be. Stonehage said the price index dropped about four per cent in the 12 months to April 2009, as luxury-property rents and discount-travel deals fell. By contrast, the inflation rate for the rest of the United Kingdom population, measured by the consumer-price index, was more than two per cent.
Meanwhile, the World Wealth Report produced by Capgemini and Merrill Lynch Global Wealth
Management found the number of millionaires in the UAE shrank by 12.7 per cent to 67,000 last year, as the ranks of the wealthy across the world thinned out amid the global economic downturn.
In the Middle East, the total number of high net worth individuals dropped to 373,600 and their wealth declined 16.2 per cent to $1.4 trillion (Dh5.1trn).
At the other end of the spending spectrum, and ironically at number two in our weekly ranking (see panel left) was a look at how mere mortals are cashing in their shopping loyalty card points like never before.
After years of accruing thousands of Air Miles or Skywards miles or whatever, consumers are redeeming them with fervour in a bid to save as much money as possible of necessary or luxury purchases, or even a flight home for the summer.
"Worldwide, the average increase in redemptions across different industries is between 12 and 25 per cent in the first two quarters of 2009," said Mamoun Masarweh, General Manager of global rewards provider Loylogic Middle East.
"One good example is the Best Western hotels, which has recorded a 36 per cent year-over-year increase in free night reward redemption during December 2008 and January 2009.
"Similarly, an even stronger trend has been recorded with the Etihad Guest programme, where the number of redemptions jumped more than 55 per cent year-over-year during the first two quarters of 2009."
© Emirates Business 24/7 2009
Community Comments (0) - 
Comment on this article 
Comment on this article
The opinions of the authors expressed herein do not necessarily state or reflect Zawya. Read our Comment Policy.
Loading ...
Zawya Comment Policy:
-
Zawya encourages you to add a comment to this discussion. You agree that when you add content to this discussion your comments will not:
1.1 Contain any material which is libelous or defamatory of any person, is obscene, offensive, hateful or inflammatory or causes damage to the reputation of any person or organisation.
1.2 Promote sexually explicit material, violence, discrimination based on race, sex, religion, nationality, disability, sexual orientation or age or any illegal activity.
1.3 Be made in breach of any legal duty owed to a third party, such as a contractual duty or a duty of confidence.
1.4 Be threatening, abuse or invade another's privacy, or cause annoyance, inconvenience or needless anxiety.
1.5 Be used to impersonate any person, to misrepresent your identity or affiliation with any person, or be likely to deceive any person.
1.6 Give the impression that they represent Zawya.
1.7 Advocate, promote or assist any unlawful act such as (by way of example only) copyright infringement or computer misuse. - The content posted on www.zawya.com is created by members of the public. The views expressed are theirs and unless specifically stated are not those of Zawya. Zawya reserves the right to review all comments prior to posting and edit or delete any contribution, but Zawya is not responsible for and can not be held liable for any content posted by members of the public on www.zawya.com.
- Zawya is not responsible for the availability or content of any third party sites that are accessible through www.zawya.com. Any links to third party websites from www.zawya.com do not amount to any endorsement of that site by Zawya and any use of that site by you is at your own risk.
- By submitting your comment, you hereby give Zawya the right, but not the obligation, to post, air, edit, exhibit, telecast, webcast, re-use, publish, reproduce, use, license, print, distribute or otherwise use your comments worldwide, in perpetuity.
Post Your Tender Notices for FREE
(No Sign-in Required)
Zawya Tenders is a Tender Notices service entirely driven by contribution
from issuers in both public and private sectors. It is not an e-tendering service and is entirely FREE.
As an Issuer, you can benefit from posting an unlimited number of Tender
Notices for FREE and reaching out to an online community of bidders.
The service also offers you a tool to track the interest of bidders to your
tenders 'live' online.
from issuers in both public and private sectors. It is not an e-tendering service and is entirely FREE.
As an Issuer, you can benefit from posting an unlimited number of Tender
Notices for FREE and reaching out to an online community of bidders.
The service also offers you a tool to track the interest of bidders to your
tenders 'live' online.
| Tender Notice | Due Date |
Community Buzz
Stories
Companies
Most viewed companies by Community in the last 24 hrs
| Company Name | Country | Industry |
| Consolidated Contractors Company | Overseas | Construction and Design |
| Saudi Binladin Group | Saudi Arabia | Construction and Design |
| Saudi Electricity Company | Saudi Arabia | Electric Utilities |
| Saudi Telecom | Saudi Arabia | Telecommunications Services |
| Sharjah Electricity and Water Authority | UAE | Electric Utilities |
| Hyundai Engineering and Construction Company - Saudi Arabia | Saudi Arabia | Construction and Design |
| Al Azizia Panda United Company | Saudi Arabia | General Retailers |
| Qatari Diar Real Estate Investment Company | Qatar | Landlords and Developers |
| Emirates Telecommunications Corporation | UAE | Telecommunications Services |
| Almarai Company | Saudi Arabia | Food |
Projects
Most viewed projects by Community in the last 24 hrs
| Project Name | Country | Sector |
| Takreer - Ruwais Refinery Expansion | UAE | Oil and Gas |
| Al Futtaim Carillion - Marina Hotel (Yas Island) | UAE | Real Estate |
| Emirates Aluminium (EMAL) - Smelter Complex - Phase 1 | UAE | Industry |
| Abu Dhabi DOT - Abu Dhabi Metro | UAE | Infrastructure |
| ENEC - Nuclear Power Plant | UAE | Power and Water |
| SATORP - Jubail Refinery and Petrochemical Complex | Saudi Arabia | Oil and Gas |
| Dubai RTA - Dubai Metro | UAE | Infrastructure |
| Al Safwa - Jeddah Cement Plant | Saudi Arabia | Industry |
| Qatar Bahrain Causeway Foundation - Qatar Bahrain Causeway | Bahrain | Infrastructure |
| Qatar Bahrain Causeway Foundation - Qatar Bahrain Causeway | Qatar | Infrastructure |