Saturday, September 7, 2024

Monaco: The Premier Destination for High-Net-Worth Individuals Relocating

 

The ultra-wealthy are on the move, with an unprecedented 128,000 millionaires expected to relocate to new cities, countries, or even continents this year. But what drives this trend, and why is Monaco becoming a favored destination?
 
According to Henley & Partners, around 128,000 millionaires are projected to relocate in 2024, a 6.6% increase from the previous record of 120,000 set in 2023. The motivations behind their moves are diverse, ranging from changes in tax and visa policies to more favorable market conditions and the pursuit of a better quality of life for themselves and their families.
 
Knight Frank's latest European Lifestyle Report paints a similar picture, highlighting Europe as one of the most attractive regions for high-net-worth individuals (HNWIs) seeking to establish new lives.

Kate Everett-Allen, Head of European Residential Research at Knight Frank, notes Europe's many advantages: cultural richness, a high quality of life, excellent healthcare, global connectivity, political stability, economic security, education opportunities, and “transparent and mature property markets.”
 
Another significant draw is the wide range of lifestyle options Europe offers. Potential new residents can choose from dynamic, cosmopolitan cities like London, Paris, Berlin, Stockholm, or Barcelona, or opt for the more relaxed pace of resort destinations—categorized by Knight Frank as sun, ski, or rural locations. While the majority of HNWIs prefer cities, there is still substantial interest in resort locations.

When asked to rank their favorite resort destinations, more than 700 HNWIs surveyed by Knight Frank ranked Monaco as the second most desirable location, after the Swiss ski resort Verbier and followed by the South of France. Monaco proved especially popular among GenX and Post-War HNWIs, as well as younger GenZ and Millennial groups.
 
Knight Frank also utilized data from Oxford Economics and the European Commission to analyze why some destinations appeal more to HNWIs than others. Out of 20 “premier destinations” evaluated—10 cities and 10 resorts—Monaco achieved the highest average ranking, securing top positions in three out of five categories: quality of life, environment, and human capital. The Principality also ranked second for infrastructure and mobility and third for economy.
 
The South of France, benefiting from its proximity to Monaco, also performed well in the rankings, taking the top spot for infrastructure and mobility, third for environment, and fourth for economy.

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