This article will discuss all things about CentiMillionaires (including some of their names at the very end!)
The term “ultra high net worth” (UHNW) means different things to different people. Some firms and financial professionals I’ve worked with refer to it as any individuals with over $10MM in assets; others refer to it only as those with over $25MM in liquidity. And so forth.
One group of individuals and families that everyone would agree falls within the UHNW category has most recently started gaining major momentum, more than doubling over the past 20 years.
Welcome the CentiMillionaire Club: Ultra high net worth individuals who possess $100 million or more in investable assets.
With over 25,000 CentiMillionaires across the globe, this new and fast-growing class of ultra-wealthy individuals is now outnumbering the Billionaire category by nearly 10-to-1.
The US is home to the world's highest concentration of this "super wealthy" group.
As of March 2023, there were 9,630 CentiMillionaires living in the US!
Here’s some interesting information we’ve gathered about this club for you to learn more about:
Source of Wealth
Where do CentiMillionaires work, and how did they make their money?
The majority of CentiMillionaires work in financial and professional services, followed by technology.
The source of CentiMillionaires’ money falls into four categories: Inheritance, sale of a business, stock market investments and leading multinational and successful technology companies, according to a report by Henley & Partners.
Women represent 15% of CentiMillionaires globally. Three countries, Madagascar, Qatar and Saudi Arabia, boast more female CentiMillionaires than their male counterparts.
This appears to be driven by complementary trends of increasing entrepreneurship and a generational shift creating dynastic wealth.
Daughters of billionaires are now inheriting a share of their parents’ largess – and shaping it in their own image.
Meanwhile, the number of female entrepreneurs has been rising steadily across the world – reaching near parity in the US.
Meanwhile, Vietnam is forecast to be the fastest-growing market for CentiMillionaires over the next decade, with a 95 per cent growth rate predicted in this category in the manufacturing, property, technology and financial services sectors, according to the Henley & Partners report.
Mauritius has also emerged as a hotspot for CentiMillionaires, with growth of 75 per cent predicted for this African island nation.
What are the hobbies and passions of these CentiMillionaires?
It’ll be important to know what such CentiMillionaires like to do on the spare time in order to be able to relate to them, if you’re looking to serve that niche! [read our article on building trust through relatability]
Algarve in Portugal, a popular vacation destination with the CentiMillionaire Club
Golf counts as the most popular pursuit of global CentiMillionaires in 2022, followed by art collecting, cycling, skiing and horse riding, according to Henley & Partners. [Read our very popular article about the 300 members of Augusta Golf Club]
The top travel and vacation destinations for CentiMillionaires include The Hamptons in New York, Florida, the French Riviera, the Italian Riviera and the Algarve in Portugal.
Speaking of Florida, West Palm Beach has been ranked as one of the fastest growing cities of highest net-worth individuals in the nation. The priciest West Palm Beach residential purchases were located along Flagler Drive, just blocks from the newly developed downtown area, which is just across the bridge from Palm Beach island. Also read our popular article about Indian Creek Island!
Other interests of CentiMillionaires?
A surge in the popularity of fly-fishing. CentiMillionaires are just as likely to be found casting their rods in Wyoming as relaxing by the shores of Lake Como, the report suggests.
Cycling and mountain biking are the third most popular hobbies of CentiMillionaires.
Another common threat among this group seems to be a strong affinity towards elite education and top schools, particularly from Ivy Leagues or highly-selective universities.
In fact, in 2021, Hermès, the family-run luxury retailer, entered into a lease agreement for 17 Palmer Square. The space was previously occupied by Ann Taylor, which closed earlier that year.
Here’s the list of schools and the share of CentiMillionaires that graduated from each:
Harvard University - 7%
Stanford University - 5%
Columbia University - 4%
Yale University - 4%
Cornell University - 3%
Princeton University - 3%
Other - 65%
How can those who want to serve these CentiMillionaires find out what’s of highest demand for them?
If you’re looking to serve this segment, you shouldn’t be surprised that CentiMillionaires are the dominant customers of UHNW Wealth Management services. Within wealth services, there has also been an exponential rise in demand for family offices among CentiMillionaires.
As their ranks have swelled, so has the number of family offices – with a Citibank report estimating that 10,000 such offices have been established in the past 20 years.
‘The 2008 financial crisis was a big turning point,’ says Marc J. Sharpe, founder of the Family Office Association. ‘It led to more rich families seeking to professionalise how they manage their assets to protect and grow family wealth.’
While the Americas have the largest number of family offices, the median assets under management are highest in Asia Pacific. Well over half of the family offices active today have been set up since the millennium, and three-quarters since 1990. And they’re increasingly active investors in start-ups: in 2021 they backed venture-capital style deals that accounted for over 11% of total start-up investments by volume and a remarkable 43% by value.
According to a report by PWC, within the family office space, most marked is the progression from the passive investment approach that predominated 20 or 30 years ago to a far more active investment strategy today, often involving direct investments.
This means competing with other sources of capital – a fight in which family capital investors can gain an edge over their rivals through the higher trust created by their shared family values, purpose and long-term investment horizon.
When a business – especially another family business – is up for sale, family offices tend to approach the deal with a “founder” mentality. Through close alignment with the families who’ve built and then run a successful business themselves, a good family office team understands and values entrepreneurship, the well-being of employees and the importance of operating in a community. All of this makes family offices more attractive to sellers as potential purchasers – and can often enable them to win deals at a lower price than, say, a private equity firm.
Who are some of these ultra high net worth individuals?
Health care mogul Sean Heyniger and his wife Ashly Heyniger, along with Realtor son, Briggs Heyniger. Sean Heyniger is the CEO and President of SleepMed, which has an annual revenue of $50 million. SleepMed is the current parent company of Watermark Medical, of which Mr. Heyniger is the co-founder and CEO. Watermark Medical provides diagnostic and treatment tools for sleep apnea.
Business tycoon turned philanthropist, James H. Randall and his wife Eleanor. Mr. Randall made Forbes-worthy news when he sold his TriMas Corporation aerospace rivet manufacturing company, Allfast Fastening Systems for $360 million in 2014. The Randall’s also made national news the following year when they purchased Liongate for $50 million, a massive estate in the Bel Air neighborhood of Los Angeles, formerly owned by singer-songwriter Willie Nelson.
The President and founder of the New York-based Clover Management company, Michael Lee Joseph, and his wife Roberta. The Clover Management home office is in Williamsville, New York, and the company is known as Western New York’s premier property management provider, with commercial real estate development operations in Pennsylvania, Indiana, Ohio and Kentucky.
Want to Work with and service these 9,630 CentiMillionaires in the U.S?
Schedule a call with us to discuss how we can collaborate to get you all the insight about such individuals, including names, contact details, unique messaging that pertains to them and more….
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