Retail News Update

Millionaires are passé. A new report on wealth published by British banking group on Monday says ‘millionaire,’ the old word for the wealthy, has lost its charm. You need 10 million US dollars now to be truly considered wealthy. In other words, you have to be a dollar crorepati, according to 35 per cent of 790 wealthy individuals surveyed by the bank to measure the bar on wealthiness. A self-owned home does not count in the calculation to define the wealth status.

“This is the perceived level at which people believe they are truly wealthy as it gives them influence within their community and a greater sense of control over their own destiny,” Satya Bansal, head of Barclays Wealth in India, said.

“This level of wealth elevates their status so they behave more like people with assets of $50 million, than people with $5 million,” it said.

An old-world million dollars is not enough because it now costs more to enjoy some luxuries such as a butler, concierge, private school education and health insurance, the report says.

With dollar multi-millionaires mushrooming in booming Asian economies such as India and China, banks like Barclays – which is in the process of integrating its recent acquisition of ABN Amro, are finding new opportunities in telling the new rich how to protect and multiply their millions.

Millionaires Barclays says Britain has 4 lakh millionaires and the figure is expected to more than double by 2016, while India had more than one lakh dollar millionaires on last count.

The rich come in good variety. “Our research shows that wealthy individuals want to pursue personal goals such as philanthropic causes and influence change within their community,” Bansal said. “In the Indian ethos, wealth has been a symbol of power and a responsibility to do greater good.”

Money does not quite buy love, but a lot else. The report says it gives people a sense of security and makes them feel protected from the hazards of the world.