The rise of artificial intelligence in financial markets helped the United States surpass the world in the growth of millionaires last year, when their ranks increased by 600,000.
That’s more than the population of Baltimore, bringing the total number of Americans with at least $1 million in investable assets, not including their primary residence, to 7.5 million, CNBC. reported citing data from a Paris-based consulting firm Take it.
Last year’s 7.3% rise in the number of U.S. millionaires helped North America reclaim the world’s highest millionaire growth rate in the Asia-Pacific region.
Asia saw millionaire growth of 4.8%, while in Europe the number of millionaires increased by 4%. The number of millionaires in Latin America increased by 2.7% last year and by 2.1% in the Middle East. Africa saw a decline of 0.1%, according to Capgemini.
The wealth of all millionaires in the United States combined was approximately $26 trillion. The number of people with a net worth of $30 million or more has also reached around 100,000, and their cumulative net worth is around $7.4 trillion.
AI and Tech Stocks Fuel Millionaire Wave
The growth rate of millionaires in the United States has been fueled in part by a stock market rally led by AI and technology companies. The S&P 500 Index rose 24% last year thanks in part to investor optimism about the future of AI.
AI chip supplier Nvidia led the index with a gain of 239% in 2023. Meta and You’re heretwo other tech giants involved in AI, surged 194% and 102% respectively last year. Goldman Sachs estimates that investments in AI could reach $200 billion globally by 2025.
The stock market gains that helped bring so many millionaires to 2023 have persisted so far this year as the S&P 500 and tech-heavy index Nasdaq The index reached record levels this week. The S&P 500 is up about 12% year to date and some of the biggest players in AI, like Nvidia and Microsoftsaw their shares continue to soar in 2024.
This story was originally featured on Fortune.com
