NAIROBI, Kenya, March 12 – The country's ultra-rich are increasing their holdings of bonds, gold and cash, a new Knight Frank report says.
According to the 2020 Wealth Report Attitudes Survey, two-thirds of wealth managers surveyed in Kenya believe that their high net worth and ultra high net worth clients have increased their private equity investments in 2019 or plan to do so in the near future. It is reported that there are plans to increase the number.
According to the report, the biggest investment increases over the past year were in equity investments through the stock market and in private equity investments to foster the growth of young companies.
The ultra-wealthy also continue to invest in real estate and collectibles such as art.
Electric car
The report also reveals an unusually high level of interest in taking action on climate change, with all wealth managers surveyed saying their clients are increasingly concerned about climate change as a cause. It is reported that.
This extends to consumption, with an asset manager reporting that 27 per cent of Kenya's wealthiest people prefer hybrid or electric vehicles to traditional oil-fueled cars, and 47 per cent prefer reducing carbon emissions. He says he is actively working on it.
What keeps wealthy people up at night?
The country's ultra-rich are most concerned about the impact of global economic uncertainty, followed by poor governance and Brexit.
As such, 91% of wealthy Kenyans reported actively changing their investment strategies.
Additionally, two-thirds of wealthy investors are reported to have reduced their holdings in currently volatile cryptocurrencies.
“The results of the 2020 Wealth Report awareness survey in Kenya all show a sharp increase in social and environmental awareness among the country’s HNWIs and ultra-high net worth individuals, which is shaping their investment strategies and actions. It has been reflected almost immediately,” said Ben Woodhams, Managing Director, Knight Frank. Kenya said.
Overall, Kenya has 42 ultra-high net worth individuals, each with assets worth more than Sh3 billion. The country ranks fourth behind Morocco with 215, Nigeria with 724 and South Africa at the top with 1,033.
