High-Net Worth Investors Not Keen on Index Funds

[igsoy]

Quote:

Originally Posted by MasterBlaster Thats the wikipedia definition of HNW ($1MM) and UHNW($30MM)... ...I would define a high net worth individual as someone who has invested assets that could generate income at the top 10 percent of all income or greater. An Ultra-High net worth indivual is someone whos assets could generate income in the top 1 percent of all incomes.

I searched for these income figures and came up with figures for 2005:
top 10%= income of 100,000 and above. Achieving this yearly income (at 4-5% SWR) would require having assets of, say 2 to 2.5 million to be called HNW.

top 1%= income of 348,000 and above. Achieving this yearly income (at 4-5% SWR) would require having assets of 6.96 to 8.7 million to be called UHNW

You'd have to inflate these figures a little to relate it to 2006.

[Olav23]

I found this in another recent article on the growth of the ultra-rich:

High-net worth individuals are those with $1m (£500,000) to invest in financial assets excluding first homes. Ultra high-net worth individuals have $30m at their disposal.

Super-rich get wealthier faster | | Guardian Unlimited Business

[unclemick]

Hmmm:

1. I'm with Bogle - you get what you don't pay for.

2. I don't ask my doctor(HNW) for investment advice.

3. I suffer from the white coat syndrome - so sometimes I ask my doctor what he invests in - it usually gets me laughing so hard it lowers my bp 20 points or so.

heh heh heh - I get itchy if I don't post once in a while. . In a lot of cases - hiring an investment advisor is a lot like joining the country club, having a status luxury car or McMansion - they believe that is what they are supposed to do.

[cute fuzzy bunny]

Quote:

Originally Posted by unclemick 3. I suffer from the white coat syndrome - so sometimes I ask my doctor what he invests in - it usually gets me laughing so hard it lowers my bp 20 points or so.

Thats happened to me a few times too. Last one harumphed when I told him where I was invested... "MUTUAL FUNDS?!? Harumph". Then he told me that most of his money was in b33ver ch33se. No...really.