Guest The Pom Queen Posted May 31, 2013 Share Posted May 31, 2013 I know just how much you all like these surveys, so here is the latest one. Australian’s seem to have lost their mojo! For much of the last few years we were an unhappy lot, then just confidence seemed to be returning earlier this year, it took a slump again.So what does it take to make us happy?Obviously it’s more than money – because we’re already the world’s richest people.Now before you shoot me down, let me explain that I certainly realise that to be truly wealthy you need more than just money. Of course I realise that money is important in those aspects of your life where it is important (like paying the bills and the school fees) and money is not important in those areas of our lives where it is not important.But many of us are still worrying about getting more money so we don’t have to worry about money any more.Yes, we’re already wealthy and this was confirmed in the Credit Suisse 2012 Global Wealth Report, which showed that Australians are now comfortably the richest population in the world with a median wealth per adult of US$194,000.This is more than double that of second-placed Switzerland with US$87,000.Interestingly the report states that Australians comprised some 1,571,000 people in the top 1% of the planet’s wealthiest personsBy the way…in order to be in the world’s top 1% you need a net wealth of US$710,000, and if you have net assets of over US$71,000, you are in the richest 10% of global wealth holders.The fact that the proportion of Australians with wealth above US$100,000 is the highest of any country and eight times the world average, is mainly thanks to Australia being sparsely populated, our high levels of natural resources and our high real estate prices.http://propertyupdate.com.au/australians-are-the-wealthiest-people-in-the-world/?inf_contact_key=45c4467d8b113536af74c12b4fe3be8abdc9afdf8d89139159b9c51df6bc30d0 Quote Link to comment Share on other sites More sharing options...
Harpodom Posted May 31, 2013 Share Posted May 31, 2013 Sorry, what is this article actually saying? Quote Link to comment Share on other sites More sharing options...
Eng32 Posted May 31, 2013 Share Posted May 31, 2013 There certainly are wealthy in our area.... Every Tom dick n Harry has a brand new Prado with all the trimmings, with a boat and or Caravan to match...never seen so many big boats parked outside people's houses lol..... Just to mention...we don't have these thing....not been here long enough...but have serious boat envy :yes: Quote Link to comment Share on other sites More sharing options...
flag of convenience Posted May 31, 2013 Share Posted May 31, 2013 Some serious private debt as well no doubt. Australians being very consumer driven tend to compare not what they have, but what they haven't. A sure way to a dissatisfied nation if ever there was one. Quote Link to comment Share on other sites More sharing options...
flag of convenience Posted May 31, 2013 Share Posted May 31, 2013 Some serious private debt as well no doubt. Australians being very consumer driven tend to compare not what they have, but what they haven't. A sure way to a dissatisfied nation if ever there was one. Oh and Michael Yardney (I think the name mentioned) has an interest by the nature of his business keeping folk wanting more in the hope of obtaining happiness through financial freedom in the purchase of property,which often complicates the desired intention. Quote Link to comment Share on other sites More sharing options...
flag of convenience Posted May 31, 2013 Share Posted May 31, 2013 A reason for Australian's high wealth status of course being compulsory contributions in superannuation assets. Aussies have more money in managed funds per capital than probably any other economy. Here we can see how skewed the survey is. Plenty of folk have little in their funds as well. Overinflated housing makes up an amount on the other hand. Quote Link to comment Share on other sites More sharing options...
rikyuu Posted May 31, 2013 Share Posted May 31, 2013 isn't a majority of that 'personal worth' tied up in housing? Seeing as though the houses here are amongst the most expensive in the world, it's no great surprise that many people's money is sunk directly into keeping a roof over their heads, whilst having to cut back on items which don't add to ones wealth. Where-as in countries with reasonable housing costs, people have more money to spend on non-physical items that don't directly add to people's wealth. It's a bit misleading, just because people spend all their income on a stupidly expensive house, doesn't mean they are wealthy. In fact, in another recent survey this week, it was revealed that the average amount of cash Aussies have saved is barely $20k. So what's more wealthy; to have fully paid off a $100k house with another $100k cash in the bank, or to have paid off $250k of a $500k mortgage with only $20k in the bank? Quote Link to comment Share on other sites More sharing options...
Johndoe Posted May 31, 2013 Share Posted May 31, 2013 Wealth is wealth.................it doesn't matter where that wealth lies as that's a personal choice as to wher you put it. I know of 2 folk who have up to 6 investment properties and yet live in a rental.....................their wealth would/should be calculated by realised assets ie what monies would be left available after they sold their assets and paid off their mortgages and other debts. My family would be in the top 1% but we don't consider ourselves to be wealthy if we based the defintion on what we have in the bank. OTOH, we own a house with an estimated value of 650K and have over 350k in superann so by definition, we are. One of my son's who is only 19, works two part-time jobs and due to his frugality, already has 38k in the bank and owns outright his new car, Quote Link to comment Share on other sites More sharing options...
simmo Posted May 31, 2013 Share Posted May 31, 2013 yawn zzzzz Quote Link to comment Share on other sites More sharing options...
VERYSTORMY Posted May 31, 2013 Share Posted May 31, 2013 There is wealth. But a huge amount of debt. It has one of the highest private debts in he world. A debt issue which if the economy does slow significantly will cause major issues. Debts which are currently not considered as high risk and not counted in the tests on bank credit, may become toxic. Quote Link to comment Share on other sites More sharing options...
Guest chris955 Posted May 31, 2013 Share Posted May 31, 2013 Im surprised noone has mentioned the fact that this is all in US$, so is totally distorted by the high Aussie dollar but if it makes people feel good thats fine. If the dollar went back to its level from not that many years ago the picture would look completely different even though the amount of 'wealth'these individuals have wouldnt change. Its exactly the same as looking at wages using the exchange rate of the day, when an exchange rate goes up or down wildly the wages of those being compared doesnt actually change. As has been said there is huge private debt. As I say if it makes people feel all warm and fuzzy then good luck to them Quote Link to comment Share on other sites More sharing options...
Guest Posted May 31, 2013 Share Posted May 31, 2013 There is a lot of wealth here but to be honest no where more than anywhere else (not talking sinking ships like Europe). Asia is booming, Russia too. Lots more wealth there I think. as above much of the so called wealth here is tied up in property and if the bubble bursts there will be a lot of unhappy people here and this is why its kept artificially high through tax policy and land releases Quote Link to comment Share on other sites More sharing options...
Guest chris955 Posted May 31, 2013 Share Posted May 31, 2013 I agree and although a couple of European economies, namely Spain and Greece, are really struggling it is ridiculous to refer to the whole of Europe as a sinking ship, afterall the UK is currently part of Europe. There is a lot of wealth here but to be honest no where more than anywhere else (not talking sinking ships like Europe).Asia is booming, Russia too. Lots more wealth there I think. as above much of the so called wealth here is tied up in property and if the bubble bursts there will be a lot of unhappy people here and this is why its kept artificially high through tax policy and land releases Quote Link to comment Share on other sites More sharing options...
flag of convenience Posted May 31, 2013 Share Posted May 31, 2013 Wealth is wealth.................it doesn't matter where that wealth lies as that's a personal choice as to wher you put it. I know of 2 folk who have up to 6 investment properties and yet live in a rental.....................their wealth would/should be calculated by realised assets ie what monies would be left available after they sold their assets and paid off their mortgages and other debts. My family would be in the top 1% but we don't consider ourselves to be wealthy if we based the defintion on what we have in the bank. OTOH, we own a house with an estimated value of 650K and have over 350k in superann so by definition, we are. One of my son's who is only 19, works two part-time jobs and due to his frugality, already has 38k in the bank and owns outright his new car, Hardly the case though. Take Ireland as an example five years ago riding high on real estate. A downturn and prick in the bubble does certainly impact on the individuals the perception of wealth. Quote Link to comment Share on other sites More sharing options...
Johndoe Posted May 31, 2013 Share Posted May 31, 2013 Hardly the case though. Take Ireland as an example five years ago riding high on real estate. A downturn and prick in the bubble does certainly impact on the individuals the perception of wealth. I wouldn't dispute that................what I'm saying is that anyone who is "established" (for want of a better word) in Oz, and bought in to property 10 or more years ago, has been in regular employment and making superann contributions, would need a really big prick in their bubble to lose a lot of their wealth..................swings and roundabouts as capitalism is.............you have to know when to get on and when to get off, or be lucky, as we were, if you don't know...............we were very lucky..............out house has more than doubled in value in the last 8 years and our previous one which cost us 111k sold for 307k after only 5 yrs. It's frightening stuff to think of how folk have to struggle now, just to get on the ladder, let alone make anything from it and I feel really sorry for those looking for their first home. Quote Link to comment Share on other sites More sharing options...
fish.01 Posted May 31, 2013 Share Posted May 31, 2013 Im surprised noone has mentioned the fact that this is all in US$, so is totally distorted by the high Aussie dollar but if it makes people feel good thats fine. If the dollar went back to its level from not that many years ago the picture would look completely different even though the amount of 'wealth'these individuals have wouldnt change. Its exactly the same as looking at wages using the exchange rate of the day, when an exchange rate goes up or down wildly the wages of those being compared doesnt actually change. As has been said there is huge private debt. As I say if it makes people feel all warm and fuzzy then good luck to them Agreed, the aussie reported wealth total has increased by a guestimate of say 35% simply because of exchange rate changes without it actually changing at all. Quote Link to comment Share on other sites More sharing options...
Guest chris955 Posted May 31, 2013 Share Posted May 31, 2013 Exactly, people didnt suddenly get 35% wealthier. When the Oz to US$ was literally half what it is now were Australians suddenly amongst the poorest in the world ? Some people lap it all up though. Agreed, the aussie reported wealth total has increased by a guestimate of say 35% simply because of exchange rate changes without it actually changing at all. Quote Link to comment Share on other sites More sharing options...
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