China’s super-rich see fortunes plunge as financial system slows By Reuters

By Brenda Goh

(Reuters) – China’s super-rich noticed their wealth tumble by essentially the most in over 20 years this 12 months, because the Russia-Ukraine conflict, Beijing’s zero-COVID measures and falling mainland and Hong Kong inventory markets pummelled fortunes, an annual wealthy record stated on Tuesday.

The Hurun Wealthy record, which ranks China’s wealthiest individuals with a minimal web value of 5 billion yuan ($692 million), stated only one,305 individuals made the mark this 12 months, down 11% from final 12 months. Their complete wealth was $3.5 trillion, down 18%.

In the meantime, the variety of people with $10 billion fell by 29 to 56, and the variety of greenback billionaires dropped by 239 to 946 this 12 months, it added.

“This 12 months has seen the largest fall within the Hurun China Wealthy Listing of the final 24 years,” stated Rupert Hoogewerf, chairman and chief researcher of analysis agency Hurun Report which compiles the record.

The worldwide financial outlook has this 12 months been closely impacted by the conflict in Ukraine and slowing financial development in China that has in flip been exacerbated by the nation’s ultra-strict COVID insurance policies and a protracted property hunch.

A two-year regulatory crackdown that has hit China’s greatest tech names comparable to Alibaba (NYSE:) Group and Tencent Holdings (OTC:), and issues that President Xi Jinping will sacrifice development for ideology in his third time period, have additionally weighed on investor confidence, with Hong Kong and mainland inventory markets tumbling in latest weeks.

Yang Huiyan, the businesswoman behind Nation Backyard Holdings Co Ltd, which like many different Chinese language builders has been battling debt points, noticed her wealth fall by $15.7 billion, the largest drop on the 2022 record.

Zhong Shanshan, whose listed corporations are water bottler Nongfu Spring and vaccine developer Beijing Wantai Organic Pharmacy Enterprise, took first place on the record for the second 12 months working, with a fortune that grew 17% to $65 billion.

The founding father of TikTok proprietor ByteDance, Zhang Yiming, took second place, however noticed his wealth fall 28% to $35 billion attributable to a drop in ByteDance’s valuation. In third place was Zeng Yuqun, chairman of battery big CATL.

Tencent founder Pony Ma posted the second largest drop in wealth of $14.6 billion amid sliding tech inventory costs, to take fifth place on the record. Alibaba founder Jack Ma and his household tumbled 4 locations to be ranked No. 9.

($1 = 7.2215 renminbi)