EXECUTIVE SUMMARY
France’s economic and political challenges continue to dampen market growth
Key findings
Critical success factors
SIZING AND FORECASTING THE FRENCH WEALTH MARKET
The French wealth market will remain concentrated at the top end
Affluent individuals represented 17.5% of the adult population in 2015
French affluent individuals hold over 80% of total liquid assets
DRIVERS OF GROWTH IN THE FRENCH WEALTH MARKET
Retail savings and investments growth will remain subdued as France’s economy continues to struggle
Growth in retail savings and investments will remain subdued
Deposits dominate the retail savings and investments market
Deposits will grow steadily over the forecast period
The ECB lowering the main interest rate to 0% has reduced the appeal of deposits
Deposit growth is set to continue, albeit at a slower pace
Equities and mutual funds benefited from relatively strong stock market performance in 2015
The CAC 40 showed signs of recovery in 2015 in spite of continued volatility
Equity and mutual fund growth is strongly linked to the performance of the CAC 40
Retail bond holdings will continue to decline
HNW INVESTMENT PREFERENCES
French HNW individuals hold just over 30% of their portfolios in alternative and illiquid assets
Property investment forms the majority of French HNW illiquid portfolios
Offshore investments are relatively low and are driven by the desire for tax efficiency
French HNWs invest just over 14% of their portfolios offshore
Tax efficiency is the number one motivation for offshore investment
The majority of French HNW offshore wealth is held close to home
France is taking numerous steps to tackle offshore tax evasion
France’s complex and heavy tax regime will continue to change
APPENDIX
Abbreviations and acronyms
Supplementary data
Definitions
Affluent
Domicile
DTC
FATCA
HNW
Liquid assets
Mass affluent
Onshore
Residency
TIEAs
Methodology
Verdict Financial’s 2016 Global Wealth Managers Survey
Verdict Financial’s 2015 Global Wealth Managers Survey
Global Wealth Model methodology
Verdict Financial’s Global Retail Investments Analytics methodology
Exchange rates
Bibliography
Further reading
About Verdict Financial
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