- Affluent individuals, who account for only 3.2% of the overall population, hold 83.8% of total liquid assets in Poland.
- Similarly to other Central and Eastern European markets, Polish retail savings and investments are allocated mainly to deposits, which comprise 81.8% of the total market.
- Despite historically low interest rates, Polish retail investors have not turned significantly to equities or mutual funds, as since the financial crisis they have tended to avoid risky asset classes.
- Polish HNW individuals allocate around 20% of their portfolios in less liquid investments, showing a strong preference towards property.
- The proportion of the HNW portfolio held offshore has doubled in Poland since 2012. Currently 24% of HNW assets are held abroad, primarily in search of better investment opportunities and tax efficiency.
"Wealth in Poland: Sizing the Market Opportunity" analyzes Poland's wealth and retail savings and investments markets, with a focus on the HNW segment. The report is based on our proprietary datasets.
Specifically the report:
- Sizes the affluent market (both by the number of individuals and the value of their liquid assets) using our proprietary datasets.
- Analyzes which asset classes are favored by Polish investors and how their preferences impact the growth of the total savings and investments market.
- Examines HNW clients’ attitudes towards non-liquid investments such as property and commodities.
- Identifies key drivers and booking centers for offshore investments.
Reasons To Buy
- Benchmark your share of the Polish wealth market against the current market size.
- Forecast your future growth prospects using our projections for the market to 2019.
- Identify your most promising client segment by analyzing penetration of affluent individuals in Poland.
- Evaluate your HNW proposition by understanding how low interest rates and stock market volatility affect HNW clients’ preferences.
- Review your offshore strategy by learning HNW motivations for offshore investments and their preferred booking centers.
- The Polish wealth market is set to grow at annual rate exceeding 5%
- Key findings
- Critical success factors
2. Sizing and Forecasting the Polish Wealth Market
- Affluent individuals in Poland account for 3.2% of the total adult population
- A negligible proportion of affluent individuals in Poland are HNW
- Polish HNW individuals hold 26.3% of the country's onshore wealth
3. Drivers of Growth in the Polish Wealth Market
- The Polish retail savings and investments market will grow steadily
- The value of total savings and investments in Poland will increase by more than 5% per year
- Deposits account for 81.8% of the Polish savings and investments market
- Retail deposits will continue to outperform real GDP
- Interest rates in Poland are at a historical low
- Equities and mutual fund holdings are driven by stock market performance
- The banking sector's problems are having an impact on the Polish stock market
- Equities and mutual funds attract new investments only when the WIG performs well
- Polish mutual fund holdings are equally divided into different asset classes
- Bond investments are an alternative to other asset classes
4. HNW Investment Preferences
- HNW individuals allocate 20% of their investible assets outside traditional liquid investments
- Low interest rates encourage HNW clients to invest in property
- Polish HNW individuals have increased their offshore investments
- Access to a better range of investments and tax efficiency drive offshore investments in Poland
- Polish HNW individuals tend to book their assets in Europe or the US
- Abbreviations and acronyms
- Supplementary data
- Liquid assets
- Mass affluent
- 2015 Global Wealth Managers Survey
- Global Wealth Model methodology
- Global Retail Investments Analytics methodology
- Exchange rates
- Further reading
List of Tables
Table 1: Poland: standard personal tax rates
Table 2: Poland: special personal tax rates
Table 3: Poland: maximum real estate tax rates, 2015
Table 4: Poland: total adult population by asset bands (000s), 2009-15
Table 5: Poland: forecast total adult population by asset band (000s), 2016f-19f
Table 6: Poland: total onshore liquid wealth by asset band ($bn), 2009-15
Table 7: Poland: forecast total onshore liquid wealth by asset band ($bn), 2016f-19f
Table 8: Polish zloty-US dollar exchange rate, December 31, 2014 and December 31, 2015
List of Figures
Figure 1: Affluent individuals account for just over 3.2% of the total adult population in Poland
Figure 2: Affluent individuals hold 83.8% of the total liquid assets in Poland
Figure 3: Annual growth of retail savings and investments in Poland has exceeded 5%
Figure 4: The vast majority of savings in Poland are allocated in deposits
Figure 5: Deposits and mutual funds will drive retail savings growth in Poland
Figure 6: Steady GDP growth in Poland contributes to increased deposit holdings
Figure 7: The Polish stock market is dominated by the financial services sector
Figure 8: Growth in equities and mutual funds is dependent on the WIG's performance
Figure 9: Only 21.9% of Polish mutual fund assets are allocated to equity funds
Figure 10: In Poland, bond holdings are negatively correlated with the stock market
Figure 11: Property investments constitute the bulk of the portfolio held outside traditional asset classes by Polish HNW investors
Figure 12: Polish HNW investors hold almost a quarter of their assets offshore
Figure 13: Polish HNW investors offshore their wealth to access a better range of investment options
Figure 14: Traditional offshore centers and countries with developed capital markets are top offshoring destinations for Polish wealth
Figure 15: The Polish government has signed a number of DTAs and TIEAs