The number of American millionaires currently seeking alternative residence rights abroad or additional citizenships is on the rise, according to a new report.
The 2024 USA Wealth Report, published today by global wealth advisory firm Henley & Partners in partnership with New World Wealth, found that the number of Americans enquiring about the firm’s overseas residence and citizenship by investment programs has increased by 500 per cent over the past five years.
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The most sought-after investment migration option for US citizens is the Portugal Golden Residence Permit Program and Malta’s investment offering, which allows citizenship to be granted to foreign individuals and their families who contribute to the country’s economic development.
Crucially, neither option requires applicants to spend a significant amount of time in the country, making them attractive options for Americans who want a citizenship safety net rather than a new full-time home overseas.
America’s wealthiest cities
America remains the world’s leader in private wealth creation, accounting for $67 trillion, or almost a third (32 per cent), of global investable wealth. The US is home to 5.5 million HNWs, defined for the purposes of the report as individuals who hold over $1 million in liquid investable assets. This accounts for 37 per cent of the global total and reflects a 62 per cent growth over the last decade – ahead of the worldwide growth rate of 38 per cent.
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New York City retains its title as the wealthiest city in the US – and the world – with 349,500 resident millionaires (including 744 centi-millionaires and 60 billionaires), followed by the Bay Area, Los Angeles, Chicago and Houston. Austin has seen the biggest growth (110 pe cent) in private wealth of any city in the US over the last 10 years thanks to its tech boom.
American millionaires on the move
Yet despite America’s affluence, its millionaires are on the move. ‘US nationals are our firm’s single biggest cohort of applicants for investment migration programs right now and they also outnumbered every other nationality last year,’ notes Mehdi Kadiri, head of North America at Henley & Partners.
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‘With political divisions and societal tensions at an all-time high, American investors, entrepreneurs, and wealthy families are increasingly hedging their bets and pursuing backup citizenship or residence abroad, signalling declining faith in the domestic outlook.’
Dominic Volek, group head of private clients at Henley & Partners, adds that although alternative citizenship and residence rights have ‘always been seen as the ultimate insurance policy’ against political and economic uncertainty, clients also use investment migration programs to ‘diversify their assets’ and ‘create new opportunities’ across multiple jurisdictions.
He continues: ‘And then of course, as certain regional conflicts and wars intensify, citizens of major world powers, including the US, are increasingly seeking the safety net of additional passports to travel on.’
Malta and Portugal, with their low requirements for time spent in the country, are ‘particularly attractive to wealthy Americans who still plan to spend the majority of their time in the USA while enjoying the benefits and security of holding a second residence or citizenship of another country,’ Volek explains.
Other European countries with no, or minimal, residency requirements, like Greece, Italy and Spain are also popular with Americans. Spain has received the most enquiries for 2024 so far.
