Number of world's millionaires grows with a larger percentage calling the Asia Pacific home

The number of millionaires worldwide grew by nearly two million last year and the group grew nearly 14 per cent richer, boosted by rising stock markets and improving economies.

According to Capgemini and RBC Wealth Management's latest world wealth report, the number of high net worth individuals who have $1 million or more to invest rose 15 per cent to 13.7 million in 2013.

Their combined wealth also rose to $52.62 trillion, marking five years of growth since the 2008 financial crisis.

While more millionaires call North America home than any other region, Asia Pacific was a close second and is expected to overtake North America in 2014.

This is being led by surging wealth in Japan, where stock and real estate markets gained, and China, where economic growth adds millionaires at a fast clip every year.

The US had the most millionaires, at 4 million, followed by Japan with 2.3 million. Germany was third with 1.1 million and China was fourth with 758,000.

Those four countries were home to about 60 per cent of the world's wealthy.

The population of global millionaires included 128,300 "ultra" high net worth individuals, who have more than $30 million of assets to invest.

This segment, while only 0.9 per cent of the wealthy population, holds 34.6 per cent of the group's combined wealth.

Oil-rich, emerging countries see wealth growth

Beyond the four countries with the most millionaires, other clusters of wealth growth stood out in 2013.

Those included oil-rich Norway and Kuwait, the financial centres of Hong Kong and Singapore, and the emerging economic power houses of India, Russia and Taiwan, all of which added to the population of millionaires at a faster-than-average rates.

However, the report also showed that Europe and Latin America lagged during the same period.

"It was the second fastest growth in the population since 2000, and it does come back to 2013 in particular was a very positive year for financial markets," said George Lewis, the group head of wealth management and insurance at RBC.

The report was based on a survey of more than 4,500 high net worth individuals across 23 countries.

While banks and wealth management firms compete fiercely for the business of the growing population of millionaires, the survey showed the wealthy gave their money managers lower performance ratings than last year, down 4 percentage points to 63 per cent in early 2014.

They have also taken a more global mindset in early 2014 than last year, allocating 37 per cent of their assets outside of their home region, up from 25 per cent in 2013.

But cash levels remain high, at 27 per cent, suggesting a lingering caution after market losses five years ago and a big reserve for investing when the time is right.

"It indicates a long memory from 2008 and 2009," Mr Lewis said.

"But it also allows individuals to have some flexibility to be opportunistic when it comes to new asset acquisition."