MINNEAPOLIS, MINNESOTA and ST. PAUL, MINNESOTA -- (Marketwired) -- 06/17/13 -- Today BMO Private Bank released the first in a series of studies examining the wealthy in Minnesota (defined as those with investible assets of $1 million or more). The inaugural report shows that 78 percent of Minnesota millionaires are self-made, one of the highest percentages in the U.S. Nationally, 67 percent of high-net worth Americans says they were primarily responsible for generating their own wealth.
"The large percentage of self-made millionaires demonstrates that the entrepreneurial spirit is alive and well in Minnesota," said Steve Marsich, Senior Vice President, BMO Private Bank. "Our state has a well-educated work force, is home to headquarters of several major businesses and possesses a population with a strong work ethic. It shouldn't come as a huge surprise that Minnesota is a fertile ground for businesspeople who are willing to build their own wealth."
Other key findings from the study included:
-- Less than 1 percent of high-net worth individuals in Minnesota inherited their wealth.-- Forty percent of the affluent in Minnesota are women, which is slightly higher than the national average of 37 percent.-- Higher education is a prime indicator of wealth with 85 percent of Minnesota's wealthy holding a university degree. Fifty-five percent hold a graduate or professional degree.-- Minnesota's wealthy skew older than the national average. More than half are over 65 year of age and only 10 percent are under 40. Nationally, one-quarter of all high-net worth Americans are under 40.
Key National Findings:
On a national level, the study found the following:
-- Two-thirds (67 percent) of high-net worth Americans are self-made millionaires, earning their wealth mostly on their own. Only 3 percent attributed their wealth to receiving an inheritance.-- Women make up more than one-third of the nation's wealthy.-- One-quarter of all high-net worth Americans are under the age of 40.-- Education is a big indicator of wealth with 54 percent of high-net worth Americans possessing a graduate or professional degree; just eight percent only hold a high school diploma or less.-- One-third of affluent Americans were either born outside of the United States or are first generation Americans, with at least one parent born elsewhere. Within this group of "new Americans", an overwhelming 80 percent reported that their wealth was self-made.
About BMO Private Bank, a Part of BMO Financial Group
BMO Private Bank offers a comprehensive range of wealth management services that include investment advisory, trust, banking and financial planning to meet the financial needs of high net worth clients. Through integrated teams of experienced financial professionals, BMO Private Bank helps its clients realize their financial and lifestyle goals with solutions that are custom tailored and delivered with the highest level of personalized service.
BMO Private Bank is a brand name used in the United States by BMO Harris Bank N.A. Member FDIC. Not all products and services are available in every state and/or location.
The online survey was conducted by Pollara between March 28th and April 11th, 2013 with a random sample of 482 American adults who have $1M+ in investable assets. The margin of error for a probability sample of this size is +/- 4.5%, 19 times out of 20.