George Kamel - The Number of Millionaires Is Exploding (Here's Why)

Starting point is 00:00:05 You know the rules, you know the lifelines, let's play. Who wants to be a millionaire? First question. On average, how many Americans became a millionaire each day last year? 10? 100? 1,000? Or mitochondria? D? Mitochondria final answer? I'm so sorry. You are the weakest link. The tribe has spoken. You're fired. And for those reasons, I'm out.

Starting point is 00:00:30 Correct answer. 1,000 Americans reached millionaire status every day in 20. on average. And in today's video, we're going to look at some of the data that explains how. By the end, you'll know exactly how you can build a seven-figure net worth, too. So first, let's unpack this research a little bit so we understand exactly what we're working with here. The study we're looking at today comes to us courtesy of the fine folks at UBS, an investment bank and financial services company, not to be confused with IBS, UPS, UPS, or VBS, all of which I want nothing to do with. Packages get him out of here. The kids get him out of here. UBS? Don't have time for that. B.S.

Starting point is 00:01:07 Cut the eye. Can't spell IBS without BS. There is a lot of S in both, though. Marked, not safe for homeschoolers. Hmm. Not safe for homeschoolers. Every year, UBS publishes a global wealth report that shows the big picture on global wealth, who's building it, where it's going, and why it matters. It's like a financial weather forecast just without the green screen and hairspray. Oh, I'm going to have to change. Look at this.

Starting point is 00:01:31 And one of the biggest takeaways from the 2025 edition was that 3707,000, 79,000 Americans became net worth millionaires last year. Now, divide that out by 366 days since 24 was a leap year. And boom, over a thousand new millionaires each day throughout the year. But the study didn't stop there. It also dug into the why. Specifically, UBS's data hints at four major reasons behind so many people hitting the millionaire milestone in 2024. Here they are. Reason number one, a strong economy and a reliable dollar. Here's a quote from page nine of the study in case you didn't read it on your own time. Quote, strong financial markets in the United States,

Starting point is 00:02:08 coupled with a stable currency, are what drove North America's wealth growth last year. So when the economy's doing well and the value of the dollar stable, it creates a solid foundation, which is exactly what you want when you're trying to grow your money. Think more Tom Hanks and Rita Wilson versus Kim and Kanye. Okay, here's why. A strong economy makes investors more willing to put money into the market,

Starting point is 00:02:28 and it makes people feel more comfortable making long-term financial plans like buying a home or funding retirement. Moving on to reason number two, real estate values went up. This one is actually the biggest factor that pushed people over that seven-figure threshold. As UBS puts it, quote, the increase in real estate values is the most significant factor driving the growth in everyday millionaires across the world. Translation, the house your grandparents bought for a handshake in a bag of worthers is now worth half a milly. So far in 2025, home prices have actually been fairly stable.

Starting point is 00:02:59 But the last few years, we're talking mega growth. From June 2021 to June of 2025, the median home listing price in the U.S. grew by over 16%. Now obviously, that's bad news for anyone trying to become a homeowner for the first time. But for people who already own a home, it's a major boost to their net worth. And this is something I can relate to. I got my first town home with my wife back in 2019. That house appreciated greatly through the pandemic into 2022, and we sold at almost double what we bought it for.

Starting point is 00:03:29 That's pretty sweet. Now, the next house we bought also sold for almost double. So in the end, it's a wash. But still, a nice boost to the net worth. Reason number three, so many millionaires were created last year? Slow and steady investing. According to UBS, in the United States, securities and other financial instruments account for over a third of all investments, by far the highest proportion, end quote. Now, financial instruments sounds like the world's most boring garage band made up of brokers and accountants. But in this context, the term just refers to market-based investments like stocks, bonds, index funds, and news.

Starting point is 00:04:03 which means that a lot of people are becoming a millionaires thanks to the stock market. Here's the thing though, most millionaires are not making their gains in the stock market by day trading or investing in single stocks they have a good feeling about. Okay, that's not a wealth-building strategy. That is a bubble that will burst faster than a scale when your mom steps on it. As I walk through the valley... George, stop. Instead, the typical millionaire's investing strategy is actually pretty boring.

Starting point is 00:04:27 When our research team at Ramsey surveyed over 10,000 millionaires, eight out of 10 said investing in their employer-sponsored retirement plan was a key driver for building their wealth, which is great news because it means you don't need some kind of risky or complicated investing plan to build wealth. All it takes is consistency and patience. Now, finally, reason number four,

Starting point is 00:04:46 so many people became millionaires in 2024, entrepreneurship. A fancy French word for business stuff. Now, it's important to note that owning a business isn't even close to being the most common reason people build wealth in the U.S. That said, the data does point to business ownership and growth, creating some of these new millionaires.

Starting point is 00:05:03 And the most likely group to own a business? The same generation that brought you avocado toast, burnout, and the phrase, I did a thing. That's right, I'm talking about my millennials, my people. Let my people go. Here's what the study says. They boast the highest proportion of investment in private businesses, perhaps indicating an entrepreneurial streak.

Starting point is 00:05:24 Which, much to my chagrin, is not when you start a go-fund me to run across campus in the buff. That's disgusting. The important thing to note here is that, owning a business or even investing in one is not for everyone. Heck, it's not for me. I tried. Here's my appearance from Shark Tank.

Starting point is 00:05:39 Hello, sharks. What if I told you that every single month, Americans lose hundreds of dollars and they don't even realize it? And that's why I created a powerful system called a budget. So instead of wondering where your money went, you take control of it. You give every dollar a job before the month begins. Any questions? Kevin, are you in?

Starting point is 00:05:59 It's one of the worst ideas I've ever seen. I'm out. Brutal. I thought I had barbed in the third quarter, but man, it wasn't enough to sell her on the budget. But young entrepreneurs who start a business and succeed do get rewarded financially. So if you're thinking of going down that road and you can do it without taking on debt or making your kids go hungry, it may be worth a shot. So to sum it all up, the surge in new millionaires in the U.S. in 2024 was primarily driven by a solid economy, appreciation and real estate values, and strong stock market performance.

Starting point is 00:06:28 And if there's one theme here, it's that being a millionaire does not require some kind of kind of wacky hairbrain plan that you found on TikTok. It also doesn't require winning the lottery, getting a huge inheritance, or writing a viral song about looking forward to the weekend. For the most part, the thousand people a day who became millionaires in 2024 did so by taking simple steps that anyone can follow. And the data is clear. Anyone can become a millionaire in America today, regardless of their gender, skin color, socioeconomic background, or whether they can even spell socioeconomic without using autocorrect. You just have to follow a three-step plan, which I'll explain in just a moment.

Starting point is 00:07:03 But first, allow me to explain something that's had a major impact on my personal comfort, and that's using the cuddle blanket from Cozy Earth, a sponsor of today's video. It's super fun to say, and even more fun, to use. It's the softest thing you'll ever feel. And when you pair that blanket with Cozy Earth's equally soft bed sheets made of premium viscous from bamboo, you'll never want to leave your bed. In fact, we've got to put a disclaimer right here. Warning, you may never leave your bed if you use Cozy Earth bed sheets with the Cuddle

Starting point is 00:07:27 blanket. And right now, Cozy Earth is offering you 40, 40, percent off when you go to cozyearth.com slash George and use promo code George at checkout. You can also use the link in the description. Always be cozy. Okay, here's your three-step plan to becoming a millionaire. Step number one, get a billion dollars. Step number two, invest in crypto. Step three, you'll eventually have a million dollars. I'm kidding. I think you might be serious. Okay, here's your three-step plan to becoming a millionaire. Step number one, invest in the stock market. Once you're debt-free and you have a full emergency fund of three to six months of

Starting point is 00:08:01 expenses, begin investing 15% of your income for retirement each month in a tax-advantaged account like a 401k or a Roth IRA. Because again, that's what most millionaires are doing. That's how they're really doing it in real life. And as for which investments you should choose, I recommend picking mutual funds with a long track record. Now, if that last sentence sounded like a foreign language, no worries. I'll drop a link in the description to a free investing guide that breaks down all the ins and outs of mutual funds and everything else you need to know about saving for retirement. It's a completely free investing guide. Link below. Step number two, buy a house eventually. Now let me go ahead and stop you before you go to the comment section,

Starting point is 00:08:38 ranting about how houses are expensive and you'll never be able to afford one. You remember like five minutes ago when we talked about how much more expensive houses have gotten in the last few years? You think old George forgot about that? He's still sharp up here. He's not Bidening quite yet. Should make the American people question whether their governments will be making sure that this is act around of strikes, they'll be there. Looky here. I am well aware that home ownership is out of reach for a lot of you as things currently stand. But the data we looked at earlier is clear. Home appreciation is one of the biggest factors driving these new millionaires. So instead of doom-scrolling Zillow and stealing your own hope, what if you set a long-term plan to buy a house in, say, five years? If you start saving now and work on increasing your income, you may be surprised by how much progress you make.

Starting point is 00:09:22 And finally, step number three, give it time. This is the part no one wants to hear. But becoming a millionaire is not an overnight thing. It often takes decades. You got to let it cook. It takes time for compound growth to take hold and build the wealth for you. It's not sexy. But you know what is sexy?

Starting point is 00:09:38 Being a millionaire. And I'm living proof of that. All right, in certain countries, this is considered a delicacy. Peak male performance even. Go to double dare you. Go to Micronesia. Show them a picture of me. They'll say, wow.

Starting point is 00:09:52 George, please, I'm in no mood. I'm actually average height in Micronesia. Do you know that? That's my Trump right there. Here's the deal, though. You'll never build wealth if you fall for this money trap that is literally wrecking millions of lives and bank accounts each year. I broke down what's going on on this video.

Starting point is 00:10:07 You can click here to watch it or use the link in the description. That's it for today. If you learned something, if you enjoyed it, hit the like button, hit the subscribe button, and share the video with a thousand of your friends, aka Future Millionaires. Thanks for watching. We'll see you next time.

George Kamel - The Number of Millionaires Is Exploding (Here's Why)

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