What is a decamillionaire?

Hey friend! As a data analyst and tech geek, I‘m always crunching numbers and digging into the details. So when you asked about decamillionaires, I just had to dig in and satisfy my curiosity!

Let me walk you through everything I‘ve uncovered about these ultra-high net worth individuals. I promise it‘ll be an interesting read!

Defining the Decamillionaire

First things first – what exactly is a decamillionaire?

• A decamillionaire is someone who has a net worth of over $10 million.
• The term comes from combining the prefix "deca" (meaning ten) with "millionaire."
• So they are people worth 10+ millions of a given currency – usually US dollars, but also euros, pounds, etc.

By definition, decamillionaires have joined the ultra-wealthy elite with 8-figure fortunes. It‘s an exclusive club, to say the least!

How Many Decamillionaires Exist Globally?

My data analyst instincts kicked in at this point, and I had to know: just how many decamillionaires are there in the world?

Here‘s the scoop based on the latest data:

• According to Credit Suisse‘s Global Wealth Report for 2021, there were 583,579 decamillionaires globally.
• This means about 1 in every 17,000 adults worldwide is a decamillionaire. Talk about rare!

I‘ve summarized the continent-level split in this table to showcase the distribution:

As you can see, North America and Europe dominate in terms of total decamillionaires, which aligns with the overall distribution of wealth globally.

But even in these wealthy regions, decamillionaires make up just 0.5% to 1% of the adult population. Like I said, it‘s a seriously exclusive group!

Decamillionaire States and Cities

Since we‘re both based in the US, I got curious about decamillionaire geographic concentrations closer to home. Some key facts:

• California claims the most decamillionaires of any US state, with over 80,000 as of 2021. Tech money talks!

• Following California is New York (60,000+), Texas (33,000+), Florida (27,000+), and Illinois (22,000+).

• The New York City metro area has the most decamillionaires of any US city at over 52,000. Los Angeles ranks second with 38,000+.

Again, these figures reflect how wealth concentrates on the coasts and in major metros in the US.

To join the decamillionaire ranks, your best bets are striking it big with a startup in Silicon Valley or Wall Street – or inheriting a fortune in a place like Manhattan or Los Angeles.

How Does One Reach Decamillionaire Status?

At this point you may be wondering – how exactly does someone amass $10 million+ in net worth?

There are a few key paths people take:

• Building a blockbuster business – Many decamillionaires get rich founding companies that achieve huge exits via IPOs or acquisitions. Think tech moguls like Mark Zuckerberg, Jeff Bezos, or Elon Musk.

• Investing early in a rocketship startup – People who invested early in uber-successful tech companies can earn decamillionaire status from their stock gains. Peter Thiel investing in Facebook is a prime example.

• Savvy long-term investing – Some disciplined savers who invest wisely over decades reach $10 million+ through compound growth.

• Extreme high incomes – Lawyers, bankers, entrepreneurs, creatives, and athletes can earn multi-million salaries to generate outsized wealth.

• Inheritance – Being born into or marrying into a wealthy family accounts for many decamillionaires‘ fortunes. Inheritance provides an instant boost.

Obviously, most of these paths reflect being exceptionally talented, lucky, or well-connected – or a combination thereof!

Wealth Percentiles Among Decamillionaires

While all decamillionaires are ultra-wealthy, their net worth can differ dramatically within the $10M+ cohort. Where do typical decamillionaires fall in the overall wealth spectrum?

• Globally, $10 million represents the top 0.01% of wealth. So all decamillionaires are firmly among the global elite.

• In the US specifically, $10 million puts you roughly around the top 0.5% in terms of net worth.

• To be in the tippy top 0.01% in America, you need $100 million+ (i.e. centimillionaire status).

I‘ve summarized the thresholds for various wealth levels in the US here, based on recent Federal Reserve data:

So while all are incredibly wealthy, decamillionaires are towards the lower end of the 1% by net worth. Those 10-figure fortunes mark truly stratospheric wealth in America!

The Millionaire Next Door

Given how exclusive the decamillionaire club is, what does it take to be an ordinary millionaire next door?

• Globally, a net worth of around $1 million gets you into the 1% club. So millionaires are common in the US compared to worldwide.

• In the US specifically, it takes a net worth of approximately $2.6 million to be in the millionaire top 1% of Americans.

• The entry point has increased over time, up from $1.4 million in 2010. Inflation impacts millionaire status too!

So while ordinary millionaires are vanishingly rare globally, their ranks are still growing steadily in the United States. Living the decamillionaire lifestyle, on the other hand, is a pipedream for all but the most elite ultra-high net worth individuals.

Let me know if you need any other data crunched on decamillionaires or wealth in general! Numbers are my passion, so I‘m always happy to dig in and satisfy my curiosity. Hopefully this overview gave you some interesting insights into these super rich folks.