High Net-Worth Individual (HNWI)
A High Net-Worth Individual (HNWI) is generally defined as a person with liquid financial assets of at least $1 million, excluding primary residence. This Classification is used by financial institutions and wealth management firms to identify clients who may require specialized financial services and investment strategies.
Examples of HNWIs include:
- Entrepreneurs who have successfully sold their businesses and have significant Capital to invest.
- Executives in large corporations with high salaries and Stock Options.
- Real estate investors who own multiple properties valued over the million-dollar mark.
Cases of HNWIs:
- A tech startup founder who exits their company for $10 million and invests the proceeds in various Asset Classes.
- A celebrity athlete who, after a successful career, accumulates wealth through endorsements, investments, and appearances.