Signal Only 20% of 2025 wealth growth was real capital formation; drivers split by country

Summary

MGI's summary of 2025: household wealth reached $570 trillion on paper gains, only 20 percent of the increase came from real capital formation, and valuations of existing assets outpaced already-high consumer price inflation by four percentage points, with equity driving growth in the United States and Canada, real estate declines cutting paper wealth in China, France, and Germany, and inflation lifting asset values in the United Kingdom and Japan.