The Hispanic Wealthy: The Next Big Wave in Financial Services

Mention the term "wealthy Hispanic" to most Americans and many are likely to think of celebrities such as New York Yankee pitcher Alex Rodriguez, TV personality Geraldo Rivera, actress Jennifer Lopez, and singer Gloria Estefan. Many others are prone to regard the term as an oxymoron, associating Hispanics exclusively with lower-skilled service occupations.

The reality is that Hispanic High Net Worth Individuals (HHNWI) form one of the most dynamic, fast-growing, and lucrative niches in the U.S. marketplace.

The last decade has witnessed a 126 percent increase in U.S. Hispanic households making more than $100,000 per year – a total net worth of half a trillion dollars. Five geographic markets – Los Angeles, New York City, Miami, Houston and Chicago – represent over 45 percent of the total affluent Hispanic market.

Affluent Hispanics are not a homogeneous group but comprise, for the most part, four attractive sub-segments: