Hong Kong's richest get poorer
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China Daily, January 8, 2012
"But they are unlikely to post such a dismal performance again this year - although I am neutral on the market - given that the fundamentals of these developers are basically sound," said Tang.
Cheng Yu-tung, the chairman of New World Development Co Ltd, was the biggest gainer on the 2011 list. His personal wealth jumped to $15 billion from $9 billion in 2010, thanks to the successful IPO of his luxury-goods retailing flagship Chow Tai Fook Jewellery Group Ltd in December.
Hong Kong's wealthiest people have been "some of the world's biggest beneficiaries" of the economic rise of the Chinese mainland during the past three decades, Forbes said.
That's because most of them either have heavy business exposure on the mainland, or they sell goods to the ever-growing number of visitors from the mainland.
"Now that the mainland is being pinched by the global slowdown and tighter interest rates to tame inflation, Hong Kong's wealthiest are feeling the squeeze," said Russell Flannery, an editor at Forbes.
As an example, Choy Kam-lok, who previously ranked No 27, fell out of the list this time. Choy's wealth declined after the share price of his company, United Laboratories International Holdings Ltd, a pharmaceutical manufacturer, slumped almost 72 percent in 2011 after the mainland authorities capped drug prices.
In contrast, Hong Kong's retailers have benefited from the boom in mainland outbound tourism, and have continued to do well despite a rocky ride for the Hong Kong stock market recently.
Simon and Eleanor Kwok at Sa Sa International Holdings Ltd ranked 35 on the list, with a fortune of $1.09 billion.
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