UBS Global Wealth Management
Between January and April 2018, UBS Global Wealth Management’s Chief Investment Office (CIO), has just completed a homogenous survey on the prices of 128 goods and services, as well as earnings for 15 vocations in 77 cities around the world.
The survey was carried out locally by equally independent observers. Next, cities were compared to each other from online data collected by UBS. More than 75,000 data points were collected and incorporated in the calculations of the indicators in the report.
Tel Aviv – One of the 20th Most Costly City Worldwide
Measuring one city against another showed that the 20th most costly city worldwide is Tel Aviv. The city is placed 19th globally (rent not included), 28th in buying power, and 32nd when it comes to income levels. In fact, a regular Tel Aviv person has to work 2X as hard as one in New York to afford an iPhone X.
Mark Haefele, UBS CIO, says that purchasing power is important to everyone — both as investors and as individuals. Regardless of whether you’re attempting to comprehend the long-term swings in economic power or just planning a holiday, the study offers an in-depth breakdown of prices worldwide.
The study’s Purchasing Power Index (PPI) shows that inhabitants of North American cities and those in Europe characteristically benefit from the best buying power generally. The only contenders in the top 10 that are not transatlantic are Hong Kong and Manama, the capital of Bahrain. International fiscal capitals London and New York, rank 23rd and 10th respectively.
Daniel Kalt, UBS Global Wealth Management’s Chief Economist, CIO for Switzerland, and study lead editor, stated that as with the last 2015 edition of the report, Zurich ranks number one as the most expensive city in the world. Swiss competitor Geneva is hot on its heels. Nevertheless, the PPI visibly shows that there is increasing competition from overseas. There are just three cities in Europe in the Top Ten, and all of them are lower down the rungs compared to the report’s last edition.