2021 Hurun Rich List Announced: Ranking Changes The real estate market is in trouble

Source: Public account: capitalwatch

With the shift in market focus and companies facing stricter antitrust policies, The Hurun List of China's Richest People ranks very differently from previous years.

The Hurun List has tracked China's richest individuals since 1999, but for the first time the list includes entrepreneurs from Hong Kong, Macau and Taiwan. According to the report, 307 more were added to the 1,185 billionaires, and the total wealth of the richest people on the list increased by about a quarter to $5.3 trillion.

According to the Hurun Report, the wealth of Zhong Shui, chairman of bottled water giant Nongfu Shanquan (HKEX: 09633), increased by $3.9 billion to $60.6 billion, rising from second place in 2020 to the first place this year.

Douyin founder zhang Yiming's wealth, which is number two on this year's list, tripled to three times last year's to $52.8 billion, despite the tech industry being hit by new regulations.

The report found that most of the fastest-growing companies on the list are related to "new energy" businesses, such as electric vehicles and solar energy. Zeng Yuqun, founder and chairman of ELECTRIC vehicle battery supplier CATL, has nearly tripled its fortune to $47.4 billion, ranking third.

Driven by the carbon neutrality "3060" goal, the number of new energy entrepreneurs in China has surged. This has not only made China a leader in the fight against climate change, but also the world's leading producer of sustainable energy technologies. As the world strives to transition to a zero-carbon economy, China will also become a market powerhouse.

Many companies have seen success in their investments in sustainable products. Tesla (Nasdaq: TSLA) has decided to use LFP batteries in all future standard mileage cars, and CATL will profit from this because it is Tesla's LFP battery supplier for model 3 and Model Y in the United States.

Hong Kong billionaire Li Ka-shing, ranked eighth, has also been successful in sustainable products. The South China Morning Post also reported that Horizons Ventures, a venture capital firm co-founded by Li Ka-shing, said its investments in sustainable projects, including edible plastics and plant-based chicken nuggets, are ready for large-scale production.

Multi-sectoral policy crackdowns have had a significant impact on the dramatic changes in this year's rankings. China has been taking steps to rein in the power of industry giants through antitrust laws and has urged companies to cut executive compensation and donate money to redistribute wealth in the national economy.

Tencent (OTC: TCEHY; HKEX: 00700) CEO Ma Huateng fell to fourth place due to some expected merger failures and new regulations for video games for minors.

In Alibaba (NYSE: BABA; HKEX: 09988) After being fined $2.8 billion for cracking down on monopolies, Jack Ma, who topped the list in 2020, fell to fifth place. In addition, Ant Group's valuation has fallen sharply after being forced to divest assets and suspending a record initial public offering (IPO) a year ago.

For the first time, China's real estate giant did not enter the top 10 of the Hurun rich list. As the embattled real estate developer Evergrande Group (OTC: EGRNF; HKEX: 03333) faces $300 billion in debt, and its chairman and founder, Xu Jiayin, has fallen from fifth place in 2020 to 70th this year. The industry as a whole has also been affected after implementing new regulations to prevent over-indebted developers from getting new loans.

Despite the industry's heavy blows, the total wealth of China's super-rich has grown significantly. Hurun, chairman and chief researcher of Hurun, said in a statement that by 2030, China is expected to have 2,000 billionaires.

Hurun said: "Compared with five years ago, half of the people on this year's list are new faces, showing the vitality of China's private sector. New industries and business models are changing the landscape of the list. ”