For the first time since the 2008 financial crisis, total household wealth declined last year as interest rates rose and inflation remained high.

In spite of what it may sound like, the numbers tell a different story.

As per the annual Credit Suisse and UBS global wealth report, private wealth in the world fell 2.4% to $454.4 trillion. The losses were largely due to losses in stock and bond markets, which disproportionately affect wealthier people.

As a result, global median wealth grew 3% in 2022, a more meaningful indicator of how the average person is doing.

There was an economic boost for the average Joe, while millionaires and billionaires took a bath – what some refer to as a “rich-cession.”

As a result of the drain on wealth at the top, there are now around 60 million millionaires in the world, down 3.5 million from 2021.

A record number of millionaires have left some countries than others – 1.8 million have left the United States alone. As well, the US shed the highest number of “ultra-high net worth individuals” (17,260) with wealth over $50 million. Despite this, the US still dominates when it comes to the number of uber-rich people who live there. There are more than 120,000 ultra-high net worth individuals in the country, compared to less than 33,000 in China, which is ranked second.

As a result of a boost for the median and a drain at the top, inequality improved. Anyway, just a little bit. 44.5% of all global wealth is held by the top 1% of households. From 45.6% in 2021, that’s down just slightly.

Paul Donovan, Chief Economist at UBS Global Wealth Management, wrote in a report that the global economy is experiencing an unprecedented period of economic change.

A silver lining is that, based on Credit Suisse projections, global wealth will increase 38% over the next five years to reach $629 trillion.

Currently, the average wealth per adult is $84,718 and is projected to grow to $110,270 by 2050.