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Shanghai comes second after Bejing, which has 170,000 millionaires, according to the Shanghai Wealth Report 2011 published by the Hurun Report and independent financial adviser Gao Fu.
The average age of the super-rich is 43 years. These super-rich tend to own three properties, five luxury watches and four cars.
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Liu Yongxing, with a wealth of about $5 billion, is the richest person in Shanghai.
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The city boasts to have 7,800 super-rich people, who have a personal wealth of 100 million yuan.
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China has a total of 960,000 millionaires people who are worth 10 million yuan or more. This is a rise of about 10 per cent compared to last year's rich list.
Click NEXT to read on . . .Of the 960,000 millionaires, 55 per cent made their wealth from their private business. Twenty per cent are property speculators.
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Around 15 per cent are stock market gurus, who are also the youngest with an average age of 38. The remaining 10 per cent are high earning salaried executives.
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Rising property prices and a fast-growing GDP have been the key drivers for the growth in the number of these millionaire luxury consumers.
Property prices in 2010 rose across the country by 13.7 per cent, with luxury property prices rising even faster.
Click NEXT to read on . . .The number of these Shanghai-based luxury consumers is growing by 8.2 per cent year on year.
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A report by Knight Frank in April this year noted that luxury property prices in Shanghai rose 21 per cent year-on-year, the fastest in the world.
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"There is still a great deal of hidden wealth in the Chinese economy," Rupert Hoogewerf, chairman and chief researcher of Hurun Report, said. Around 30 per cent of the millionaires are women.