THE MIDAS MARKET MODEL

MDRC’s MIDAS model is unique in using both “Top down” macro data and “Bottom up” micro data on the HNW sector to develop an accurate view of the UK market. The model is also different from the other market models in that it assesses both sides of the HNW equation - the sources AND the uses of wealth. By tracking the uses of individual wealth as accurately as the creation of individual wealth, the MIDAS model avoids the errors made by most market models in overstating the number of HNW individuals in the UK and the value of their investable assets.


Macro market sizing comes from an assessment of the distributed total UK wealth derived from both national economic statistics and a number of private economic analyses. Although that gives an approximation of wealth by asset band, the reliability and accuracy is limited by the age of the data and the definitions used to compile the statistics.

MIDAS augments this macro data with the micro assessment of the individual drivers of wealth – both positive and negative – and their trends over time. From these 2 different data types MIDAS builds up a view of the personal balance sheet of the HNW individual in each wealth band. By comparing the positive and negative wealth drivers in each wealth band, MIDAS not only tracks the market size changes in each wealth band, but also identifies the movement between the wealth bands.


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Working with our associates across Europe we have been able to replicate the MIDAS model to cover the wealth sectors across 25 of the 28 countries in the EU, (information on the wealth sectors in Romania, Croatia and Bulgaria remains elusive).

Although much of the data is obtained by direct research from individuals (and for some inputs most of the data has to come from individuals), major data elements of the model are obtained from public sources, professional bodies and key industry practitioners.