The exclusive club more Australians are joining

Australia has one of the highest proportions of millionaires in the world, new research has found. Finder’s Wealth Building Report 2024 has shown that one in 8 or 2.8 million Australians are members of the millionaires club, mostly thanks to growing home values. That figure more than halves to 1.1 million Australian when their principal place of residence is removed from net worth calculations.

The report delved into ways Australians are building wealth and discovered many were using similar strategies to get ahead. The top methods were:

Budgeting (38 percent of respondents)
Investing frequently (12 percent)
Paying off debt (9 percent)

Those with more than $1 million in net wealth were also more likely to have at least one passive income source.

Personal finance expert at Finder, Sarah Megginson, said most of the strategies were practical at any economic level.

“A lot of the habits and tactics of the rich are very practical things that can be implemented no matter how much you earn,” she said.

Ms Megginson suggested options such as investing in low cost options such as ETFs or salary sacrificing to pre tax make superannuation contributions as effective ways to build wealth over time.

“Reaching that coveted millionaire status might feel out of reach, but many investors started with nothing,” she said.

“Building wealth is a marathon, not a sprint. The sooner you cross the starting line, the better off you will be later in the race.”

The boom in casual footware ushered in by the pandemic has ended, a potential problem for companies such as Adidas that benefited from the shift to less formal clothing, Bank of America says.

The casual footwear business has been on the ropes since mid-2023 as people began returning to office.

Analyst Thierry Cota wrote that while most downcycles have lasted one to two years over the past two decades or so, the current one is different.

It “shows no sign of abating” and there is “no turning point in sight,” he said.

Adidas and Nike alone account for almost 60% of revenue in the casual footwear industry, Cota estimated, so the sector’s slower growth could be especially painful for them as opposed to brands that have a stronger performance-shoe segment. Adidas may just have it worse than Nike.

Cota downgraded Adidas stock to Underperform from Buy on Tuesday and slashed his target for the stock price to €160 (about $187) from €213. He doesn’t have a rating for Nike stock.

Shares of Adidas listed on the German stock exchange fell 4.5% Tuesday to €162.25. Nike stock was down 1.2%.

Adidas didn’t immediately respond to a request for comment.

Cota sees trouble for Adidas both in the short and long term.

Adidas’ lifestyle segment, which includes the Gazelles and Sambas brands, has been one of the company’s fastest-growing business, but there are signs growth is waning.

Lifestyle sales increased at a 10% annual pace in Adidas’ third quarter, down from 13% in the second quarter.

The analyst now predicts Adidas’ organic sales will grow by a 5% annual rate starting in 2027, down from his prior forecast of 7.5%.

The slower revenue growth will likewise weigh on profitability, Cota said, predicting that margins on earnings before interest and taxes will decline back toward the company’s long-term average after several quarters of outperforming. That could result in a cut to earnings per share.

Adidas stock had a rough 2025. Shares shed 33% in the past 12 months, weighed down by investor concerns over how tariffs, slowing demand, and increased competition would affect revenue growth.

Nike stock fell 9% throughout the period, reflecting both the company’s struggles with demand and optimism over a turnaround plan CEO Elliott Hill rolled out in late 2024.

Investors’ confidence has faded following Nike’s December earnings report, which suggested that a sustained recovery is still several quarters away. Just how many remains anyone’s guess.

But if Adidas’ challenges continue, as Cota believes they will, it could open up some space for Nike to claw back any market share it lost to its rival.

Investors should keep in mind, however, that the field has grown increasingly crowded in the past five years. Upstarts such as On Holding and Hoka also present a formidable challenge to the sector’s legacy brands.

Shares of On and Deckers Outdoor , Hoka’s parent company, fell 11% and 48%, respectively, in 2025, but analysts are upbeat about both companies’ fundamentals as the new year begins.

The battle of the sneakers is just getting started.

The exclusive club more Australians are joining

A new report reveals wealthy Australians employ similar strategies when it comes to managing their money

The pandemic-fuelled love affair with casual footwear is fading, with Bank of America warning the downturn shows no sign of easing.