Synopsis
This report is the result of Wealth Insights extensive research covering the HNWI population and Wealth Management industry in India. It provides market size and forecasts of the HNWI population. By leveraging the Wealth Insight HNWI Database, it provides key demographic breakdowns such as city specific data.

Summary
India offers tremendous opportunities for the private banking industry as a result of not only the substantial growth in the number of HNWI over the past few years, but especially because of the strong forecasted growth in volumes and wealth to 2015. This report not only provides detailed forecasts on expected HNWI asset allocation of Indias HNWI and UHNWI to 2015, but gives the reader the crucial insight necessary to effectively act on those projections. In addition to providing a comprehensive and robust background of the Indian economy, including, uniquely, detailed analysis of economic and political risks to HNWI wealth creation, the report provides robust projections of the volume, wealth and asset allocation of Indias HNWI. The report also couches these findings in an analysis of Indias Wealth Management and Private Banking sector, and the opportunities therein. But what really sets the report apart is its analysis and presentation of the demographic trends and findings of the proprietary Wealth Insight HNWI Database.

Scope
The report features:
Independent market sizing of Indias HNWI
Most up to date and thorough analysis of the demographic breakdown of Indias HNWI
Volume, wealth and allocation forecasts to 2015
Details of the development, challenges and opportunities of the Wealth Management and Private Banking sector in India
City specific ratings and breakdowns of wealth, wealth growth and industries that HNWI work in for each city
Current insights into the drivers of HNWI wealth
Family office information


ReasonsToBuy
The Wealth Insight HNWI Database is an unparalleled resource and the leading database of its kind. Compiled and curated by a team of expert research specialists, the HNWI Database comprises up to one hundred data-points on over 100,000 HNWI around the world. With the HNWI Database as the foundation for our research and analysis, we are able obtain an unsurpassed level of granularity, insight and authority on the HNWI universe in each of the countries and regions we cover.
Comprehensive forecasts to 2015.
Information on sources of wealth for HNWIs in each major city, by industry and other measures.


Key Highlights
India currently has the fourth-highest number of HNWIs in the Asia-Pacific region after Japan, China and Australia. In 2011, there are 251,000 HNWIs in India who, together, hold a total of US$1,083 billion.
Going forward, the number of Indian HNWIs is expected to grow by 85% to reach close to 465,000 individuals in 2015. HNWI wealth is expected to grow by 97% to US$2,134 billion in 2015.
We expect HNWIs in India to increase their allocations to equities going forward, whilst reducing their exposure to fixed-income and cash instruments. As they become more sophisticated, Indian HNWI investors will significantly increase their investments in sophisticated alternatives such as hedge funds, private equity and venture capital. Similarly, assets allocated to collectable assets will increase dramatically.
Given ongoing political trends in India regarding the financial sector and, specifically, the wealth management sector, increased regulation of the industry is highly probable. Our research suggests that such regulation will be a net positive for the industry, and will clarify and streamline taxation and the regulatory structure.
Pune received our highest private banking potential rating amongst Indian cities analyzed and is a standout among its peers, providing some of the best opportunities for business development for international private banks and wealth management firms. This rating is backed up by strong recent growth and a relatively low penetration of private banks when compared to the likes of Mumbai.
Gurgaon and Noida also received particularly high ratings, which were attributable to a low penetration of private banks in these two cities and a continuation of the trend of UHNWIs relocating from Delhi.

TABLE OF CONTENTS

1 Introduction
1.1 What is this Report About?
2 Executive Summary
3 Wealth Sector Fundamentals
3.1 Economic Background to the Wealth Sector
3.2 Political Background to the Wealth Sector
3.3 Benchmarking Indian Wealth in Context
4 Findings from the WealthInsight HNWI Database
4.1 Trends in HNWI Wealth to 2015
4.1.1 HNWI trend analysis
4.1.2 HNWI volume trend analysis
4.1.3 HNWI wealth trend analysis
4.1.4 Per-capita HNWI net worth trend analysis
4.1.5 Trends of the wealth bands
4.1.6 Demographic breakdown of Indian wealth
4.1.7 Demographic breakdown by age
4.1.8 Demographic breakdown by gender
4.1.9 Demographic breakdown by region
4.1.10 Source of wealth
4.1.11 Industry
4.1.12 HNWIs source of wealth: inherited vs earned vs self-made
4.2 UHNWIs
4.2.1 UHNWIs: market sizing
4.2.2 UHNWIs: market size by volume
4.2.3 UHNWIs: market size by value
4.2.4 UHNWIs: market size by per-capita net worth
4.2.5 UHNWIs: demographic breakdown
4.2.6 UHNWIs: demographic breakdown by age
4.2.7 UHNWIs: demographic breakdown by region
4.2.8 Sources of UHNWI wealth
4.2.9 Industry
4.2.10 Industry performance
4.2.11 Industry forecasts
4.2.12 City performance
4.2.13 UHNWIs source of wealth: inherited vs earned vs self-made
4.3 UHNWIs The Billionaires
4.3.1 Billionaires: market sizing
4.3.2 Billionaires: market size by volume
4.3.3 Billionaires: market size by wealth
4.3.4 Billionaires: market size by per-capita wealth
4.3.5 Billionaires: demographic breakdown by age
4.3.6 Billionaires: demographic breakdown by region
4.3.7 Source of billionaire wealth
4.3.8 Industry
4.3.9 Billionaires source of wealth: inherited vs earned vs self-made
4.3.10 List of Indian billionaires
4.4 UHNWIs The Centimillionaires
4.4.1 Centimillionares: market sizing
4.4.2 Centimillionares: market size by volume
4.4.3 Centimillionares: market size by wealth
4.4.4 Centimillionares: market size by per-capita wealth
4.4.5 Centimillionaires: demographic breakdown
4.4.6 Centimillionaires: demographic breakdown by age
4.4.7 Centimillionaires: demographic breakdown by region
4.4.8 Centimillionaires wealth: industry
4.4.9 Centimillionares source of wealth: inherited vs earned vs self-made
4.5 UHNWIs The Affluent Millionaires
4.5.1 Affluent millionaires: market size by volume
4.5.2 Affluent millionaires: market size by wealth
4.5.3 Affluent millionaires: market size by per-capita wealth
4.5.4 Affluent millionaires: demographic breakdown
4.5.5 Affluent millionaires: demographic breakdown by age
4.5.6 Affluent millionaires: demographic breakdown by region
4.5.7 Source of affluent millionaire wealth
4.5.8 Industry
4.5.9 Affluent millionaires source of wealth: inherited vs earned vs self-made
4.6 Core HNWIs
4.6.1 Core HNWIs: market sizing
4.6.2 Core HNWIs: market size by volume
4.6.3 Core HNWIs: market size by value
4.6.4 Core HNWIs: market size by per-capita wealth
4.6.5 Core HNWIs: demographic breakdown
4.6.6 Core HNWIs: demographic breakdown by age
4.6.7 Core HNWIs: demographic breakdown by region
4.6.8 Source of core HNWI wealth
4.6.9 Industry
4.6.10 Core HNWIs source of wealth: inherited vs earned vs self-made
4.7 Core HNWIs The Mid-Tier Millionaires
4.7.1 Mid-tier millionaires: market size by volume
4.7.2 Mid-tier millionaires: market size by value
4.7.3 Mid-tier millionaires: market size by per-capita wealth
4.8 Core HNWIs Lower-Tier Millionaires
4.8.1 Lower-tier millionaires: market size by volume
4.8.2 Lower-tier millionaires: market size by value
4.8.3 Lower-tier millionaires: market size by per-capita wealth
4.9 HNW Family Wealth
4.9.1 Source of HNW family wealth
4.9.2 HNW family regional distribution
4.9.3 Wealthy families and company links
4.9.4 Philanthropy and wealthy families
4.10 Expat Indian Wealth The NRIs
5 Analysis of Indian HNWI Investments
5.1 Analysis by Asset Classes
5.1.1 Changing trends in liquid assets Equity, fixed income and cash deposits
5.1.2 Trends of investments in alternative investments
5.1.2.1 Trends in art, wine and wheels
5.1.3 Trends of investments in real estate
5.1.4 Trends of investments in cash and deposits
5.1.5 Trends of investments in fixed income
5.1.6 Trends of investments in equity
5.1.7 Trends of business interests
5.2 Analysis of Foreign Investments
5.2.1 Trends of investments in rest of Asia-Pacific
5.2.2 Trends of investments in North America and Europe
5.2.3 Trends of investments in Africa, Middle East and Latin America
6 Competitive Landscape of the Wealth Sector
6.1 Competitive Structure
6.2 Wealth Managers and Private Banks
6.2.1 Wealth managers
6.2.2 Private banks
6.2.3 Foreign banks and MNCs
6.2.4 Joint ventures
6.2.5 Domestic providers
6.3 Leading Companies in the Wealth Management Industry
6.4 Family Offices
6.4.1 Multi-family offices
6.4.2 Single-family offices
6.5 Trusts
6.6 Challenges and Opportunities for the Wealth Sector in India
6.6.1 Regulatory
6.6.2 Tax
6.6.3 Human resources
6.6.4 Move to self-management
6.6.5 Underdeveloped product offerings
6.6.6 Demands of intergenerational wealth transfer and younger clientele
6.6.7 Philanthropy
7 Appendix
7.1 Banking Regulations, Taxes and Laws
7.1.1 Regulations on equity capital
7.1.2 Limitation on amount of loans
7.1.3 High currency reserve ratio (CRR) and statutory liquidity ratio (SLR)
7.1.4 Limitation on borrowings from overseas headquarters
7.1.5 Interest rate trends for lending and borrowing
7.1.6 Taxes on investments
7.1.7 Investment limits
7.2 Key Economic Trends and Drivers
7.2.1 National wealth indicators
7.2.2 Financial market indicators
7.2.3 Banking indicators
7.2.4 Trade indicators
7.2.5 Other indicators
8 About WealthInsight

List of Tables

LIST OF TABLES

Table 1: HNWI Wealth Band and Group Definitions
Table 2: HNWI Wealth Sector Market Attractiveness, 20072015
Table 3: HNWIs Volume by Wealth Band, 20072015
Table 4: HNWIs Wealth by Wealth Band (US$ Billion), 20072015
Table 5: HNWIs Per-Capita Net Worth (US$ Million), 20072015
Table 6: HNWIs Volume Distribution Wealth Pyramid, 2011
Table 7: HNWIs Wealth Distribution Wealth Pyramid, 2011
Table 8: HNWIs Distribution by High- vs Low-Human-Capital-Development Industry, 2011
Table 9: UHNWIs Volume by Wealth Band, 20072015
Table 10: UHNWIs Wealth by Wealth Band (US$ Billion), 20072015
Table 11: UHNWIs Per-Capita Net Worth (US$ Million), 20072015
Table 12: UHNWIs Cities by Sector, 20072011
Table 13: UHNWIs Emerging Cities by Sector, 20072011
Table 14: UHNWIs WealthInsight Rating of Private Banking Potential
Table 15: UHNWIs Billionaires: Market Size, 20072015
Table 16: UHNWIs Billionaires: Top 20
Table 17: UHNWIs Centimillionaires: Market Size, 20072015
Table 18: UHNWIs Affluent Millionaires: Market Size, 20072015
Table 19: Core HNWIs Volume by Wealth Band, 20072015
Table 20: Core HNWIs Wealth by Wealth Band (US$ Billion), 20072015
Table 21: Core HNWIs Per-Capita Net Worth by Wealth Band, 20072015
Table 22: Core HNWIs Mid-Tier Millionaires: Market Size, 20072015
Table 23: Core HNWIs Lower-Tier Millionaires: Market Size, 20072015
Table 25: HNWIs Liquid Asset Composition (%), 20072015
Table 26: HNWIs Liquid Asset Composition (%), 20072015
Table 27: HNWIs Trends of Investments in Alternative Assets (US$ Billion), 20072015
Table 30: HNWIs Global Distribution of Foreign Investments, (%) 20072015
Table 31: HNWIs Trends of Foreign Investments, 20072015
Table 32: Wealth Management Industry Main Companies Operating in India
Table 33: Wealth Management Industry Major SFOs and MFOs Operating in India
Table 34: INR to US$ Moving Annual Average Exchange Rate, 20062015
Table 35: Real GDP Growth Rate, 20062015
Table 36: GDP Per Capita, 20062015
Table 37: Gross Savings as a Percentage of Real GDP, 20062015
Table 42: Investments of FIIs in Equity Products, 200609
Table 43: Inflation Rate, 20062015

List of Figures

LIST OF FIGURES

Figure 1: HNWI Wealth Band Definitions
Figure 2: Map of India HNWI Wealth Band Definitions
Figure 3: HNWI Wealth Sector Market Attractiveness, 20072015
Figure 4: HNWIs India vs RoW and Asia-Pacific
Figure 5: HNWIs Volume and Growth Factor Correlation, 20072015
Figure 6: HNWIs Volume by Wealth Band, 20072015
Figure 7: HNWIs Wealth by Wealth Band (US$ Billion), 20072015
Figure 8: HNWIs Per-Capita Net Worth (US$ Million), 20072015
Figure 9: HNWIs Volume Distribution Wealth Pyramid, 2011
Figure 10: HNWIs Wealth Distribution Wealth Pyramid, 2011
Figure 11: HNWIs Age Distribution, 2011
Figure 12: HWNIs Age Distribution by Gender, 2011
Figure 15: HNWIs Human Capital Development Index by City, 2011
Figure 16: HNWIs Comparison of Leading Sector Shares by Region
Figure 17: UHNWIs Analysis of Wealth Band Evolution, 20072015
Figure 18: UHNWIs Volume by Wealth Band, 20072015
Figure 19: UHNWIs Wealth by Wealth Band (US$ Billion), 20072015
Figure 20: UHNWIs Per-Capita Net Worth (US$ Million), 20072015
Figure 21: UHNWIs Age Distribution, 2011
Figure 22: UHNWIs Regional Distribution by City, 2011
Figure 23: UHNWIs Distribution by Primary Source of Wealth, 2011
Figure 24: UHNWIs Sector Performance, 20072011
Figure 25: UHNWIs Sector Forecasts, 20112015
Figure 26: UHNWIs City Performance, 2011
Figure 27: UHNWIs City Performance, 2011
Figure 28: UHNWIs Distribution by Source of Wealth, 2011
Figure 29: UHNWIs Billionaires: Market Size, 20072015
Figure 31: UHNWIs Billionaires: Regional Distribution by City, 2011
Figure 32: UHNWIs Billionaires: Distribution by Primary Source of Wealth, 2011
Figure 33: UHNWIs Billionaires: Distribution by Source of Wealth, 2011
Figure 34: UHNWIs Centimillionaires: Market Size, 20072015
Figure 35: UHNWIs Centimillionaires: Age Distribution, 2011
Figure 36: UHNWIs Centimillionaires: Regional Distribution by City, 2011
Figure 37: UHNWIs Centimillionaires: Distribution by Primary Source of Wealth, 2011
Figure 38: UHNWIs Centimillionaires: Distribution by Source of Wealth, 2011
Figure 39: UHNWIs Affluent Millionaires: Market Size, 20072015
Figure 40: UHNWIs Affluent Millionaires: Age Distribution, 2011
Figure 41: UHNWIs Affluent Millionaires: Regional Distribution by City, 2011
Figure 42: UHNWIs Affluent Millionaires: Distribution By Primary Source of Wealth, 2011
Figure 43: UHNWIs Affluent Millionaires: Distribution by Source of Wealth, 2011
Figure 44: Core HNWIs Volume by Wealth Band, 20072015
Figure 45: Core HNWIs Wealth by Wealth Band (US$ Billion), 20072015
Figure 46: Core HNWIs Per-Capita Net Worth by Wealth Band, 20072015
Figure 47: Core HNWIs Age Distribution, 2011
Figure 49: Core HNWIs Distribution by Primary Source of Wealth, 2011
Figure 50: Core HNWIs Mid-Tier Millionaires: Market Size, 20072015
Figure 51: Core HNWIs Lower-Tier Millionaires: Market Size, 20072015
Figure 52: HNW Family Wealth Distribution by Source of Wealth, 2011
Figure 53: HNW Family Wealth Regional Distribution, 2011
Figure 54: NRIs UHNW NRIs: Regional Distribution, 2011
Figure 55: HNWI Asset Class Composition, 20072015
Figure 56: HNWIs Liquid Asset Composition (US$ Billion), 20072015
Figure 57: HNWIs Changing Trends in Total Liquid Assets (% of Total Assets), 20072015
Figure 58: HNWIs Trends of Investments in Alternative Assets (US$ Billion), 20072015
Figure 59: HNWIs Trends in Art, Wine and Wheels, 20062010
Figure 60: HNWIs 2015 Foreign Asset Allocation vs Growth
Figure 61: HNWIs Global Distribution of Foreign Investments, 20072015
Figure 62: HNWIs Trends of Foreign Investments, 20072015
Figure 63: Wealth Management Industry Structure
Figure 64: INR to US$ Moving Annual Average Exchange Rate, 20062015
Figure 65: Real GDP Growth (%), 20062015
Figure 66: GDP Per Capita, 20062015
Figure 67: Gross Savings as a Percentage of Real GDP, 20062015
Figure 68: Domestic Market Capitalization, 20062010
Figure 69: Housing Price Index, 20062010
Figure 70: Commodity Indices, 20062015
Figure 71: Foreign Direct Investments, 20062015
Figure 72: Investments of FIIs in Equity Products, 200609
Figure 73: Inflation Rate, 20062015
Figure 74: Repo Rate, 20062015
Figure 75: Balance of Payments, 20062010
Figure 76: Stock Market Performance, 20062010
Figure 77: External and Fiscal Debt as % of GDP, 200615
Figure 78: HNWI Wealth vs GDP, 20062010
Figure 79: Capital Formation as a Percentage of GDP, 20062015
Figure 80: Disposable Income as a Percentage of GDP, 20062015