HNWI of Indian Wealth Management Industry – Trends, Analysis And Forecast (2010-2015)

Report Summary

India has registered tremendous growth in terms of the population of HNWIs and their wealth, especially after the recent economic crisis; wealth management firms are now targeting this highly untapped market, offering HNWIs highly customized services and multiple investment opportunities

Clients have now become more cautious about selecting their wealth managers, taking into consideration factors such as advisory capability, brand, image and reputation, and personal relationship before making a choice. Equities and related investment once again leads various investment options available to HNWIs followed by debt related instruments
The wealth management market in India is dominated by the domestic banking sector. Many new firms are realizing the attractiveness of the Indian market and thus making huge inroads into the country. Although foreign banks have significant banking operations, their wealth management business is still at a nascent stage. Wealth manager are shifting their focus towards Tier II and Tier III cities

Scope of the report

Market Overview: This section talks about the wealth and population of HNWIs in India and the various products and services offered to them. While commenting on the opportunities among Indian HNWIs for wealth management firms, it also discusses winning imperatives for the firms.

Market Dynamics: This section discusses in detail the investment of HNWIs in various available asset class, which has been broadly classified as equity and equity related products, fixed income products and alternative investment products.

It deeply analyses the behavior, needs and demands of HNWIs as a whole as well as demands based on age and source of wealth accumulation.

The section also analyses the various drivers for HNWIs wealth creation, the forecast of HNWI wealth and the restraints and challenges faced by the wealth management companies operating in India.

Trends of HNWIs in India
This section talks on various trends of HNWIs in India such as concentration of HNWIs in Tier I and II cities, HNWIs selection criterion for wealth manager,

Competitive Landscape
This section discusses the various players in the banking as well as non-banking sectors in India. It also discusses the market share of wealth management firms in India in terms of AUM and clients per advisor, and benchmarking of various firms in the country.

Company Profiles
This section describes companies offering wealth management services in India, and include an overview, primary business, wealth management operations in India, strategies followed by them and recent developments related to wealth management operations in India.

Table of Contents

1. Introduction
1.1 Report Purpose
1.2 Report Catalyst
1.3 Report Structure
1.4 Research Objectives
1.5 Stakeholders
1.6 Research Methodology

2. Market Overview
2.1 Hnwi In India
2.2 Wealth Management Products And Services For Hnwi In India
2.2.1 Wealth Management Products
2.2.2 Wealth Management Services
2.3 Winning Imperatives
2.3.1 Expertise In Third Party & In-house Products
2.3.2 Client Serving Model
2.3.3 Talented Relationship Managers

3. Market Dynamics
3.1 Hnwi Investments Allocation In Different Asset Class
3.1.1 Asset Allocation In Equity And Equity Related Products
3.1.1.1 Direct Equity
3.1.1.2 Mutual Funds
3.1.2 Asset Allocation In Fixed Income Products
3.1.2.1 Fixed Deposits & Bonds
3.1.2.2 Insurance
3.1.2.3 Deposits In Saving Accounts
3.1.2.4 Small Savings
3.1.2.5 Provident Fund
3.1.3 Asset Allocation In Alternative Investments
3.1.3.1 Equity Linked Debentures
3.1.3.2 Private Equity Funds/Venture Capital
3.1.3.3 Real Estate Funds
3.1.3.4 Film Funds
3.1.3.5 Art Funds
3.2 Needs And Demands Of Hnwi
3.2.1 Financial Planning And Advisory Asset Management Services Most Demanded By Hnwi
3.2.2 Hnwi Demand Frequent Personal Interaction With Wealth Managers
3.2.3 Hnwi Of Different Age Group Have Different Investment Objectives
3.2.4 Investment Preference Of Hnwi Based On Source Of Wealth
3.3 Analysis And Forecast
3.3.1 Macro Economic Drivers
3.3.1.1 Real Gdp Growth Rate
3.3.1.2 Compensation Per Employee
3.3.1.3 Household Saving Rate
3.3.1.4 Domestic Market Capitalization
3.3.1.5 Deposit Interest Rate
3.3.2 Hnwi Wealth Forecast In India (2010-2015)
3.3.3 Restraints And Challenges For Wealth Management Firms
3.3.3.1 Shortage Of Talented Relationship Managers
3.3.3.2 Lack Of Product Knowledge Among Clients
3.3.3.3 Regulatory Issues
3.3.3.3.1 ‘fund Of Fund’ Schemes
3.3.3.3.2 Direct Tax Code
3.3.3.3.3 Documentation
3.3.3.3.4 Disclosure Of Investor Complaints In The Annual Report

4. Trends Of Hnwi In India
4.1 Large Population Of Hnwi In India Remains Out Of Reach Of Financial Advisors
4.2 Hnwi Consider Advisory Services As Major Criterion To Select Wealth Managers
4.3 Hnwi Rely More On Recommendations From Known Ones In Choosing Wealth Manager
4.4 Wealth Managers Targeting Hnwi In Tier Ii And Tier Iii Cities

5. Competitive Landscape
5.1 Banks
5.2 Non Banks Or Financial Institutions
5.3 Market Share Analysis Of Wealth Management Firms
5.4 Benchmarking Of Wealth Management Firms

6. Company Profiles
6.1 Axis Bank Lid
6.1.1 Overview
6.1.2 Primary Business
6.1.3 Wealth Management Business
6.1.4 Strategy
6.1.5 Developments
6.2 Deutsche Bank
6.2.1 Overview
6.2.2 Primary Business
6.2.3 Wealth Management Business
6.2.4 Strategy
6.2.5 Developments
6.3 Housing Development Finance Corp Ltd
6.3.1 Overview
6.3.2 Primary Business
6.3.3 Wealth Management Business
6.3.4 Strategy
6.3.5 Developments
6.4 Hongkong And Shanghai Banking Corp Ltd
6.4.1 Overview
6.4.2 Primary Business
6.4.3 Wealth Management Business
6.4.4 Strategy
6.4.5 Developments
6.5 Icici Bank Ltd
6.5.1 Overview
6.5.2 Primary Business
6.5.3 Wealth Management Business
6.5.4 Strategy
6.5.5 Developments
6.6 Kotak Mahindra Bank
6.6.1 Overview
6.6.2 Primary Business
6.6.3 Wealth Management Business
6.6.4 Strategy
6.6.5 Developments
6.7 Standard Chartered Ltd
6.7.1 Overview
6.7.2 Primary Business
6.7.3 Wealth Management Business
6.7.4 Strategy
6.7.5 Developments
6.8 Religare Macquarie Private Wealth
6.8.1 Overview
6.8.2 Primary Business
6.8.3 Strategy
6.8.4 Developments

List Of Figures

1 Market Segmentation Of Households On The Basis Of Wealth
2 Growth Rate Of Hnwi Population-world, Asia Pacific, India
3 Percentage Share Of Hnwi Population & Wealth (2009)
4 Hnwi Investment On The Basis Of Key Asset Class (2009)
5 Hnwi Investments (2009)
6 Allocation Of Mutual Funds Investment In Various Assets (2009)
7 Hnwi Prefered Bank Deposits (2009)
8 More Hnwi Invested In Corporate Bonds (2009)
9 Investment In Insurance Products (2009)
10 Investments In Small Savings (2009)
11 Investments In Provident Fund (2009)
12 Investments In Alternative Assets (2009)
13 Rating Of Services As Preferred By Hnwi
14 Hnwi Characteristics
15 Hnwi Age Wise Distribution
16 Source Of Wealth Accumulation
17 Gdp Growth Rate (2005 - 2015)
18 Change In Average Nominal Wages (2005 - 2015)
19 Household Saving Growth Rates (2005 - 2015)
20 Domestic Market Capitalization
21 Deposit Interest Rate (2005 - 2009)
22 Forecast Of Hnwi Wealth (2009 - 2015)
23 Large Percenatage Of Hnwi In India Still Untapped By Financial Advisors
24 Most Prefered Parameters In Selecting Wealth Manager