As you read this report, you will know that the World wealth is indeed growing but the Indian wealth is accelerating at a much faster pace. The overall HNI wealth in India has grown by 28% as against a global HNI wealth growth of only 12 % last year . What is interesting is that this year is indeed different from the earlier years. We have seen an important trend reversal and this has happened for the first time since we started publishing this annual wealth report from 2009. The incremental allocation of wealth has moved significantly from physical assets to financial assets. Our study indicates that financial assets, which had a share of only around 35% of the new money invested in the last year; now have as much as 54% share of the allocation of incremental savings and investments.
This report indicates that as of Mar’15, the overall wealth share of real estate has remained flat while that of gold, silver and platinum has actually gone down. Amongst the financial assets, while direct equity and fixed deposits are the top two investment vehicles; mutual funds have seen the maximum incremental growth of allocation of new money. An important fact that I want to present to you is that this latest data, we have analyzed shows that while the percentage wealth allocation for India vis-a-vis the world is similar for real estate and debt, the equity allocation is much lesser (16 % v/s 27 %). The key question is will India catch up with the rest of the World on equity allocation?