The Rise of India’s Uber-Rich

India’s wealth landscape is undergoing a structural transformation. Over the last two decades, rising entrepreneurship, financial market deepening, and intergenerational transfers have reshaped the country’s wealth pyramid. Today, the top 1% of Indian households control around $11.6 trillion in assets, with more than $2.7 trillion already liquid and serviceable by wealth managers.

This concentration of wealth, combined with a rapid rise in new-age millionaires and billionaires, is giving birth to one of the world’s most exciting wealth management markets. Specialized wealth managers and platforms are just scratching the surface of an opportunity that could expand fivefold over the next decade.

India’s Wealth Pyramid: The Power of the Top 1%

According to Bernstein, the top 1% of Indian households control 60% of the nation’s total wealth.

Breaking this top tier down further:

• Ultra High-Net-Worth Individuals (UHNIs): ~35,000 households, with an average net worth of $55 million and a financial asset base of ~$24 million (~45% of their total wealth).
• High-Net-Worth Individuals (HNIs): ~500,000 households, with an average net worth of $9 million and a financial asset base of ~$3.6 million (~40% of their total wealth).
• Affluent Class: ~2.5 million households, with an average net worth of ~$2 million and a financial asset base of ~$0.7 million (~35% of their total wealth).

Together, these segments form the “uber-rich”, about 3 million households that sit at the apex of India’s wealth distribution. This is the core client base of specialized wealth managers.

$2.7 Trillion in Play Today, $9 Trillion by 2035

Of the $11.6 trillion controlled by the uber-rich, a large portion remains locked in real estate, gold, and promoter equity stakes. But about $2.7 trillion is already liquid sitting in deposits, equities, mutual funds, and insurance.

This pool is expected to triple by 2035, reaching $9 trillion as more promoter holdings are monetized through IPOs, block sales, and secondary transactions. Meanwhile, specialized wealth managers are expected to grow their market share from 11% today to 17%, implying a fivefold jump in managed assets from $300 billion to $1.6 trillion over the next decade.

The tailwinds are powerful:

• Financialization of savings (shift from gold/real estate to financial assets).
• Start-up wealth creation (founders and early employees entering the UHNI bracket).
• Generational transitions driving professionalization of wealth management.

Why Wealth Management in India Is Just Getting Started

At first glance, wealth management may seem like a developed-market business. How can it thrive in an economy where per capita income is only $3,000 per year?

The answer lies in wealth concentration. India already ranks third in the world by number of billionaires and fourth by the number of individuals with a net-worth of $10 million or more. Mumbai alone counts 67 billionaires, ranking it sixth globally among cities.

For wealth managers, the size of the market in India is defined not by average income but by the number of HNI and UHNI households. And by that measure, India is already one of the largest pools of untapped opportunity in the world.

Self-Managed vs Professional Advice

Traditionally, Indian UHNIs relied on family accountants or self-managed investments. Banks captured another slice of the market with private banking arms. But both models fall short for today’s wealthy clients:

• Unorganized advisors lack scale and sophistication.
• Banks are often product-driven, limited by regulatory constraints, and less agile in customization.

This leaves a gap for specialized wealth managers who combine personalized relationship management with access to a full suite of financial and alternative products. Their ability to serve as one-stop shops, offering distribution, advisory, loans against shares, alternative investments, and even estate planning, gives them a structural edge.

The Shift to Advisory Models

Another sign of maturity in India’s wealth ecosystem is the rise of advisory over distribution models.

Historically, wealth managers earned through distribution commissions from AMCs. Now, savvy UHNIs are opting to pay fees directly, eliminating conflicts of interest and lowering overall costs.

While this shift puts pressure on yields, it also lengthens client stickiness and raises lifetime value, a sign of a market evolving toward global norms.

Alternative Investments are the Next Growth Engine

A defining trend in India’s wealth management industry is the rising allocation to alternative assets. Wealthy clients are moving beyond traditional equities into PMS, AIFs, private equity, and structured products.

For UHNIs, alternatives are becoming an essential part of portfolio construction, offering higher returns, diversification, and differentiated access. For wealth managers, alternatives matter because:

• They carry higher margins compared to mutual funds.
• They create stickier client relationships due to multi-year lock-ins.
• They expand wallet share by offering exposure to private markets.

India’s alternatives market is still at an early stage compared to global peers, but with liquid wealth set to triple by 2035, alternatives will be a central driver of growth for wealth platforms.

Relationship Managers: The Engine of Growth

If net new money is the “north star metric” for wealth managers, relationship managers (RMs) are the engines.

• UHNI RMs manage fewer but much larger accounts, generating the highest profit per RM.
• HNI RMs handle more accounts at smaller ticket sizes, making scalability easier.

India’s wealth platforms are in a talent war, competing to attract and retain top RM talent. The scarcity of experienced UHNI RMs makes them particularly valuable, while the HNI space offers scalability by hiring from the large pool of private bank RMs.

Risks on the Horizon

Despite the growth runway, risks remain:

• Regulatory shifts, especially around derivatives, HFTs, or structured products like MLDs.
• Talent churn – RM attrition can directly impact AUM flows.
• Client sophistication – UHNIs are building family offices, negotiating lower fees, and pushing platforms toward advisory models.

Yet these risks also underline why the sector is consolidating, with a handful of dominant players expected to emerge over time.

The Decade of Wealth Management in India

India’s wealth management story is about concentration, financialization, and institutionalization. With $2.7 trillion already in play and $9 trillion expected by 2035, specialized wealth managers are perfectly positioned to capture this growth.

As more IPOs, secondaries, and promoter stake sales unlock liquidity, the uber-rich are turning to professional platforms for advice, access, and sophistication. For investors, entrepreneurs, and market-watchers, this marks the beginning of a new era: the decade of wealth management in India.

Research Analyst

Simran Mehla

Frequently Asked Questions

Q: How much wealth do the top 1% in India control?

A: According to Bernstein, the top 1% of Indian households control about $11.6 trillion in assets, of which around $2.7 trillion is already liquid and accessible to wealth managers.

Q: What is the growth outlook for wealth managers in India?

A: Bernstein projects that liquid wealth will grow from $2.7 trillion today to $9 trillion by 2035, with specialized wealth managers increasing their market share from 11% to 17%. This implies a fivefold jump in managed assets from $300 billion to $1.6 trillion.

Q: Why is India’s wealth management market growing so fast?

A: Key drivers include rising financialization of savings (shift from gold/real estate to equities, mutual funds, and alternatives), start-up wealth creation from IPOs and private market exits, and large-scale generational wealth transfers driving demand for professionalization.

Q: Why are alternative assets important in India’s wealth management industry?

A: Alternatives such as PMS, AIFs, private equity, and structured products are becoming key components of UHNI and HNI portfolios. They not only deliver diversification and higher potential returns but also help wealth managers build stickier, long-term relationships with clients.

Q: How many billionaires does India have (individuals with $1 billion+ net worth)?

A: India is home to over 200 billionaires, ranking it third in the world after the United States and China.

Sources

1. Bernstein Report
2. https://www.businesstoday.in/india/story/sanjeev-sanyal-indias-per-capita-income-is-around-3000-to-have-higher-income-you-need-a-larger-gdp-477824-2025-05-26