New Delhi: India’s wealthiest 1 per cent of citizens, comprising Ultra High Net Worth Individuals (UHNI), High Net Worth Individuals (HNI), and the affluent class, hold nearly 60 per cent of their total assets in real estate and gold, according to a new report by US-based wealth management firm Bernstein.
Despite accounting for just 1 per cent of Indian households, this elite group controls nearly 60 per cent of the nation’s overall household wealth, which is estimated at $19.6 trillion. Of this, $11.6 trillion, around 59 per cent, is concentrated in the hands of this segment.
The report notes that while this group holds 70 per cent of India’s financial assets, only $2.7 trillion is invested in serviceable or actively managed financial instruments like mutual funds, equities, insurance, and deposits. The remaining $8.9 trillion is locked in non-serviceable or less flexible assets such as gold, cash holdings, promoter equity, and physical real estate.
The findings highlight a significant opportunity for asset management firms, as a large portion of the country’s wealthy remains underserved by formal financial advisory services. Bernstein noted that wealth managers currently oversee only about 11 per cent of India’s liquid financial assets, signaling a massive untapped market for professional wealth management.
The report also pointed to a stark divide in wealth and income distribution across the country. While the top 1 per cent earns 40 per cent of the national income, the rest of India holds only a small share of both income and assets, underscoring the depth of wealth inequality.
There are roughly 35,000 UHNI households in India, each with a net worth exceeding $12 million (Rs 100 crore). On average, these households hold $54 million (Rs 472.5 crore) in assets, including $24 million (Rs 210 crore) in financial holdings.
Collectively, this affluent group holds $4.5 trillion in financial assets, 70 per cent of India’s total financial wealth, indicating their growing influence on the country’s economic landscape and the potential for greater portfolio diversification in the future.