The Indian wealth management industry is at a new
stage. Providers, products, channels, technology,
regulation, and clients are coming together in the wealth management space
to capitalize on this tremendous growth opportunity.
The wealth management industry in India is
experiencing an evolutionary phase of development. With the liberalization
of the Indian economy and subsequent growth and prosperity across sectors,
the wealth management industry is poised to gain greater traction in an
expanding market. In a new report, Overview of the Indian Wealth
Management Market, Celent examines how the wealth management industry
is enhancing its relevance in this dynamic marketplace.
According to the report, India is slated to become a
US$1 trillion market (in assets under management) for wealth management
providers by 2012, with a target market size of 42 million households.
The client segmentation schema promises growth
across all the six categories:
- Ultra-high net worth, or Ultra-HNW (in excess of
US$30 million), will have a total population of 10,500 households by
2012.
- Super high net worth (between US$10 and $30
million) will have a total population of 42,000 households by 2012.
- High net worth (between US$1 million and $10
million) will have a total population of 320,000 by 2012.
- Super affluent (between US$125,000 and $1 million) will have a total population of 350,000 households by 2012.
- Mass affluent (between US$25,000 and $125,000) will
have a total population of 1.8 million households by 2012.
- Mass market (between US$5,000 and $25,000) will
have a total population of 39 million households by 2012.
"This phenomenal market opportunity is
resulting in interesting dynamics at the provider end, where there is
consolidation by segment. At the product end, Celent foresees the launch
of diverse products catering to different client segments and
sophistication levels," says Ravi
Nawal, analyst in Celent's banking
practice and author of the report. "There is increasing momentum
towards structure in this previously chaotic domain. We should expect some
very India specific innovations in the near future."
This report examines the structural and contextual
changes that are driving the growth of new product and provider classes,
as well as highlighting future trends in the industry. The report also
details client segments and explores the technology framework required at
the provider end to effectively exploit this immense market opportunity.
The 36-page report contains 8 tables and 20 figures.
A table of contents is
available online.
