Hyderabad is home to 467 ultra-high net worth individuals (UHNWIs, with a net worth of $30 million (over Rs 225 crore) and above) in 2021, second only to Mumbai (1,596 UHNWIs) and much ahead of Bengaluru and Pune.
The ultra-wealthy population in Hyderabad is anticipated to grow by 56% to 728 by 2026, according to Knight Frank’s Wealth Report 2022.
“While technology and the digital economy made a contribution to the rise in the ultra-wealthy population nationally, Hyderabad witnessed information technology, pharmaceuticals, and biotechnology playing a key role in boosting wealth in 2021,” Rajani Sinha, chief economist and national director–Research, Knight Frank India, informed Telangana Today.
Hyderabad’s ultra-rich population has increased by 48.7% in the last five years, from 314 in 2016 to 467 in 2021. In 2020, the city had 416 persons, indicating that the population increased by 51 in just one year, bringing the total to 467 in 2021.
ALSO READ: Hyderabad emerges as preferred market for real estate
Pune occupies third place with 360 people, while Bengaluru took fourth place with 352 people, followed by Kolkata with 257 people, Delhi with 210 people, Chennai with 160 people, and Ahmedabad with 121 people.
The growth of India
In 2021, the number of UHNWIs in India increased by 11% YoY to 13,637 people, the highest percentage increase in APAC. By 2026, the country is predicted to see 39 per cent growth
India was also rated sixth in terms of the percentage growth of the self-made UHNWI population under the age of 40. In 2021, the number of ultra-wealthy people in the world increased by 9.3% annually, to 6,10,569 people.
“Equity markets and digital usage have been important reasons fueling the growth of UHNWIs in India,” stated Shishir Baijal, CMD, Knight Frank India. “In India, the number of younger, self-made UHNWIs have skyrocketed, and we expect them to drive new investment themes and innovation.”
With a healthy increase in the number of UHNWIs and billionaires, India is likely to be one of the fastest-growing countries among its global peers, significantly strengthening its economy and establishing itself as a superpower in various sectors, according to Baijal.
Allocation of wealth
According to The Wealth Report’s Attitude Survey, 29 per cent of the overall wealth of Indian UHNWI is dedicated to the purchase of principal and secondary houses, with 22 per cent going to commercial property (including rental property, offices etc).
ALSO READ: Hyderabad International Airport awarded ACI World’s ‘Voice of the Customer’ recognition
In 2021, 8% of the investable wealth was allocated to indirect properties (including REITs, funds, and other similar investments), according to the survey. In 2021, about 60% of the total wealth of India’s UHNWIs was devoted to real estate assets.
Investments driven by passion
According to the survey, Indian ultra-high net worth individuals devote 11% of their investable wealth to passion-driven investments, compared to a global average of 16%. In the year 2021, almost 29% of Indian UHNWIs spent more on passion investments.
ALSO READ: In Jan 2022 residential properties worth Rs 2,695- crore were transacted in Hyderabad
The most popular investment among Indian UHNWIs was art, followed by jewellery and classic cars. Luxury Handbags and Wines dropped from first to fifth and seventh place, respectively, in 2021. According to Knight Frank’s luxury investment index (global), art gave a 13 per cent return in a year and a 75 per cent return over ten years.
(This story has been sourced from a third-party syndicated feed, agencies. Raavi Media accepts no responsibility or liability for the dependability, trustworthiness, reliability, and data of the text. Raavi Media management/ythisnews.com reserves the sole right to alter, delete or remove (without notice) the content at its absolute discretion for any reason whatsoever.)
