NEW DELHI: The top 100 wealth creators have created Rs 28.4 lakh crore in 2011-16, the third highest ever quantum of wealth created revealed a study.
Tata Consultancy Services (TCS) is the biggest wealth creator for the fourth consecutive year creating in excess of Rs 2.6 lakh crore in the last five years. HDFC Bank has inched up to second position after three years of remaining at No.3.
The wealth created is calculated as change in the market cap of companies between 2011 and 2016, duly adjusted for corporate events such as mergers, de-mergers, fresh issuance of capital, buyback, among others.
While Ajanta Pharma is the fastest one for the second year in a row, Asian Paints is the most consistent wealth creator over the last 10-years from 2011- 2016.
Meanwhile, in terms of sectors, consumer/ retail has emerged as India’s biggest wealth creating sector for the second consecutive time, and the third time in the last four years. Three of the top five wealth-creating sectors included financial, technology and healthcare, which were beneficiaries of value migration
The report also noted that public sector undertakings wealth creation performance continues to be dismal during 2011-16.
The total wealth destroyed during 2011-16 is Rs 15 trillion which accounts for 53 per cent of the total wealth created by top 100 companies. Seven of the top 10 wealth destroyers are in the business of global commodities.
Wealth creation is not tough if you have a long-term horizon, clear portfolio goals, quality stock selection, right allocation and active monitoring the report stated.