NEW DELHI: Bengaluru, the IT and start-up hub of India, is expected see growth of Ultra High Net Worth Individuals (UHWNIs) by 40 per cent in the next five years, and will be first amongst the top five ‘cities of the future’ along with Hangzhou, Stockholm, Cambridge and Boston, according to Knight Frank Wealth Report2019.
Bengaluru had 98 UHWNIs in 2018, and between 2013 and 2018, its UHNWI population grew 36 per cent. The report said that Bengaluru’s broad ecosystem of innovation offered multiple opportunities for future growth, reflected in the rise of new age technology companies across sectors, including artificial intelligence, food tech, fintech and robotics.
Shishir Baijal, chairman and managing director, Knight Frank India, said, “Bengaluru is the first amongst five eye-catching ‘cities of the future’ based on their future economic potential. This growth, backed by its intrinsic potential arising from strong economic fundamentals, will also attract investments both from domestic as well as institutional sources.”
The report also said that the number of ultra-wealthy individuals, who have a net worth of more than $30 million, is expected to rise the most in India compared with other Asian peers in the next five years.The number of UHWNHIs is expected to grow 39 per cent to 2,697 in India between 2018 and 2023, while the number of global US dollar millionaires will cross 20 million this year.
Nicholas Holt, Head of Research, Knight Frank Asia Pacific, says, “Growth prospects in Asia remain favourable in the medium term. While China’s economy is expected to slow, emerging markets such as India and the Philippines will deliver some of the strongest growth over the coming years.”In asset allocation, rich Indians gave thumbs up to equities (30%) and bonds.
On the fast track
The number of ultra-wealthy individuals, who have a net worth of more than $30 million, is expected to rise the most in India in the next five years.