HYDERABAD: With 467 ultra-high net worth individuals, Hyderabad is now home to the second-highest ultra-wealthy population in the country, just behind Mumbai. In 2021, the net worth of these 467 ultra-high net worth individuals (UHNWIs) was over $30 million.
According to Knight Frank’s Wealth Report 2022, Hyderabad’s ultra-wealthy population is expected to increase by 56 per cent to 728 by 2026. The city’s ultra-rich population grew by 48.7 per cent from 314 in 2016 to 467 in 2021. While globally the ultra-wealthy population increased by 9.3 per cent to 610,569 in 2021, the UHNWIs in India grew by 11 per cent YoY in the same year.
India also ranked sixth in percentage growth of the UHNWI population that is self-made and under the age of 40 years. About 29 per cent of the overall wealth of Indian UHNWIs is allocated to purchase of principal and second homes, followed by 22 per cent towards commercial property, including rental property and offices. According to the Knight Frank survey, eight per cent of UHNWIs’ investable wealth was allocated towards indirect properties, including REITs and funds in 2021.
Nearly 60 per cent of the overall wealth of UHNWIs in India was spent on real estate investments and 11 per cent of the wealth was allocated for passion-led investments as against the global average of 16 per cent.
Investments of passion
The joy of ownership scored above investment returns and was marked as the driving factor to collect investments of passion by the ultra-rich. Art was the most preferred investment by Indian UHNWIs, followed by jewellery and classic cars.
