India's top wealth managers have posted a 18% rise in assets over 2018 to $193bn showing resilience as the sector in Asia faces a slowdown.
India's number one spot was again held by Kotak Mahindra Bank, with its AuM rising to $33.6bn. Domestic asset managers continued to expand their share of the country's burgeoning market, and accounted for about 78% of the India's top 20's AUM last year, versus 64% in 2015.
The top 20 wealth firms in India expanded their AuM by 18% over the previous year to $193bn, according to a reportby Asian Private Banker. In contrast, assets at the 20 largest private banks across the whole of Asia fell 3.6% as market turbulence deterred rich clients from deploying their wealth, according to the report.
BNP Paribas kept its leading position among foreign wealth managers in India with total assets of $13.8bn last year.
There were a total of 3,564 wealth managers at India's top 20 firms last year, Asian Private Banker said, yielding an average $54m of AuM per individual. That's a tiny fraction of the average $882m handled by each wealth manager at Goldman Sachs, as disclosed in APB's earlier report.
As wealth grows in India, the country is attracting even more investment from abroad. Foreign direct investment in services sector grew 36.5% to $9.15bn in 2018-19, according to the Department for Promotion of Industry and Internal Trade (DPIIT).
The services sector attracted FDI worth $6.7bn in 2017-18. This includes finance, banking, insurance, outsourcing, R&D, courier, tech testing and analysis. The government has taken measures like improving timeliness for approvals and streamlining procedures to improve ease of doing business in the country and attract foreign investments.
Foreign investments are essential for India as the country needs around $1trn to modernise its infrastructure sector such as ports, airports and highways to boost growth.