Around 46 per cent of ultra high net worth individuals in India are likely to increase their investment in private equity segment in 2019, a jump of 9 per cent compared to last year, a survey showed. According to the Attitudes Survey of ultra high net worth individuals (UHNWIs) conducted by Knight Frank, 31 per cent of the survey respondents around the globe said that they are going to increase allocation to private equity this year. In 2018, about 25 per cent respondents had cited allocation in private equity.
The report further found that the positive attitude of ultra high net worth individuals towards investments in asset class has also gone up to 26 per cent in Asia in 2019 as compared to 20 per cent last year. On an average, private equity finds 4 per cent allocation in the overall investment portfolio of Indian ultra high net worth individuals, while the global average for such allocation is 7 per cent, the survey found.
“In India, where the volume of wealth is rising the fastest globally, ultra high net worth individuals in the country are expected to decrease cash exposure and increase their allocation to private equity in 2019 as local investors grow in sophistication,” Knight Frank India Chairman and MD Shishir Baijal said.