Hyderabad Now Has India’s 2nd Highest No. of Super Wealthy

The ultra wealthy Indian now prefers to invest in art and classic cars.

MUMBAI – Hyderabad is home to 467 ultra-high net worth individuals (UHNWIs), with net worth of $30 million in 2021, the second highest in India following Mumbai which has 1,596 UHNWIs.

Rajani Sinha, chief economist & national director– Research, Knight Frank India, told Telangana Today, “While technology and digital economy contributed to a surge in the ultra-wealthy population nationally, Hyderabad saw information technology, pharmaceuticals and biotechnology playing a key role in boosting wealth in 2021.”

According to Knight Frank’s Wealth Report 2022, the ultra-wealthy population in Hyderabad is expected to increase by 56 per cent to 728 by 2026. The city’s increase is going to be much above the national and global growth rates of 39 per cent and 28.4 per cent by 2016, respectively.

Pune occupies third position with 360 individuals in 2021 while Bengaluru has 352 individuals holding fourth position, followed by Kolkata with 257 individuals, Delhi with 210 individuals, Chennai with 160 individuals and Ahmedabad with 121 individuals.

Telangana Today reported that the Attitude Survey of The Wealth Report showed, 29 per cent of the overall wealth of Indian UHNWI is allocated to purchase of principal and second homes followed by 22 per cent towards commercial property (including rental property, offices).

The survey further showed that eight per cent of the proportion of investable wealth was allocated towards indirect properties (like funds, etc.) in 2021. Nearly 60 per cent of the overall wealth of UHNWIs in India was allocated towards real estate investments in 2021.

The survey shows that 11 per cent of the investable wealth of Indian UHNWIs is allocated towards passion led investments against the global average of 16 per cent. About 29 per cent of Indian UHNWIs spent more on passion investments during the year 2021.

Art was the most preferred investment by Indian UHNWIs, followed by jewelry and cars. Luxury handbags and wines, slipped from their earlier first position to fifth and seventh respectively in 2021.