'Individual wealth to treble by FY16 to Rs 249 trillion'

The individual wealth of Indians is set to login a compounded annual growth rate of 23 percent over the next four years and touch a staggering Rs 249 trillion, says a report by Karvy Private Wealth.

Noting that the individual wealth in the country has been growing consistently since the past few years, the report says the growth rate will outshine the rest of the world and treble by 2016. The wealth of Indians has grown from Rs 73 lakh crore (trillion) last year to estimated Rs 86.5 trillion currently.

"Wealth of Indian individuals has grown by over 18 percent compared to a mere 9.7 percent for the global high networth individuals in the last one year," says the report, adding this growth was led by fixed deposits, insurance, equity and alternative assets.

"At a CAGR of 23 percent over the next four years, the combined wealth of individuals in the country will touch Rs 249 trillion by FY2016," Karvy Group chief executive and head of broking, wealth management abs asset management Hrishikesh Parandekar said here today while releasing the second edition of its India wealth report. The report says individual wealth will touch Rs 106.87 trillion by FY12, Rs 132 trillion by FY13, Rs 163 trillion by FY14; Rs 201.29 trillion by FY15 and Rs 248.62 trillion by FY16.

Karvy Private Wealth is the wealth management arm of the financial services firm Karvy Group. This report is on the combined wealth of all the individuals in the country and not just the richie rich and also does not include government and institutional holdings and assets like gold and real estate.

"We are clearly poised to an inflection point in terms of wealth accumulation. To put it differently, we have added as much wealth in the last five years as we have done in the first 50 years of Independence,"Karvy Private Wealth chief executive Sunil Mishra said.