One In Five Ultra-Rich Indians Plan To Migrate Abroad, Says Kotak Private

One in five ultra-high net-worth individuals in India are either currently in the process to move abroad or are planning to migrate soon, according to a report by Kotak Private Banking.

Most of the ultra-HNIs intend to reside in their chosen host country permanently while retaining their Indian citizenship, said the report titled 'Top Of The Pyramid India: Decoding The Ultra HNI'.

Among this class of wealthy individuals, professionals show a higher propensity to migrate than entrepreneurs or inheritors, it said.

Ultra-HNIs in the age groups 36-40 years and those aged 61 and above show a higher propensity to migrate compared to their peers, the report showed.

The are various factors behind this decision — be it seeking an improved standard of living, healthcare solutions, education, or lifestyle, the report said. These individuals are drawn to destinations that offer differentiated avenues for growth, it added.

Additionally, the navigable business environment, favourable legal and taxation policies, and access to global mobility allow them to explore new cultures, expand their networks, and pursue investment opportunities worldwide, it further noted.

The findings have come at a time when the number of ultra-HNIs are expected to rise to 4.3 lakh by 2028 from 2.8 lakh in 2023, said Kotak Private, which is a division of Kotak Mahindra Bank. The cumulative estimated wealth of ultra-HNIs is expected to rise to Rs 359 lakh crore by 2028 from Rs 232 lakh crore, it added.

Kotak Private believes that equity still remains the king in the portfolio of HNIs and ultra-HNIs at 32%, followed by 29% of their investments in real estate, 21% in debt and 18% in alternate assets. Another important highlight is that 45% of ultra HNIs' investments are in commercial real estate.