Blackstone-Backed Wealth Manager For India’s Rich Opens In Dubai

The private wealth arm of Blackstone Inc.-backed ASK Asset & Wealth Management Group has opened a Dubai office to cater for the wealthy Indian diaspora and international investors looking to tap the South Asian country. 

The new office, based in the Dubai International Finance Center, will also provide access to overseas investments for its India-based clients, according to Prateek Pant, market head for Middle East and Africa at ASK Wealth Advisors (DIFC) Pvt.  

“We are fairly confident of building a $1 billion book out of Dubai over the next three years,” Pant said. 

Several Indian-based asset managers and wealth firms have set up overseas units in Dubai and Singapore over the past year in order to tap a growing class of wealthy non-residents and global investors. At the same time, wealthy Indians and family offices want to diversify their investments and park their money in markets abroad. 

ASK is among the largest fund managers in India with 790 billion rupees ($9.2 billion) in assets under management. The private wealth arm, ASK Private Wealth, manages 440 billion rupees in assets for about 3,500 high and ultra-high net worth individuals, the company said in a statement Tuesday. 

Pant, who took charge in July last year, said the ASK group has been running an asset management business in Dubai for more than two decades. 

“We have a $300 to 400 million book on the asset management side, which is equity portfolio management and real estate funds invested in India. Now, with a DIFC license, we can provide holistic wealth advice to clients across asset classes,” he said.

The wealth management market in the Middle East is scattered but there’s huge potential for growth, said Pant. He expects to triple his three-member team in the next three years.

Still, there are some signs of difficulty ahead. Wealthy investors in India and the Middle East are becoming more cautious after experiencing a golden period of returns for the last three years, Pant said. Indian equities had been performing strongly, but weak corporate earnings, a slowdown in spending among urban consumers, a depreciation in the rupee-dollar exchange rate and geopolitical risks have led to a sharp correction in recent months. 

“There is now caution about allocating incremental capital. We see investors in the Middle East moving more into fixed income products, real estate, private credit, gold and crypto currencies,” he said.