- Indian HNIs are shifting from product-led to portfolio-led wealth management strategies
- GIFT City could become a key gateway for Indian investors seeking global investment access
- GIFT IFSC fund schemes raised $39.08 billion and invested $19.50 billion by March 2026
India's wealthiest investors are increasingly looking beyond domestic markets, but the next phase of that diversification could be shaped closer to home. GIFT City has the potential to become an important gateway for Indian HNIs seeking global investment opportunities, according to Ashwin Patni, Head of Wealth Management Solutions at Julius Baer India.
Patni, in an exclusive email interview with NDTV Profit, said Indian HNIs are gradually moving away from product-led investing towards portfolio-led wealth management, with mutual funds (MFs), PMS, AIFs, private markets and global assets increasingly being considered as parts of a broader allocation strategy.
The shift is significant because many wealthy Indian investors already have substantial exposure to the domestic economy through their businesses, real estate and financial investments.
"Reducing concentration risk is perhaps the most important" objective of global diversification, Patni said.
GIFT City's Global Wealth Opportunity
Patni sees GIFT City emerging as an important pillar of India's wealth-management ecosystem by allowing investors to access international opportunities through a regulated platform while remaining connected to an Indian financial ecosystem.
The opportunity is already sizeable. According to IFSCA, GIFT IFSC fund-management schemes had raised cumulative commitments of $39.08 billion and made cumulative investments of $19.50 billion as of March 31, 2026.
As Indian investors become more comfortable with international allocation, GIFT City could provide a domestic alternative to accessing global financial products.
But becoming a mainstream wealth destination will require more than capital and regulatory infrastructure.
What GIFT City Needs To Fix
Patni said product availability in GIFT City is still not as broad or seamless as in established international financial centres. The investor journey can also involve friction around account opening, KYC, documentation, product discovery and transaction execution.
For wider adoption, he identified three priorities: deeper product breadth, greater institutional participation and a more frictionless investor experience.
Investor awareness and confidence will also need to improve.
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Why Global Diversification Is Becoming More Important
The push towards global assets is broader than a tactical bet on overseas markets or a play on currency movements.
Indian HNIs can use international allocation to gain exposure to sectors and companies that have limited representation in domestic markets, including technology, healthcare innovation and advanced manufacturing.
For investors whose wealth is already closely tied to India, this can also create a more balanced portfolio by introducing different markets, currencies and sources of return.
Patni believes the appropriate allocation ultimately depends on each investor's existing India exposure, liquidity needs, risk appetite, objectives and investment horizon.
The bigger shift, therefore, may not simply be towards investing overseas. It is towards building portfolios that are less dependent on one market, one asset class or one source of return - a trend that could give GIFT City an increasingly important role in India's wealth-management landscape.
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