The India Wealth Survey 2025, conducted by Marcellus Investment Managers in collaboration with Dun & Bradstreet, reveals critical insights into the financial habits of India’s High Net-Worth Individuals (HNIs). Despite a record-breaking bull market in recent years, many HNIs are grappling with challenges in achieving their financial goals, maintaining disciplined savings, and finding trustworthy advisors. The survey, which studied 465 HNI respondents from metro, Tier 1, and Tier 2 cities, aged above 30 with a post-tax household income exceeding ₹20 lakh per annum, highlights a concerning trend: 43% of HNIs save less than 20% of their income, and a significant portion have over 20% of their assets tied up in real estate.
Key Findings from the India Wealth Survey 2025
Low Savings Rates Among HNIs
The survey underscores a lack of savings discipline among Indian HNIs:
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34% of HNIs save between 10-20% of their post-tax income.
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9% save less than 10%, a worrying figure for wealth-building.
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32% save between 20-30%, while only 25% manage to save over 30% of their income.
This low savings rate is a significant barrier to achieving long-term financial goals, particularly in a high-growth economy like India.
Heavy Real Estate Allocation
A striking finding is the heavy reliance on real estate as an investment vehicle:
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50% of HNIs have at least 20% of their assets (excluding their primary residence) allocated to real estate.
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In contrast, only one-third of respondents have over 20% of their portfolio in equities, despite the strong performance of Indian stock markets.
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14% of HNIs do not maintain any emergency funds, increasing their financial vulnerability.
This skewed allocation toward real estate, often less liquid and more volatile in certain market conditions, may limit diversification and expose HNIs to sector-specific risks.
Financial Challenges and Goals
The survey identifies key challenges hindering HNIs’ financial success:
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40% struggle with low investment returns.
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29% cite a lack of savings discipline.
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21% face difficulties due to a poor understanding of investment options.
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9% are burdened by high debt levels.
Despite these challenges, HNIs have ambitious financial goals:
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40% aim to retire early.
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40% plan to buy a house.
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75% prioritize funding their children’s education and marriage.
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40% aspire to start a business.
Reliance on External Advice
The survey reveals that most HNIs depend on external sources for investment decisions:
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36% seek advice from bank managers.
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32% consult wealth advisors or chartered accountants.
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26% rely on family or friends.
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13% make independent investment decisions.
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2% are influenced by social media influencers.
However, two-thirds of respondents expressed dissatisfaction with the advice they received, highlighting a critical gap in trustworthy financial advisory services.
Loan Trends
Debt is a notable factor for many HNIs:
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40% of respondents have at least one open loan.
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61% are debt-free, indicating a relatively cautious approach to borrowing among the majority.
Why This Matters
The findings of the India Wealth Survey 2025 highlight a disconnect between India’s booming economy and the financial strategies of its HNIs. While the stock market has delivered exceptional returns, the low savings rate and heavy real estate allocation suggest a need for better financial planning and diversification. The dissatisfaction with advisory services further underscores the importance of seeking reliable, professional guidance to navigate complex investment landscapes.
How HNIs Can Optimize Their Wealth Strategy
To address these challenges, HNIs can consider the following steps:
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Increase Savings Discipline: Aim for a savings rate of at least 30% of post-tax income to build a robust financial foundation.
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Diversify Investments: Reduce over-reliance on real estate by exploring equities, mutual funds, and fixed-income instruments for better risk-adjusted returns.
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Maintain Emergency Funds: Allocate 3-6 months’ worth of expenses to a liquid emergency fund to enhance financial security.
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Seek Trusted Advisors: Partner with certified financial planners or wealth managers with a proven track record to create a tailored financial roadmap.
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Stay Informed: Educate themselves on investment options to make informed decisions and avoid over-dependence on external advice.
Conclusion
The India Wealth Survey 2025 paints a clear picture: Indian HNIs are not saving enough, and their heavy allocation to real estate may limit their financial flexibility. With 43% saving less than 20% of their income and two-thirds dissatisfied with financial advice, there is an urgent need for improved financial literacy and access to reliable advisors. By prioritizing savings, diversification, and informed decision-making, HNIs can better position themselves to achieve their financial goals in India’s dynamic economic landscape.
