Wealth consists not in having great possessions, but in having few wants.


There are many people in the World who have made a boat load of money, but they are clueless about what they can do with it. Most governments tax individual wealth quite heavily, so traditional savings instruments are really not an option for High Networth Individuals (HNIs).

HNIs need experts who can help invest their millions in financial instruments or other opportunities which can multiply their funds. Wealth managers are the experts who help HNIs multiply their portfolio value.

Wealth management is an investment advisory service that combines financial/ investment advice, accounting and tax services, retirement planning and legal or estate planning for a set fee. These are experts who guide their clients by coordinating inputs from financial experts and can include advice from the client’s own attorney, accountants and insurance agents. Some wealth managers also help their clients to invest in any country of the World.

In short, wealth managers are well networked individuals, who have their fingers on the pulse on every little activity that happens in the financial world. They keep their ears to the ground for any news/ investment that could benefit their clients.

How does Wealth Management work?

Wealth management is a combination of both financial planning and specialized financial services which includes personal banking, tax advice, estate planning, and investment management.

The main motive of wealth management is to build long-term wealth. The net worth required for an individual to qualify for wealth management services may vary across institutions, but typically starts between Rs 20 – 25 crore. The range of services to be offered and the service fee that is charged also depends on the net worth of the individual.

Wealth Management in India :

The management of wealth in India proves to be very tricky for wealth managers. Wealth management for India’s rich, is based on trust and instincts.

Despite this, a boom in salaries and an abundance of HNIs (startups founders and C-suite executives), most wealth managers are quite positive about the prospects of the industry.

According to a report by the Asian Private Banker, India’s wealthy are increasingly rushing to domestic wealth managers for investment advice. Wealth managers have had a bumper year in 2017, with the 20 largest firms managing assets worth $169 Billion – a growth of 63%.

There are three types of wealth management service providers in India – Banks, Brokerage firms and Boutique Advisory firms. The top wealth management companies in India are IIFL wealth and Kotak Mahindra Bank. Other banks such as HDFC Bank and ICICI bank. Non-bank players such as Edelweiss and Centrum are also extremely aggressive in the field of wealth management.

According to Anshu Kapoor, Head of Private Wealth Management at Edelweiss, “Demand is not the problem!”. He made these comments while talking about the amount of funds that are available for wealth managers to supervise. According to him, it is the supply that has to keep up, .i.e. the industry has a dearth of talented wealth managers.

The industry is poised to manage funds in excess of $3 trillion of personal invest-able wealth by 2022. This is in line with the projections made for the Indian economy – which is on its way to have a double digit growth rate by 2022.

Thus, the Indian financial industry is going to witness an exponential growth in the demand for wealth managers in the coming decade.

BSE Institute provides short time online courses for all candidates on BSE Varsity who wish to learn about wealth management. The Institute’s course on Introduction to Wealth Management helps you learn everything about Wealth Management in just 4 sessions! This course aims to help smart professionals and investors take charge of their portfolios and grow it faster. The course also helps students and other executives to learn more about building a career in wealth management.