India 2016 AUM League Table

India 2016 AUM League Table

 

India’s 20 largest wealth managers grow their AUM by 33% in 2016

India’s private banking industry grew at a healthy pace in 2016, with the 20 largest private banks and wealth managers in the country growing their client assets by a combined 33.8% YoY to US$103.7 billion, according to Asian Private Banker’s India AUM and RM Headcount League Tables for 2016.

India AUM (US$ billion)

2016 RankWealth Manager201620152015-2016 YoY
1Kotak Wealth Management15.39.659.3%
2IIFL Wealth & Asset Management14.88.672.1%
3ICICI Private Bank8.57.611.8%
4Standard Chartered Private Bank7.86.421.9%
5Edelweiss Wealth Management7.43.1138.7%
6BNP Paribas Wealth Management7.35.435.2%
7Julius Baer7.06.016.7%
8Citi Private Bank7.06.016.7%
9HDFC Private Bank6.56.16.6%
10Barclays Wealth4.34.22.4%
11Sanctum Wealth Management3.02.520.0%
12Deutsche Bank Wealth Management*2.33.0-23.3%
13ASK Wealth Advisors2.10.9133.3%
14Credit Suisse Private Banking2.02.00.0%
15L&T Finance Wealth Management*1.91.346.2%
16Centrum Wealth Management1.81.520.0%
17Avendus Wealth Management1.71.070.0%
18Anand Rathi Wealth Management1.61.323.1%
19Motilal Oswal1.00.742.6%
20Ambit Private Wealth0.40.336.7%

All figures are APB estimates, and are reported in US dollars.
Banks may include loans and deposits
*Figures represent bank’s/wealth manager’s estimates

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Two private banks more than doubled their books, while 14 registered double-digit growth and only one registered a decline in client assets. Buoyant economic growth, low interest rates and declining inflation all contributed to the sector’s strong gains.

Kotak Wealth Management tops the AUM table

Perched at the top of the table is the private banking arm of Kotak Bank, Kotak Wealth Management, which had US$15.3 billion in AUM at the end of the year. The domestic lender saw its AUM swell by 59.3% in 2016.

IIFL Wealth Management was half a billion shy of the top spot, with its US$14.8 billion in AUM placing the wealth manager second. Last year, the firm restructured its business lines, folding its asset management unit into its wealth management arm to create IIFL Wealth and Asset Management.

Universal bank ICICI came in third with its private bank having US$8.5 billion in client assets, a 11.8% YoY increase.

Edelweiss Wealth Management, meanwhile, saw the largest jump in its book, which rose 138.7% and lifted the firm’s ranking from 10th in 2015 to fifth by the end of last year.

On the other hand, Deutsche Bank Wealth Management’s AUM slipped by 22%, resulting in the German lender sliding from 11th to 12th in the rankings.

Domestic wealth managers dominate India onshore

The dominance of domestic wealth managers in the onshore market continues, with the 13 domestic players on the AUM league table having a combined US$66 billion in client assets, representing nearly two-thirds (64%) of the total assets held by the top 20. While they have mostly registered double-digit growth, the seven foreign players account for 36% of the market.

Indeed, the onshore market has both attracted and repelled foreign private banks with sights on India’s growing HNW market. Over the past few years, there have been a number of notable foreign private bank exits, including HSBC Private Bank, UBS Wealth Management, Morgan Stanley Private Wealth Management and EFG. Many of those that have remained are turning to a “global Indian” strategy, which allows them to leverage their offshore NRI client bases and their onshore India footprints.

All the while, domestic players, particularly the boutique wealth managers, have forged ahead under different growth strategies. Last year, RBS India was spun off to create Sanctum Wealth Management, under Shiv Gupta’s leadership. Centrum Wealth Management partnered with consumer bank Lakshmi Vilas Bank to leverage its relatively large distribution footprint and established franchise.

Continue on to the India 2016 RM Headcount League Table
 
 
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