AUM on the ascent at India’s Top 20
In a mercurial 2018 with challenging market conditions, asset gathering amongst India’s wealth managers continued relentlessly, albeit at a more tempered pace. Assets under management (AUM) at India’s Top 20 wealth managers rose 18.3% in 2018 to hit US$193 billion. By comparison, AUM at Asia’s private banks saw a 3.6% dip over the same period in the face of subdued client activity.
Surpassing the US$100 billion threshold, India’s Top 5 wealth managers now contribute to 56.5% of the Top 20’s AUM with US$109.1 billion. While there has been a rejigging of places amongst them, four of the five remain domestic players. On the whole, domestic wealth managers are continuing to expand their reach, accounting for 77.5% of the Top 20’s AUM, up from 63.8% in 2015.
Kotak Wealth Management once again came out on top with a 13.6% uptick in AUM to reach US$33.63 billion. Meanwhile, IIFL Wealth posted the highest AUM growth rate amongst the Top 5 at 20.8% to hit US$21.38 billion, due in part to a few acquisitions, coupled with its efforts in boosting its frontline numbers by over 30%. Across the Top 20, Avendus Wealth Management achieved the most brow-raising AUM growth rate of 39.3% to rank in 13th place with US$3.9 billion, up six places from the year prior.
Having dethroned Standard Chartered Private Bank in 2017, BNP Paribas Wealth Management retained its spot as India’s largest foreign private bank with client assets notching up 11.2% to reach US$13.79 billion in 2018.
Meanwhile, Standard Chartered held on to its spot at seventh place despite a 9.3% dip in AUM to US$9.7 billion. In May 2019, Aman Rajoria, the British lender’s head of private bank, India, told Asian Private Banker that the bank intended to onboard more of their corporate banking clients into the private bank as part of its ongoing client acquisition strategy.
On the other end of the spectrum, Credit Suisse Private Banking has made its way back into the Top 20 by dint of a 2.6% uptick in AUM to reach US$2.77 billion, with the market representing a standout opportunity for the Swiss heavyweight. In February, Benjamin Cavalli, the private bank’s head of South Asia, revealed plans to embark on a rollout of a “completely revamped infrastructure” in Q3 or Q4 2019.
India onshore AUM (USD billion)
|Rank||Private bank/wealth manager||Type||2018 AUM|
|1||Kotak Wealth Management||Domestic||33.63||+13.6%||+51.9%||N/A||-||No defined minimum|
|2||ICICI Bank Private Banking||Domestic||25.61||-||-||N/A||-||No defined minimum|
|3||IIFL Wealth & Asset Management 1||Domestic||21.38||+20.8%||+35.5%||No||50%||INR 15 cr|
|4||Edelweiss Wealth Management 1||Domestic||14.70||+10.5%||+68.0%||No||-||USD 1m|
|5||BNP Paribas Wealth Management||Foreign||13.79||+11.2%||+36.7%||No||-||USD 3m|
|6||Axis Bank Wealth Management 2||Domestic||12.78||+0.6%||-||Yes||-||INR 5 cr|
|7||Standard Chartered Private Bank||Foreign||9.70||-9.3%||+14.9%||No||41%||USD 1m (account balance) 3|
|8||HDFC Private Bank||Domestic||9.10||+16.7%||+14.3%||N/A||61%||No defined minimum|
|9||Julius Baer||Foreign||9.00||-1.1%||+14.5%||No||-||No defined minimum|
|10||JM Financial Wealth Management 1||Domestic||6.14||+22.9%||+20.2%||No||-||INR 1 cr (account balance)|
|11||ASK Asset & Wealth Management 1||Domestic||6.04||+0.7%||+88.6%||No||88%||USD 5m|
|12||Barclays Private Clients, India||Foreign||4.91||+9.1%||+5.3%||N/A||-||No defined minimum|
|13||Avendus Wealth Management 1||Domestic||3.90||+39.3%||+57.4%||No||71%||USD 5m|
|14||Centrum Wealth Management||Domestic||3.60||+20.0%||+33.9%||No||70%||USD 1m|
|15||Client Associates 1||Domestic||3.40||+6.2%||-||No||-||USD 1m (account balance)
USD 5m (investable assets)
|16||Karvy Private Wealth||Domestic||3.36||+15.9%||+17.9%||No||58%||INR 25 lakh (account balance)|
|17||L&T Capital Markets Limited||Domestic||3.27||+21.1%||+36.0%||No||61%||INR 5 cr|
|18||Deutsche Bank Wealth Management||Foreign||3.20||+3.2%||+2.2%||N/A||-||See footnote 4|
|19||Credit Suisse Private Banking||Foreign||2.77||+2.6%||+11.5%||N/A||59%||No defined minimum|
|20||Anand Rathi Private Wealth Management||Domestic||2.75||+3.3%||+28.4%||No||85%||INR 5 cr|
|Top 20||193.03||+18.3% 8||+37.3% 8|
|21||Waterfield Advisors 1||Domestic||2.20||0.0%||-||No||95%||USD 1m (account balance)|
|22||Motilal Oswal Private Wealth Management 1||Domestic||2.11||-12.1%||+44.5%||No||68%||INR 2.5 cr|
|23||Sanctum Wealth Management 1, 5||Domestic||1.15||+27.8%||-||No||30%||USD 750K (account balance)|
|24||Credence Family Office 6||Domestic||0.62||+106.7%||-||No||-||USD 1m|
|25||Alpha Capital 1||Domestic||0.57||+21.3%||+44.2%||No||87%||USD 1m|
|26||Reliance Wealth Management||Domestic||0.54||-36.5%||+18.7%||No||95%||INR 5 cr|
|27||Ambit Private Wealth||Domestic||0.48||-28.5%||+17.0%||No||59%||INR 25 lakh for PMS|
|28||WGC Wealth 7||Domestic||0.29||-||-||No||88%||USD 1m|
All figures are APB estimates unless otherwise stated. Some figures may not correspond exactly with calculated totals/rates due to rounding.
Mid-market spot rates used as at 31 December for their respective years for non-USD reporting. INRUSD for 2018: 0.01437.
‘N/A’ and ‘-‘: data unavailable
* Percentage of AUM that falls within the funds category
** For reference only; Minimum represents investable assets per client unless otherwise stated; minimum may vary depending on location or account type
Note: Citi Private Bank excluded at the request of the bank
1 Data provided by the bank/wealth manager
2 Axis Bank Wealth Management: AUM listed on table represents clients with AUM of more than INR 5 cr; Total AUM of Axis Bank Wealth Management is US$18.63 billion as at 31 December 2018
3 Standard Chartered Private Bank: Clients have a minimum account balance of US$1 million or generate a minimum of US$10,000 in revenue per year
4 Deutsche Bank Wealth Management: Minimum varies according to location and account type; Private Banking Select for Tier A cities: INR 30 lakh, Tier B cities: INR 10 lakh; Private Banking Infinity: INR 1 cr (all account balance)
5 Sanctum Wealth Management: Operations commenced in April 2016; AUM has grown from INR 3,750 cr (US$0.5 billion) as of April 2016 to INR 8,000 cr (US$1.15 billion) as of December 2018
6 Credence Family Office: AUM excludes assets in depository accounts and real estate investments; Average assets per client are around US$3 million
7 WGC Wealth: WGC Wealth launched in mid-August 2018 — figures are reflective of only 4.5 months of operations
8 Calculation based on total estimated AUM of the Top 20 as of 31 December of their respective years; Constituents of the Top 20 vary from year to year
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