It was last year that Kotak Wealth and CRISIL Research seized the opportunity to release a report that analyses and tracks ultra HNI trends year on year with specific reference to the Indian market. In the inaugural report, we had established the broad framework and expounded the methodology to define who an ultra HNI is. We looked at the behavioural aspects, such as what drives these individuals, what their priorities or motives were when it comes to spending or investing, and whether there was any homogeneity in their actions as a class.
As the global economic downturn caused by the sovereign debt crisis in Europe advanced, the economies of many countries turned turtle, unemployment shot up, living conditions deteriorated and many iconic businesses went bust. However, the number of wealthy continued to grow
Overall, to sustain their high-end lifestyle, ultra HNIs as a class continue to spend a significant portion of their overall expenditure on domestic and international branded wear, customised holiday packages, luxury watches, jewellery, diamonds and precious stones, and household electronics
An overwhelming section of our respondents averred that the downturn had no impact on spending; however, when it came to investments, the catchall phrase almost everyone uttered was “low-risk” and “capital protection"
Insights into the ultra HNI behaviour for education and spending on luxury cars
Click here to download last year's report: Top of the Pyramid 2011
