Indian HNIs are not saving enough, but most of them have over 20% assets in real estate: Study

In spite of a record-breaking bull run in the last few years, Indian HNIs remain frustrated by their limited success in achieving their financial goals, building a coherent financial roadmap, and finding trustworthy advisors, said a study by Marcellus Investment Managers, in collaboration with Dun & Bradstreet.

The study found that around 43% of HNIs in India are saving less than 20% of their post-tax income.

The report titled "India Wealth Survey 2025" studied 465 HNI respondents from Metros, Tier 1 & 2 cities, aged above 30 years, and having post-tax household income above ₹20 lakh per annum.

It found that the savings rate of 34% HNIs is between 10-20%, while around 9% of HNIs are saving less than 10% of their annual post-tax income. Nearly 25% of HNIs, however, save over 30% of their income, while 32% save between 20-30%.

As many as four in 10 respondents had at least one open loan. But 61% of HNIs had no loan.

Financial challenges

The study found that 40% of HNIs face challenges in achieving their financial goals due to low investment returns, while 29% fail due to a lack of savings discipline. Poor understanding of investment options (21%) and high burden of debt (9%) were other challenges HNIs face in meeting their goals.

Among all HNIs who participated in the study, 40% planned to retire early, 40% planned to buy a house, 75% planned for their children's education and marriage, while 40% planned to start a business.

However, one common factor among HNIs was real estate. The study found that 50% of HNIs have 20% asset allocation in real estate apart from their primary residence. In contrast, only 1/3rd of the participants had over 20% equity allocation, while 14% did not maintain any emergency funds.

Most of these HNIs rely on external advice for their investment decisions. The study found that 36% of HNIs took investment advice from bank managers, while 32% consulted wealth advisors or CAs. Around 26% of HNIs were dependent on family or friends, while 13% planned their investments by themselves. Nearly 2% of HNIs also took advice from social influencers. However, 2 out of 3 respondents were dissatisfied with the advice they received.