Indian Wealth Management Forum 2017 Post Event Report

23 August I Grand Hyatt Hotel I Mumbai

Video Highlights

Link to Event View Photos

INDIAN WEALTH MANAGEMENT FORUM 2017 - POST EVENT REPORT 3

SummaryIndia’s wealth management sector has seen impressive growth in AUM over the past couple of years. But investor education, adviser compensation, competency and various other aspects of the industry need scrutiny and improvement to capitalise on the industry’s potential.

The bright outlook in the country is based on a savings rate of more than 30%, coupled with the fact that the Indian economy is in an ‘investment’ phase. With absolute numbers of wealthy also rising, such a confluence of factors represents a great situation for intermediaries on both sides of the trade.

The expectation is that clients will want to see more options across the investment spectrum, with advice on the right selections based on individual risk profiles – and also more guidance during times of market stress.

At the same time, clients’ needs are growing and getting more complex in relation to wealth structuring and solutions to manage family and business assets, and across generations.

To help the industry to move faster, however, government programmes are necessary to facilitate the shift into financial savings. Plus, advisers must be able to convince clients of the need for advice that they actually pay for.

Further, wealth managers must embrace digital tools in a way that helps them to provide more relevant and customised advice.

Meanwhile, talent continues to be a major challenge for the industry. Fresh faces offer increasingly less value due to a lack of cross-cycle experience, yet senior practitioners are expensive.

Although fragmentation is more common than consolidation as an industry theme, some consolidation would help in releasing talent. A more serious and consistent approach to training and development is therefore a pressing requirement.

In the coming decade, entrepreneurship is broadly expected to continue to generate the bulk of the wealth in India. But professional wealth will grow too, due to equity participation offered by employers. Keeping a watch on – and growing with – small and medium-sized promoters will also create a competitive advantage.

This was according to the 45-plus speakers and 300 senior industry practitioners in attendance at Hubbis’ 7th annual event for India’s private wealth management community.

Thank You to Our Sponsors

GOLD

BRONZE

SILVER

INDIAN WEALTH MANAGEMENT FORUM 2017 - POST EVENT REPORT 54 INDIAN WEALTH MANAGEMENT FORUM 2017 - POST EVENT REPORT

A C Choksi Share BrokersAbhijeet KakadeAccess Asset ManagersACK Capital ManagementAditya Birla Wealth ManagementAlfAccurate AdvisorsAmbit CapitalAmbit Private WealthAmicorp GroupAnand Rathi Private WealthArthashastra Financial PlannersArton CapitalASK Investment ManagersASK Wealth AdvisorsAUM CapitalAxis BankBank of Baroda Capital MarketsBarclaysBirla Sun Life InsuranceBlueOcean Capital AdvisorsBNP Paribas Asset ManagementBordier & CieCentrum Wealth ManagementCFA InstituteChaitanya Financial ConsultancyCitiClearfundsClient AssociatesCredence AnalyticsCredit SuisseCredit Suisse Private BankingCrossinvestCrown ConsultantsDAG ModernDeutsche Bank Wealth ManagementDeVere GroupDominion FiduciaryEdelweiss Asset ManagementEdelweiss Financial ServicesERI Banking SoftwareEtica Wealth ManagementFalcon Private WealthFalcoy Financial

Attendees from these firms

Fidelis Wealth ManagementFlexicapitalFort CapitalGhanshyam ConsultantsGreenfield AdvisorsGreshma Wealth AdvisorsGuaranti InternationalHaardik Nayak Wealth ManagementHDFC BankHealth Passion FundHorizon InvestmentsHSBC Global Asset ManagementICICI BankICICI SecuritiesIDFC Asset ManagementIDFC BankIIFL Investment ManagersImpetus Wealth ManagementImpieego CapitalIndian Association of Alternative Investment FundsIndusInd BankInfosys FinacleInvestmentWavesInvestors TrustiYojana FinancialsKarvy Private WealthKG Financial SoftwareKlay CapitalKotak Mahindra BankKristal.aiKuber AashishL&T Capital MarketsL&T Mutual FundLadder7 Financial AdvisoriesLife Insurance Corporation of IndiaMarket CreatorsMera Money AdvisorsMercerMiles Software SolutionsMoat Wealth AdvisorsMoney Matterz Business ConsultingMoneyMonk Financial

MoneyUncle.comMorningstarMotilal Oswal Asset ManagementMotilal Oswal Private Wealth ManagementNational Institute of Securities MarketsNishith Desai AssociatesNiso InvestmentsNisus Finance ServicesNumerixNVS BrokerageNVS Wealth ManagersOcean City Capital AdvisorsOne-up Capital IdeasOrbis Financial CorporationORO WealthPhillipCapitalPinvest ConsultingPlan Ahead Wealth AdvisorsPlan Invest AdvisorsPransh InvestmentProfusionQuest Investment AdvisorsReliance Wealth ManagementSanctum Wealth ManagementSilverArch Investment AdvisersSNG & PartnersSparta InvestmentStandard Chartered BankState Bank of IndiaSundaram MutualTaurus Wealth AdvisorsTBNG Capital AdvisorsThe Iyer PracticeUBS Wealth ManagementUnion Bank of IndiaUOB BankVcare Investment ServicesWaterfield AdvisorsWealth AchieversWealth First AdvisorsYES BankYES Securities

Attendee Profile

Job role

C-Level

Product/Investment

Business Head

Adviser/Wealth Manager

Other

24%

28%

22%

19%

7%

Type of firm

26%

18%

8%

14%

10%

8%

16%

Retail / Private Banks

NBFCs

Independent Firms

Asset Management

Technology

Professional Services

Other

INDIAN WEALTH MANAGEMENT FORUM 2017 - POST EVENT REPORT 76 INDIAN WEALTH MANAGEMENT FORUM 2017 - POST EVENT REPORT

Speakers

Himanshu KohliClient Associates

Kunal BajajClearfunds

Anupam GuhaICICI Securities

Aashish SomaiyaaMotilal Oswal Asset Management

Arpita VinayCentrum Wealth Management

Mandeep NalwaTaurus Wealth Advisors

Abhra RoyInfosys Finacle

Evrard BordierBordier & Cie

Munish RandevWaterfield Advisors

Nipun MehtaBlueOcean Capital Advisors

Gaurav AroraASK Wealth Advisors

Kanwar VivekYES Bank

Anshu KapoorEdelweiss Global Wealth Management

Ashish ShankerMotilal Oswal Private Wealth Management

Gautami GavankarKotak Mahindra Bank

Karan BhagatIIFL Private Wealth Management

Guneet SinghIDFC Bank

Kailash KulkarniL&T Mutual Fund

Erdem OzgulNumerix

Saurabh MukherjeaAmbit Capital

Umang PapnejaIIFL Investment Managers

Atinkumar SahaDeutsche Bank Wealth Management

Pranab UniyalAmbit Private Wealth

Rohit BhutaCrossinvest

Shanker IyerThe Iyer Practice

Sunil IyerThe Iyer Practice

Vishal DhawanPlan Ahead Wealth Advisors

Bhavesh SanghviAditya Birla Finance

Radhika GuptaEdelweiss Asset Management

Sandeep LalwaniMiles Software Solutions

Shiv GuptaSanctum Wealth Management

Tariq AboobakerAmicorp Group

Rajesh IyerKotak Mahindra Bank

Sandip GhoseNational Institute Of Securities Markets

Shuja SiddiquiL&T Financial Services

Tarun BiraniTBNG Capital Advisors

Rajesh KothariAlfAccurate Advisors

Satheesh KrishnamurthyAxis Bank

Sirshendu BasuStandard Chartered Bank

Tushar PradhanHSBC Global Asset Management

INDIAN WEALTH MANAGEMENT FORUM 2017 - POST EVENT REPORT 98 INDIAN WEALTH MANAGEMENT FORUM 2017 - POST EVENT REPORT

Key voting poll results Nearly 60% of respondents to a delegate poll believe that, in the face of a market downturn, India’s wealth

management industry is now robust enough to continue to grow in a sustainable way.

Private banks will see the fastest growth in AUM over the next 5 years in India, according to 27% of poll respondents. This is followed by retail banks (21%), multi-family offices (18%), IFAs (15%) and then NBFCs and RIAs (each at 9%).

Indian wealth management firms don’t take training and development seriously enough, according to 62% of poll respondents.

Only 42% of poll respondents believe there is a proper understanding of the meaning of ‘advice’ in Indian wealth management today.

Nearly 90% of delegates don’t think there is adequate fee transparency in Indian wealth and asset management.

At the same time, 94% of poll respondents said the country’s existing suitability framework needs to be improved.

Three-quarters of delegates said they expect technology to disrupt their business in the next 5 years – with a similar percentage predicting that robo-advisory will be successful in India over this timeframe.

Yet for the time being, efforts in automation, such as reducing paperwork and non-critical processes in the system, are not happening quickly enough, according to 59% of poll respondents.

Wealth solutions and structuring is – and will continue to become – more important in conversations with clients in India, according to 96% of poll respondents.

Within this area, succession planning is the main wealth solutions priority for promoters in India today, believe 43% of poll respondents. This trumps minimising tax and family governance, both at 20%, and also transferring assets to the next generation (17%).

94% of poll respondents said the concept of using professional advisers is becoming more accepted among business promoters.

When it comes to investment portfolios, the implications of banks not lending as much as they did – and interest rates falling – include increasing diversification and investment in funds, said according to 83% of poll respondents.

INDIAN WEALTH MANAGEMENT FORUM 2017 - POST EVENT REPORT 1110 INDIAN WEALTH MANAGEMENT FORUM 2017 - POST EVENT REPORT

Indian Wealth Management Forum 2018

Thursday 30th August

Delegate Feedback - Overview

Most relevant topics

The demise of large-cap alpha and the importance of mutual funds as a core in a client’s portfolio Hiring in the private banking Industry – how to build a winning team Technology platforms and implications for the industry Succession planning challenges and the Chinese wall between the family business and professionals Client acquisition strategies Risk capability in alternate investment portfolios

Key take-aways

Technology-led disruption is the major concern for incumbents Fees in wealth and asset management will be rationalised The role of trust in developing relationships with clients and delivering long-term results The diminishing role of alpha in equity investments in large-caps Fiduciary roles should become more stringent from a regulatory perspective

Top 5 presenters

Shiv Gupta, Founder & Chief Executive Officer, Sanctum Wealth Management Kailash Kulkarni, Chief Executive Officer, L&T Mutual Fund Radhika Gupta, Chief Executive Officer, Edelweiss Asset Management Saurabh Mukherjea, Chief Executive Officer, Ambit Capital Evrard Bordier, Managing Partner, Bordier & Cie

Top 5 panel speakers

Rajesh Iyer, Head - Investment Advisory Services and Family Office, Kotak Mahindra Bank Himanshu Kohli, Founder Partner, Client Associates Arpita Vinay, Executive Director, Centrum Wealth Management Satheesh Krishnamurthy, Senior Vice President, & Business Head - Affluent & NRI, Axis Bank Ashish Shanker, Head - Private Wealth Investment Advisory, Motilal Oswal Wealth Management