Merrill sees HNI wealth in A-Pac at 13.9 tn by 2012

MUMBAI: Despite the slowdown in the global financial services markets, total wealth of High networth individuals (HNI) in the Asia-Pacific region is expected to reach $13.9 trillion by 2012, with an annual growth rate of 7.9 per cent, a report today said.

With this, the region is expected to replace Europe as the second - largest regional depository of HNI wealth, Global Wealth management firm, Merrill Lynch and Capgemini said in the Asia-Pacific Wealth report today.

"Despite dislocations in developed markets, the number of high networth individuals in India grew at a faster rate than the global average," DSP Merrill Lynch's Global Wealth Management Head, Pradeep Dokania said.

The number of millionaires in India grew to 1.23 lakh as at end 2007, up by 22.7 per cent in the year ago period. A majority of them were from the rich entrepreneur segment, the report said.

The combined wealth of wealthy individuals, who have investable assets of above USD 1 million, rose to USD 440 billion as at end 2007, registering a growth of 25.7 per cent year-on-year growth, the report said.

"Rapid economic expansion, increased foreign investment and gains on the country's stock markets fueled the growth in India's HNI population last year. Nearly, 36 per cent of the total HNI wealth allocation was in equities," Dokania said.