"The Indian Wealth Management space has evolved and most high net-worth individuals (HNIs) in India today have begun to appreciate the value of a professional approach to wealth management," Vikas Agnihotri Vikas Agnihotri, chief executive officer, Vikas Agnihotri said.
Agnihotri added, "We have aggressive growth plans and are looking at increasing our relationship and advisory team significantly during the course of this year".
Echoing similar views, D K Aggarwal, managing director, SMC Wealth Management Services told PTI, "We have robust recruitment plans ahead. We plan to double our wealth management headcount in the next one year."
We have recruited around 70 people and plan to hire 100 more in the next one year's time. We plan to double our wealth management headcount to 200 in the next 12 months," he said.
SMC Wealth Management has regional offices in Bangalore, Kolkata, Mumbai and Delhi and plans to set up eight more offices in tier II cities in the next 10-12 months.
Giving reasons for high growth potential for the wealth management sector Agnihotri said, "world economy is recovering from credit crisis and we have more positive news trickling in these days. While we are still far away from a recovery, a sense of optimism is returning to financial markets".
Asia has been growing at a faster pace than the rest of the world and it should continue to lead on the way to recovery as well. Within Asia, China and India have been and will continue to be the strongest drivers of growth, he added.
According to market experts, wealth management business in India will see growth and a fair bit of consolidation. The firms that survive will have to differentiate themselves.
Product innovations, better service, efficient use of technology and trained manpower will be key differentiators in the wealth management business going forward.
SMC Wealth Management's Aggarwal further added things are changing now a days and confidence is coming back among investors. Both foreign institutional investors and domestic institutional investors are investing in equities.
Besides, for India the outlook looks promising as it is a consumption driven economy, besides agriculture, on which over two-third of population is dependent is booming.
According to a report by investment banking firm Barclays Capital "China and India continue to be viewed as the most attractive markets in Asia, both in terms of potential for business expansion and expected revenue growth rate."