Mumbai: India is creating wealth faster than ever before. According to Umang Papneja, CEO of Julius Baer India, the country is adding around three ultra-rich individuals every day. Ultra-high-net-worth individuals are people who have wealth of about ₹250 crore or more. At present, India has nearly 5,000 such individuals. Papneja believes this number could grow to around 9,000 by 2030.
India’s economic growth has played a big role in this rise in wealth. When Papneja started his career about 26 years ago, India’s GDP was about $400 billion. Today it has grown to nearly $4 trillion. This growth has created many new business owners, investors and wealthy families across the country.
Papneja says one of the most important habits of wealthy investors is patience. He shared an example of a client who invested about ₹32 lakh in an equity mutual fund around 2003–04. The investor did not sell the investment or move the money elsewhere. After 21 years, that investment grew to about ₹20 crore because of the power of compounding.
However, not every investor succeeds. Papneja also shared the story of a businessman who received ₹350 crore and invested the entire amount into a single windmill project. The project failed and the investor eventually went bankrupt. This example shows the risk of putting all money into one investment.
Papneja says successful wealth creators usually follow three simple habits. First, they understand basic financial calculations like compounding and how money grows over time. Second, they carefully watch costs and taxes because these can reduce returns. Third, they think long term and make decisions that benefit future generations.
India’s total savings are expected to grow strongly in the coming years. Papneja believes the country’s savings pool could reach $30 trillion in the next four to five years, creating even bigger opportunities for investors and wealth managers.
