Shanker said the country is witnessing explosive growth in wealthy households. “Thirty-three thousand millionaires were added in 2024. The ultra-HNI category is growing at around 12% CAGR,” he pointed out, adding that the overall wealth pool is expanding at 13–14% annually, faster than nominal GDP. This growth, he said, is being driven by monetisations at both promoter and professional levels, the rise of new industries, and a clear shift from traditional physical assets to financial assets.
Rajat Rajgarhia, MD & CEO – Institutional Equities, Motilal Oswal Financial Services, highlighted that while FIIs flows have been volatile, domestic investors have been the real strength. “In the first seven-eight months, we have already seen $60 billion of DII inflows into the market. With this trend, we should hopefully be at $80 to $90 billion,” he said.
According to him, this reflects the Atmanirbhar Bharat theme playing out in capital markets, with large domestic savings pools providing stability. “If FIIs join us again—and they will—the real party will begin then,” he added.
On the investment banking side, Amit Ramchandani, MD & CEO – Motilal Oswal Investment Banking, pointed out that promoters and private equity investors are increasingly confident about exits. “Initially, we saw investments of smaller numbers, maybe ₹1,000–1,500 crore. But today, that number is up to a billion. We are seeing a lot of large transactions, and that’s only because they have the faith that they will be able to exit,” he said. Secondary exits, once rare, are now well-accepted, with mutual funds and other investors providing liquidity.
While Rajgarhia admitted that Indian equities have underperformed global peers, he noted that positive geopolitical developments, reforms in GST, and improving domestic flows are reviving risk-on sentiment.
Watch the accompanying video for the entire discussion.
