India's asset wealth management AuM to reach $1.7 trillion by 2030: PwC

India’s asset and wealth management (AWM) industry is expected to nearly double to $1.7 trillion in assets under management (AuM) by 2030 from $0.9 trillion in 2024, translating into a compound annual growth rate (CAGR) of 11.6%, according to a PwC report titled Ahead of the Curve: Asset and Wealth Management Revolution Asia-Pacific.

The report attributes the strong outlook to India’s evolving “dual-engine” market structure, where institutional capital formation and rapid retail financialisation are expanding simultaneously.

The growth projection comes against a broader Asia-Pacific backdrop, where total AuM is forecast to increase from $23.2 trillion in 2024 to $34.5 trillion by 2030, implying a regional CAGR of 6.8%. While India is expected to outpace the region, PwC noted that sustaining profitable growth will require operating models tailored to domestic market dynamics.

Vivek Prasad, Chief Commercial Officer and Financial Services Leader at PwC India, said the projected expansion reflects a deeper transformation underway in India’s financial ecosystem. “India’s path to $1.7 trillion in AWM assets by 2030 signals a deepening domestic capital base, wider participation in formal financial markets and the gradual movement of household savings into long-term investment channels. Public digital infrastructure, regulatory reforms and the emergence of GIFT City as an international financial gateway are accelerating this shift,” he said.

Prasad added that the next phase of growth would depend on strengthening advisory quality, governance standards and investor protection mechanisms.

India’s retail investment landscape has been reshaped by digital adoption and financial inclusion. According to the report, the country has achieved 78–80% banking penetration, while the Unified Payments Interface (UPI) now processes around $2.5 trillion in annual transactions. With 1.4 billion Aadhaar digital IDs in circulation and discount brokers reducing dependence on traditional bank-led distribution, India’s investor base has expanded to 192 million demat accounts.

Monthly systematic investment plan (SIP) inflows now exceed $3 billion, translating into nearly $36 billion annually in equity flows. Notably, more than 40% of new SIP registrations originate from Tier II, III and IV cities, indicating broader geographical participation, although investment ticket sizes remain relatively small.

Sidharth Diwan, Partner and Leader – Asset and Wealth Management at PwC India, said India should be viewed as two parallel markets rather than a single opportunity. “The retail market is being driven by digital infrastructure and emerging investors beyond metropolitan centres, requiring mobile-first products and distribution. Meanwhile, the institutional and high-net-worth (HNW) segment is being shaped by pension, insurance and alternative investment reforms, where allocations remain significantly below global benchmarks,” he said.

On the institutional side, India’s long-term capital pools continue to deepen. The report highlighted the expanding role of the Employees’ Provident Fund Organisation (EPFO), which manages around $280 billion, and the National Pension System (NPS), where the Pension Fund Regulatory and Development Authority (PFRDA) has set a target of $1 trillion by 2030. Insurance assets have also reached $650 billion, with reforms encouraging greater allocation towards equities, alternatives and global investments.

Alternative Investment Funds (AIFs) now account for commitments exceeding $160 billion, growing at more than 25% CAGR, with Category II private credit emerging as the fastest-growing segment amid tighter lending by banks and NBFCs.

Meanwhile, listed real estate investment trusts (REITs) and infrastructure investment trusts (InvITs) have crossed $25 billion in market capitalisation, offering institutional investors more liquid access to these asset classes.

PwC also expects India’s HNW population to expand faster than any major Asia-Pacific market through 2030, supported by an estimated $1.5 trillion intergenerational wealth transfer over the coming decade.

The report identified Gujarat International Finance Tec-City (GIFT City) IFSC as a key growth lever for the industry. More than 100 fund management entities have already registered in the financial centre, with committed AuM expanding at triple-digit rates from a low base.

PwC said GIFT City represents an early-mover opportunity for fund managers and positions India as both a destination for global capital and an emerging source of outbound investment flows. However, the report noted that sustained momentum will depend on regulatory clarity, product approvals and continued development of operational infrastructure.