Over 300 Indian family offices now focused on global diversification: Report
The report noted that 57% of family offices allocate less than 10% of their portfolios to private equity or venture capital, often citing limited access or a conservative investment approach.
India’s family office ecosystem has quietly expanded, growing nearly sevenfold from 45 in 2018 to over 300 in 2024, according to The Indian Family Office Playbook, a newly released report by EY and Julius Baer.
While wealth preservation remains a priority for 25% of family offices, most are actively diversifying into global and alternative assets. The report noted that 57% of family offices allocate less than 10% of their portfolios to private equity or venture capital, often citing limited access or a conservative investment approach.
“The Indian family office ecosystem is at an inflection point where wealth preservation alone is no longer enough. Families now seek efficiency, transparency, and global access, all of which require a more structured approach. At the same time, navigating tax and cross-border regulatory frameworks is becoming central to how these offices function and plan ahead,” Surabhi Marwah, Co-leader, Private Tax and Partner, People Advisory Services – Tax, EY India, said in a statement.
Outbound investments have increased notably under the Liberalised Remittance Scheme (LRS), with remittances rising from $18.8 billion in 2019-20 to $31.7 billion in 2023-24. Family offices use this channel to invest in global equities, real estate, and private credit, with the latter gaining traction for its stable returns and downside protection despite being a relatively new allocation class.
The governance landscape is shifting, with 59% of families adopting wills or constitutions and 19% establishing formal structures such as trusts or LLPs. However, a large portion still lacks a comprehensive succession plan, signalling room for improvement in intergenerational wealth transfer.
Regulatory concerns persist, with 48% worried about shifting tax laws and 37% citing cross-border compliance challenges as families grow globally.
The report recommends that family offices strengthen governance and succession planning, expand exposure to growth-stage funds and private credit, adopt digital tools for monitoring and decision-making, and consider jurisdictions like GIFT City for regulatory ease and tax optimisation.
“Family offices are increasingly catering to first-generation entrepreneurs who are more risk-tolerant and open to emerging sectors. As the scale and complexity of wealth grow, there’s a stronger focus on strengthening governance, growing asset value and planning for legacy succession,” Umang Papneja, CEO, Julius Baer India, added.
As Indian ultra-rich families become increasingly global and tech-savvy, hybrid family office models—blending internal teams with external advisors—are emerging as a preferred approach to balancing agility, oversight, and long-term impact.
Edited by Kanishk Singh