The Hurun India Wealth Report, 2020 was released on March 16, 2020. The report identifies a novel household category in India called the ‘New Middle Class’ which accounts for an average savings of Rs 20-lakh per annum. The report highlights that these households have a major allocation towards physical assets like primary residential property and automobiles. As per the report, the total number of such cumulative households in India stands at 633,000.
About the report:
- The report further states that there are around 4,12,000 dollar-millionaire households or affluent households across India which are having a net worth of Rs 7 crore. As per the report, the Hurun Rich Listers comprise a wealth of Rs 1,000 crore.
- This category of the report comprises 3000 number of cumulative households in India. The ‘Indian middle class’ has earnings of over Rs 2.5-lakh per annum while they have a net worth of less than Rs 7 crore. The ‘Indian Middle Class’ category accounts for 56400,000 families in India.
About Wealthy Households
The Hurun report classifies two broad segments of the wealthy households in India. The first is the “lower part” which comprises the households having the work compensation income, fixed deposits, real estate and equity investments as the primary source of income. The second segment is the “Upper Part” which comprises inherited wealth, primary business earnings, real estate possessions and an equity investment portfolio as their sources of income.
The report highlights that, business-owner whether a billionaire or international ultra-high net worth individual or an affluent individual allocate a major portion of their wealth for their primary business activities.