Covid pandemic influenced 84% of ultra-wealthy Indians to reassess succession plans

New Delhi: The pandemic has influenced 84 per cent of ultra-wealthy Indians, more than the global average, to reassess their attitudes to succession planning, according to a survey.

The survey was based on responses from more than 600 private bankers, wealth advisors and family offices representing a combined wealth of more than $3.3 trillion.

According to the Knight Frank Attitudes Survey 2021, India is among the top four countries where ultra-wealthy Indians have reassessed their attitudes to succession planning in light of COVID-19 pandemic.

As many as 90 per cent of ultra-high-net-worth individuals (UHNWIs) in Canada redefined succession planning during the pandemic, while in Turkey the figure stands at 85 per cent and South Africa (80 per cent).

Globally, around 60 per cent of UHNWIs have reassessed their succession planning during the pandemic.

According to the survey, 30 per cent of ultra-wealthy Indians placed 'transferring of wealth to the next generation' in the top three worries, while 16 per cent respondents see it as an exciting opportunity.

In the global context, 28 per cent of UHNWIs positioned this in the top three worries while 23 per cent of respondents saw it as opportunity in 2021.

"The hard-hit global pandemic has disproportionately affected the older generations for growing wealth, making them reassess their succession planning attitudes," said Shishir Baijal, Chairman & Managing Director, Knight Frank India.

The younger generation can lead their wealth to new heights as they come equipped with a different thinking process and tech-savvy background, Baijal said.