When it comes to investing, the key is to understand investor behaviour. And in recent times, the fear of uncertainty is preventing most high net worth individuals (HNIs) to make the best use of this opportunity, says a recent survey done by Barclays Wealth along with the Economist Intelligence Unit. The survey of 2,100 affluent investors indicated that when it comes to the fear of investing Indians are no different from the rest of the world.
Among Indians, while 80 per cent see this opportunity, only 16 per cent are willing to take more risk. Says Satya Bansal, Chief Executive, Barclays Wealth India: “There’s a clear dichotomy between investors’ belief and action.”
As the survey was conducted in April and May 2009, many of the 115 HNIs responded before the central government elections. Overseas investors are more bullish about India’s growth than Indians themselves.
About 45 per cent investors in the UK, 25.2 per cent the US and 28 per cent Chinese investors are confident on India as compared to 22 per cent Indian HNIs. Says Bansal: “It’s the overseas investors’ confidence in India combined with ample liquidity and low global interest rates that will drive FDI and FII investments in India.”