Wealthy Indian Investors Shift Capital to Real Assets
Indian investors are moving capital from equities into real estate, infrastructure, and private credit as stock market returns lose momentum.
Wealthy Indian investors are pivoting their portfolios away from equities in favor of real estate, infrastructure, and private credit. This shift follows a period of stagnating stock market returns; while the S&P 500 returned 29% over the last two years, India's Nifty 50 index provided total returns of only 7%.
Nuvama Wealth Management Ltd. and other firms have launched several investment vehicles this year to capture this demand, seeking to raise over $1.25 billion for real assets. Nuvama raised approximately $420 million for a commercial real estate fund in partnership with Cushman & Wakefield. Similarly, Neo Investment Value Advisors Private Limited raised $110 million for its Real Asset Yield Fund and over $500 million for its Neo Infra Income Opportunities Fund.
The trend is further highlighted by the Mumbai listing of EAAA India Alternatives Limited, which manages nearly $5.2 billion in assets. Indian family offices now allocate 40% to 45% of their portfolios to alternatives, a move that diverges from the global trend of increasing exposure to public equities.
