Jewels, jets, private clubs: What India's ultra-rich are investing in now

Business Standard

15-05-2025

For Ultra-HNIs, collectibles are more than just luxury indulgences — they represent a passionate pursuit of culture, identity, and value. The Kotak Private TOP 2024 survey reveals that these tangible and digital assets are being increasingly viewed as both prestige items and strategic investments. Jewellery tops the list with 94% ownership and 79% planning further purchases, followed by collectible art owned by 73% of collectors.
Collectibles range from jewellery, fine art, vintage wines, and antique/ classic automobiles to rare coins, stamps, and even high-end luxury bags and now, the burgeoning world of NFTs.
Surprisingly, 33% of Ultra-HNIs own NFTs, reflecting a growing appetite for digital collectibles, while 24% plan to invest more in this space. Preferences are shifting — there is a declining sentiment toward traditional categories like handbags, antiques, and sports bikes, and a renewed interest in vintage automobiles, rare coins, and other historically significant artifacts.
Collectibles span across jewellery, fine art, vintage wines, classic cars, rare coins, stamps, and memorabilia, extending even into the burgeoning NFT market. These items are often chosen for their rarity, historical or emotional value, and potential for appreciation, aligning with the Ultra-HNI approach to legacy building and wealth diversification.
This fascination is not just financial — it's personal. Collectibles allow Ultra-HNIs to express family heritage, cultural affinity, and a timeless sense of taste. As an example of the value commanded by Indian art, Amrita Sher-Gil's 'The Storyteller' sold for Rs 61.8 crore in 2023, making it the most expensive Indian artwork ever sold.
As legacy becomes a core theme of wealth strategy, collectibles are increasingly seen as enduring assets that carry meaning across generations — blending the material with the emotional, and the investment with identity.
Exclusive is Chic
According to the survey by Kotak, membership in private members' clubs is considered essential by more than 40% of Entrepreneurs and Professionals but by only 25% of Inheritors. Private members' clubs are crucial for Entrepreneurs and Professionals because these clubs provide essential networking and professional growth opportunities that allow them to expand their businesses or advance their careers.
For the Kotak Private TOP 2024 survey, Ultra-HNIs were asked to allocate their total spending across several areas, classify the areas as 'essential' or 'non-essential,' and specify whether spending in that area had increased or decreased.
Investment into primary business is considered essential by 83% of Ultra-HNIs, while 63 per cent of HNIs consider spending on automobiles an essential expenditure.
"Investment into primary business, household expenses, health and wellness, and children's education are all key areas that are considered essential by more than 80% of Ultra-HNIs," noted the survey. Spending on philanthropy also stands out, with 63% of Ultra-HNIs classifying them as essential spending.
Although spending on foreign leisure travel, ad-hoc leisure (such as movies, concerts, dining, etc.) and hobbies were considered non-essential by most Ultra-HNIs, the allocation towards them was not insignificant. On average, 18% of the Ultra-HNI's outflows are re-investments back into their businesses, prioritising it to ensure long-term financial security and build sustainable wealth.
Another key area for Ultra-HNI spending is Children's Education. Most Ultra-HNIs consider it essential and allocate, on average, 8% of their total spending to it. The cost of education in India has risen 84% over the last twelve years, rising 4% over the previous year alone.
There has been an increase in spending on a range of wellness services and products by Indians over the previous year. The Ultra-HNIs surveyed in the Kotak Private TOP survey allocate 10% of their total spending towards health and wellness. 81% state that their spending for health and wellness has increased, as preventive healthcare and lifestyle modifications become key approaches to achieve their health goals. As healthcare becomes a long-term lifestyle goal, fitness, nutrition, mental wellness, and preventive diagnostics are now essential budget lines for this demographic.
Curated Leisure: More Than Just Travel
Leisure spending may be deemed "non-essential" on paper, but in practice, Ultra-HNIs are pouring money into once-in-a-lifetime experiences. Nearly 7% of their annual spending goes to foreign travel, with entrepreneurs leading the pack—69% report increased spending in this category.
Think underwater hotels in Dubai, private safaris in Africa, luxury stays in European castles, or even Antarctica expedition cruises with helicopters and submarines. These aren't just holidays; they are transformative life experiences tailored to the elite.
Exclusive experiences like private after-hours access to museums, cooking classes with Michelin-starred chefs, and VIP seats at global events like the Monaco Grand Prix are now common bucket-list items for this class of traveller.