Latest news with #LighthouseCanton
Hans India
28-05-2025
- Business
- Hans India
India beats China for int'l family offices
New Delhi: Global family offices are most likely to increase their exposure in their investment portfolios to India and China over the next 12 months and India has scored far better on the list, according to the '2025 Global Family Office' report by UBS. More than a quarter (28 per cent) of family offices are planning to increase their exposure to India over the next 12 months while almost a fifth (18 per cent) are planning to increase exposure to China, the report mentioned, clearing indicating the robust macro-economic indicators and strong domestic growth in India. 'Middle Eastern family offices were the most likely to increase exposure to India,' the report further stated. Middle Eastern family offices, followed by those in Europe, were the most likely to increase exposure to India. The report captured the views of 317 UBS family office clients. The average net worth of participating families was $2.7 billion, with their family offices managing $1.1 billion each. 'Some of the most notable changes based on the latest survey include a shift toward developed market equities, with family offices likely seeking to access structural growth opportunities,' said the report. They also increased investments in private debt, possibly in search of extra yield, and some indicated that they are planning to increase developed market fixed income allocations, perhaps in a bid to diversify. 'Family offices are most likely to have clear investment strategies for healthcare and/or medicine, and electrification. But they're keen to understand the promise of a range of emerging technologies, seeing opportunities in both public and private markets,' the report explained. Within operations, they're most likely to use generative artificial intelligence (AI) for financial reporting/data visualisation and text analysis over the next five years. Another report last month said that in the Asia Pacific region, single-family offices have grown to 2,290 (surged by 28 per cent since 2019) and the region is expected to outpace North America moving forward, growing 40 per cent to reach 3,200 offices by 2030, adding that India is undergoing a similar evolution. A growing number of ultra-high-net-worth individuals and startup founders in the country are turning to institutional family office structures to manage wealth and succession planning, according to a white paper by Lighthouse Canton, a global investment institution.
India.com
27-05-2025
- Business
- India.com
India Pips China As Top Investment Country For Global Family Offices
New Delhi: Global family offices are most likely to increase their exposure in their investment portfolios to India and China over the next 12 months and India has scored far better on the list, according to the '2025 Global Family Office' report by UBS. More than a quarter (28 per cent) of family offices are planning to increase their exposure to India over the next 12 months while almost a fifth (18 per cent) are planning to increase exposure to China, the report mentioned, clearing indicating the robust macro-economic indicators and strong domestic growth in India. "Middle Eastern family offices were the most likely to increase exposure to India," the report further stated. Middle Eastern family offices, followed by those in Europe, were the most likely to increase exposure to India. The report captured the views of 317 UBS family office clients. The average net worth of participating families was $2.7 billion, with their family offices managing $1.1 billion each. "Some of the most notable changes based on the latest survey include a shift toward developed market equities, with family offices likely seeking to access structural growth opportunities," said the report. They also increased investments in private debt, possibly in search of extra yield, and some indicated that they are planning to increase developed market fixed income allocations, perhaps in a bid to diversify. "Family offices are most likely to have clear investment strategies for healthcare and/or medicine, and electrification. But they're keen to understand the promise of a range of emerging technologies, seeing opportunities in both public and private markets," the report explained. Within operations, they're most likely to use generative artificial intelligence (AI) for financial reporting/data visualisation and text analysis over the next five years. Another report last month said that in the Asia Pacific region, single-family offices have grown to 2,290 (surged by 28 per cent since 2019) and the region is expected to outpace North America moving forward, growing 40 per cent to reach 3,200 offices by 2030, adding that India is undergoing a similar evolution. A growing number of ultra-high-net-worth individuals and startup founders in the country are turning to institutional family office structures to manage wealth and succession planning, according to a white paper by Lighthouse Canton, a global investment institution. According to a recent industry report, the number of family offices in the country has grown nearly sevenfold over the past six years, rising from 45 in 2018 to close to 300 in 2024. The nation's booming startup ecosystem and generational wealth transfer are fuelling this growth, with many Indian families increasingly seeking institutional-grade investment strategies and governance solutions.
Economic Times
02-05-2025
- Business
- Economic Times
ETMarkets Smart Talk: Gold is more than a safe haven now - Pradeep Gupta on the rise of a new asset class leader
In this edition of ETMarkets Smart Talk, we catch up with Pradeep Gupta, Executive Director and India Head of Investment at Lighthouse Canton, to decode the shifting dynamics in global markets. Amid rising geopolitical tensions, volatile equity markets, and weakening confidence in traditional safe havens, gold has emerged not just as a hedge—but as a serious contender for alpha generation. Gupta shares why gold's role in portfolios is evolving, how macroeconomic uncertainties and central bank actions are fuelling its rise, and what investors should keep in mind while allocating to this asset. From equity allocations to FII flows and small-cap strategies, he also outlines the key factors driving investment decisions in FY26. Edited Excerpts – ADVERTISEMENT Q) Thanks for taking the time out. We are seeing some volatile swings in the markets, thanks to the back-and-forth from Trump on tariffs and now some geopolitical concerns amid tensions between India and Pakistan. How are you looking at all this?A) We are in the camp that these elevated tariffs may not really sustain for long, and a middle path via trade negotiations will eventually come into play. India has already started on a positive note on that front. We expect much of the concerns around tariffs to start settling in 2nd half of this year. As far as escalating tensions between India & Pak are considered, it remains a wait & watch mode for now. Markets will remain cautious & volatile in coming few days. Historically speaking, Indian markets have never experienced a correction of more than 2% during times of elevated tension with Pakistan except for 2001 parliament attack (got amplified due to correction in S&P 500).One will have to assess the balance between restraint & course of action. There are still many unknowns & overall sentiments will get anchored accordingly. ADVERTISEMENT While we don't envisage a prolonged impact for now, things can escalate very quickly & so will be the impact on overall markets.Q) It looks like we have entered a low-interest-rate environment. What should the asset allocation strategy be for an individual in the age bracket of 30–40 years?A) Investors within this age bucket should/ or rather are better placed with growth orientation in their overall portfolio construct. ADVERTISEMENT A 70%-20%-10% portfolio between Equity (comprising of global equities), Debt & Gold will be a prudent one to move ahead with. Q) What is your take on the results that have come out from India Inc., and what are your expectations for the next few quarters? ADVERTISEMENT A) While the earnings announcements are still underway, we were of the view that profit growth is likely to remain weak as we head into this quarter as earnings growth is likely to be between 4%-5% (excluding OMC's & Metal) thus providing a low base for the earnings as head into new fiscal. We expect Y-o-Y top line growth to be anywhere between 5%-6% range for ongoing quarter. Our expectations are that NIFTY earning is likely to grow between 12%-13% for the next 2 years. ADVERTISEMENT Q) How should one be looking at the small- and mid-cap space in FY26?A) Selectivity is the need of the hour. Given the widespread distortion (nearly 55% of the small cap universe is down by 50% or more), it eventually comes down to bottom up/ selective with ongoing corrections, small cap as a segment trades above historical average thus not imparting sizeable entry cushion. Market Cap-to-PAT ratio is still 50% above the historical clearly, there is a merit in buying into ongoing correction of this magnitude as suggested historically as well. We would advise to closely watch out for market liquidity while secularity and durability of earnings profile with quality centricity are the small cap idea pool one should look to take exposure driven stock rally is behind us while any material BETA offtake must be done gradually. Q) Where is the value in the market after the recent fall we have seen? A) Quite clearly, Large cap space given that valuations are back to historical average along with downside cushion that eventually comes into play till macroeconomic stability kicks is trading at a P/B multiple of 2.7x on a 1 year forward basis & a 1 year forward PE of 18x which is closer to its long-term averages. On an earnings yield to bond yield ratio, NIFTY has started to look far as the SMID segment is concerned, it's not a blanket call yet but select pockets have started to look a top-down perspective, staples & discretionary consumption part of the opportunity appears to be well poised given the expectations around normal monsoon, tax rebate, rural recovery 60% of our GDP is domestic oriented which is relatively shielded from tariff & remains resilient. In addition, current valuation comfort offers an attractive entry point. We continue to be positive on banks, domestic healthcare Pharma (minus US generics) as well. Q) Gold is back in the limelight as it hit the Rs 1 lakh mark in the physical market. Is it no longer just a safe haven but also a money-making machine? It has been outperforming equities for the past couple of years. A) That's precisely how Gold as an asset class has moved over the course of last few years. While its difficult to call out the top even though not so conventional valuation template like BSE Sensex -GOLD ratio stands at 1.06 times vis-à-vis its long-term average of us, gold remains one of the most well-placed hedging mechanisms against potential risk emanating from combination of stagflation, recession, debasement and US policy risks facing macro environment remains perfectly poised for both sustained & elevated levels of purchases by central banks (nearly 900 tonnes forecasted in 2025) coupled with a further expansion in investor holdings, particularly from ETFs and central banks, the combination of economic, trade, and US policy uncertainty along with unpredictable geopolitical distortions will continue to maintain gold buying. Current tailwind also gained momentum as confidence in other safe havens has been shaken to a large extent. Q) How are FIIs viewing Indian markets? We have seen some net buying in the past few sessions, but for the month, FIIs have pulled out more than Rs 13,000 crore from the cash segment of Indian equity markets. A) FII's behaviour thus far aren't quite reflective of overall India positioning as we speak. They are currently underweight India. Larger part of the excesses has been taken out from Indian are back to neutral territory & have started to look attractive. India now trades at a premium of 75% to the EM Index- not too far from long-term averages of 61%. NIFTY still holds an earnings projection of 12%-13% for the next 2 is off its peak with weakening USD. India continues to be in a better position as against China when it comes to tariff related turmoil. We expect the flow rotation from China to India to start taking place soon while overall intensity of FII selling is also likely to start coming down. Q) Have you made any changes to your strategy or portfolio to balance out the volatility arising from external factors such as tariffs or geopolitical concerns? A) Portfolio manoeuvring does become complex and tricky during times like this. However, it is important to remain rational and have a fair assessment of where one weren't comfortable with the valuations, cyclical slowdown, and the deteriorating earnings landscape in India. Consequently, we started pruning BETA exposure and, in parallel, ring-fenced client portfolios with a quality tilt by investing in defensive names with solid earnings material exposure to narrative stocks was exited where the fundamentals weren't quite in the magnitude of the correction India has witnessed and valuations for large caps returning to neutral territory, we have once again started building exposure for clients, albeit even more selectively for mid and small exposure with export orientation or sensitive to tariff related turmoil has been pruned gradually. It will be a while before the dust settles on the ongoing global turmoil due to the tariff are in the camp that these tariffs may not really sustain for long, and a middle path via trade negotiations will eventually come into are a whole lot of moving variables in play as we speak, thus warranting caution- but not necessarily panic. Quality centricity is the need of the hour, and we would look to judiciously deploy as the macroeconomic distortions start taking concrete shape. (Disclaimer: Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of the Economic Times)
Time of India
02-05-2025
- Business
- Time of India
ETMarkets Smart Talk: Gold is more than a safe haven now - Pradeep Gupta on the rise of a new asset class leader
In this edition of ETMarkets Smart Talk, we catch up with Pradeep Gupta , Executive Director and India Head of Investment at Lighthouse Canton, to decode the shifting dynamics in global markets. Amid rising geopolitical tensions, volatile equity markets, and weakening confidence in traditional safe havens, gold has emerged not just as a hedge—but as a serious contender for alpha generation. Gupta shares why gold's role in portfolios is evolving, how macroeconomic uncertainties and central bank actions are fuelling its rise, and what investors should keep in mind while allocating to this asset. From equity allocations to FII flows and small-cap strategies, he also outlines the key factors driving investment decisions in FY26. Edited Excerpts – Q) Thanks for taking the time out. We are seeing some volatile swings in the markets, thanks to the back-and-forth from Trump on tariffs and now some geopolitical concerns amid tensions between India and Pakistan. How are you looking at all this? A) We are in the camp that these elevated tariffs may not really sustain for long, and a middle path via trade negotiations will eventually come into play. India has already started on a positive note on that front. We expect much of the concerns around tariffs to start settling in 2nd half of this year. As far as escalating tensions between India & Pak are considered, it remains a wait & watch mode for now. Markets will remain cautious & volatile in coming few days. Historically speaking, Indian markets have never experienced a correction of more than 2% during times of elevated tension with Pakistan except for 2001 parliament attack (got amplified due to correction in S&P 500). One will have to assess the balance between restraint & course of action. There are still many unknowns & overall sentiments will get anchored accordingly. While we don't envisage a prolonged impact for now, things can escalate very quickly & so will be the impact on overall markets. Q) It looks like we have entered a low-interest-rate environment. What should the asset allocation strategy be for an individual in the age bracket of 30–40 years? A) Investors within this age bucket should/ or rather are better placed with growth orientation in their overall portfolio construct. A 70%-20%-10% portfolio between Equity (comprising of global equities), Debt & Gold will be a prudent one to move ahead with. Q) What is your take on the results that have come out from India Inc., and what are your expectations for the next few quarters? A) While the earnings announcements are still underway, we were of the view that profit growth is likely to remain weak as we head into this quarter as well. FY25 earnings growth is likely to be between 4%-5% (excluding OMC's & Metal) thus providing a low base for the earnings as head into new fiscal. We expect Y-o-Y top line growth to be anywhere between 5%-6% range for ongoing quarter. Our expectations are that NIFTY earning is likely to grow between 12%-13% for the next 2 years. Q) How should one be looking at the small- and mid-cap space in FY26? A) Selectivity is the need of the hour. Given the widespread distortion (nearly 55% of the small cap universe is down by 50% or more), it eventually comes down to bottom up/ selective pickings. Even with ongoing corrections, small cap as a segment trades above historical average thus not imparting sizeable entry cushion. Market Cap-to-PAT ratio is still 50% above the historical median. But clearly, there is a merit in buying into ongoing correction of this magnitude as suggested historically as well. We would advise to closely watch out for market liquidity while secularity and durability of earnings profile with quality centricity are the small cap idea pool one should look to take exposure into. Narrative driven stock rally is behind us while any material BETA offtake must be done gradually. Q) Where is the value in the market after the recent fall we have seen? A) Quite clearly, Large cap space given that valuations are back to historical average along with downside cushion that eventually comes into play till macroeconomic stability kicks in. Nifty is trading at a P/B multiple of 2.7x on a 1 year forward basis & a 1 year forward PE of 18x which is closer to its long-term averages. On an earnings yield to bond yield ratio, NIFTY has started to look attractive. As far as the SMID segment is concerned, it's not a blanket call yet but select pockets have started to look attractive. From a top-down perspective, staples & discretionary consumption part of the opportunity appears to be well poised given the expectations around normal monsoon, tax rebate, rural recovery etc. Nearly 60% of our GDP is domestic oriented which is relatively shielded from tariff & remains resilient. In addition, current valuation comfort offers an attractive entry point. We continue to be positive on banks, domestic healthcare Pharma (minus US generics) as well. Q) Gold is back in the limelight as it hit the Rs 1 lakh mark in the physical market. Is it no longer just a safe haven but also a money-making machine? It has been outperforming equities for the past couple of years. A) That's precisely how Gold as an asset class has moved over the course of last few years. While its difficult to call out the top even though not so conventional valuation template like BSE Sensex -GOLD ratio stands at 1.06 times vis-à-vis its long-term average of 0.70. For us, gold remains one of the most well-placed hedging mechanisms against potential risk emanating from combination of stagflation, recession, debasement and US policy risks facing markets. The macro environment remains perfectly poised for both sustained & elevated levels of purchases by central banks (nearly 900 tonnes forecasted in 2025) coupled with a further expansion in investor holdings, particularly from ETFs and China. For central banks, the combination of economic, trade, and US policy uncertainty along with unpredictable geopolitical distortions will continue to maintain gold buying. Current tailwind also gained momentum as confidence in other safe havens has been shaken to a large extent. Q) How are FIIs viewing Indian markets? We have seen some net buying in the past few sessions, but for the month, FIIs have pulled out more than Rs 13,000 crore from the cash segment of Indian equity markets. A) FII's behaviour thus far aren't quite reflective of overall India positioning as we speak. They are currently underweight India. Larger part of the excesses has been taken out from Indian markets. Valuations are back to neutral territory & have started to look attractive. India now trades at a premium of 75% to the EM Index- not too far from long-term averages of 61%. NIFTY still holds an earnings projection of 12%-13% for the next 2 years. DXY is off its peak with weakening USD. India continues to be in a better position as against China when it comes to tariff related turmoil. We expect the flow rotation from China to India to start taking place soon while overall intensity of FII selling is also likely to start coming down. Q) Have you made any changes to your strategy or portfolio to balance out the volatility arising from external factors such as tariffs or geopolitical concerns? A) Portfolio manoeuvring does become complex and tricky during times like this. However, it is important to remain rational and have a fair assessment of where one stands. We weren't comfortable with the valuations, cyclical slowdown, and the deteriorating earnings landscape in India. Consequently, we started pruning BETA exposure and, in parallel, ring-fenced client portfolios with a quality tilt by investing in defensive names with solid earnings trajectories. Any material exposure to narrative stocks was exited where the fundamentals weren't quite in sync. Given the magnitude of the correction India has witnessed and valuations for large caps returning to neutral territory, we have once again started building exposure for clients, albeit even more selectively for mid and small caps. Any exposure with export orientation or sensitive to tariff related turmoil has been pruned gradually. It will be a while before the dust settles on the ongoing global turmoil due to the tariff war. We are in the camp that these tariffs may not really sustain for long, and a middle path via trade negotiations will eventually come into play. There are a whole lot of moving variables in play as we speak, thus warranting caution- but not necessarily panic. Quality centricity is the need of the hour, and we would look to judiciously deploy as the macroeconomic distortions start taking concrete shape.
Hans India
21-04-2025
- Business
- Hans India
Single family offices in Asia-Pacific to reach 3,200 by 2030, India a bright spot
New Delhi: In the Asia Pacific region, single-family offices have grown to 2,290 (surged by 28 per cent since 2019) and the region is expected to outpace North America moving forward, growing 40 per cent to reach 3,200 offices by 2030, a report showed on Monday, adding that India is undergoing a similar evolution. A growing number of ultra-high-net-worth individuals and startup founders in the country are turning to institutional family office structures to manage wealth and succession planning, according to a white paper by Lighthouse Canton, a global investment institution. According to a recent industry report, the number of family offices in the country has grown nearly seven-fold over the past six years, rising from 45 in 2018 to close to 300 in 2024. The nation's booming startup ecosystem and generational wealth transfer are fuelling this growth, with many Indian families increasingly seeking institutional-grade investment strategies and governance solutions, said the report. 'India's family office ecosystem is standing at a defining threshold. As families evolve in their investment outlook and prepare for generational transitions, the demand for institutional frameworks has become essential,' said Sumegh Bhatia, MD and CEO, of Lighthouse Canton in India. This isn't just about managing assets, but it's about building long-term structures aligned with purpose, governance, and stewardship. 'We believe family offices in India will increasingly shape the country's capital markets, entrepreneurial ecosystem, and philanthropic landscape,' said Bhatia. This also underscores the growing importance of AI and digital innovation as critical tools for multi-family offices to remain competitive. As new family office patrons continue to emerge in Asia, digital transformation is expected to become indispensable by 2028. The whitepaper explored key elements of an institutional approach for families including how these family office models can benefit families in creating structured and scalable investment and specialist services, attracting and retaining best-in-class talent and using technology effectively and efficiently to enhance and consolidate reporting for multi-asset portfolios, manage risk, and increase transparency for families. It also explored about navigating evolving risk and regulatory requirements across multiple jurisdictions and global asset allocations.
