A wealth snapshot of India by Fintox
At Fintox, we started off with a mission to “Make Investing Simple” for everyone. Towards this narrative, we found that, the first thing to understand is the context in which the wealth in India is segmented.
As per Credit Suisse’s Annual Global Wealth Report 2017, adults in India fall into 3 major segments –
a) Wealth less than 7 Lacs – 92% of Indian Adults (Segment 1)
b) Wealth less than 70 lacs – 7% of Indian Adults (Segment 2)
c) Wealth Above 70 Lacs – 1% of Indian Adults (Segment 3)
The penetration of financial literacy decreases from Segment 3 to 1.
On one side, India has more than 100+ billionaires and is the fourth ranked country, globally, that houses the ultra rich individuals next to only US, China & Germany. On the other side, we have 33% of the world poor residing in India.
You may check the chart below, which chalks out the Top 25 countries in terms of the number of billionaires.
On the other hand, India also tops the list with maximum number individuals living in extreme poverty. 33% of the global extreme poor individuals reside in India.
This is why the Gini coefficient for India stands around 0.35 signalling high income inequality.
With this wealth snapshot of India in perspective, you may identify your segment and start learning to ensure right investments for future.
To continue reading about Indian Economy, click here.