Indian HNIs are going global and Dubai is gaining ground as their wealth hub, says Emirates NBD Private…

Fresh updates from the financial markets indicate that Indian wealth management is becoming increasingly global, with high-net-worth individuals and families looking beyond domestic markets for diversification, currency exposure and access to international investments. Dubai has emerged as an important hub in this shift, particularly for Indian entrepreneurs and family offices with business and investment interests across jurisdictions.

In an interview with Moneycontrol, Mohammad Al Bastaki, Group Head of Private Banking and Wealth Management at Emirates NBD, discusses the growing role of Dubai in managing global wealth, and how Indian HNIs are approaching currency diversification, equities and private markets.

He additionally shares his views on changing investor behaviour, the evolution of Indian wealth in the UAE and the balance between expansion and portfolio resilience.

How has the profile of Indian HNIs changed during the past few years?

The profile has become more global and the requirements more sophisticated. While UAE banking relationships were traditionally fuelled by regional trade and transactional needs, many Indian clients today are entrepreneurs, founders, senior executives and family business owners with interests across multiple jurisdictions.

They are increasingly looking for investment advice, estate and succession planning, family governance and cross-border wealth structuring. A younger generation of wealth creators and successors is additionally becoming more involved in investment decisions, with greater interest in global markets and alternative assets.

Are you seeing more Indian entrepreneurs or family offices moving their wealth to the UAE, or simply diversifying part of their portfolios there?

The trend is predominantly diversification rather than wholesale migration of wealth. Many Indian entrepreneurs and families keep have their core businesses and investments in India while using the UAE to access international markets.

We are seeing more geographically diversified portfolios, with domestic holdings complemented by international investments and global custody arrangements. The objective is generally to reduce concentration risk and build greater resilience into family wealth.

In which asset classes do you see traction at present?

There has been a stronger appetite for equities since the pandemic. Technology and other structural investment themes have contributed to this shift. That stated, set income stays an important part of portfolios, particularly given the elevated global yield environment. Overall, portfolios have become more balanced, with greater emphasis on asset allocation and diversification.

How have market participants responded to Indian indian rupee depreciation? Do you see a significant shift back to Indian assets anytime soon?

Indian market participants have become increasingly accustomed to managing currency fluctuations as part of a globally diversified strategy. Many keep maintain significant exposure to hard currencies while retaining confidence in India’s long-term expansion prospects.

Recent shifts in foreign investor allocations towards markets such as Taiwan and South Korea have additionally affected flows into Indian assets. That stated, these shorter-term allocation changes need to be viewed separately from the longer-term expansion trajectory of the Indian economy.

Markets all around the world are at peaks. How would you describe investor sentiment in risk assets today: wary, neutral, or brazen? And what’s your advice?

Investor sentiment is at present relatively optimistic, supported in part by corporate earnings, investment in AI and technology, resilient consumption and moderating inflation. That stated, elevated valuations in some segments can additionally gain sensitivity to negative surprises.

The focus should as a result be on portfolio resilience rather than simply following market momentum. That means maintaining appropriate investment horizons and diversifying across asset classes, geographies and different sources of risk, including currency, inflation, equity, credit and commodities.

How important is currency diversification becoming in portfolio construction for Indian HNIs? Are clients consciously increasing exposure to USD-denominated assets?

Currency diversification is increasingly noted as a risk-management tool rather than simply a tactical investment decision. For many HNW clients, exposure to multiple currencies can help preserve purchasing power and make portfolios more resilient.

USD-denominated assets stay popular, but clients are increasingly looking at diversification across currencies, geographies and asset classes rather than concentrating on a single currency.

Are you seeing greater interest in private markets, venture investments, family office structures, or institutional investment platforms among Indian UHNIs?

Yes, there is greater sophistication in how Indian market participants allocate capital today. We see increasing interest in private equity, private credit, venture capital and other alternative investments beyond traditional public markets.

At the same time, family governance, succession planning and intergenerational wealth transfer are becoming more important. The focus is increasingly not just on growing wealth, but on managing and transferring it across generations.

Are clients increasingly looking at Dubai as the hub from which to manage global investments, rather than viewing it only as a destination for regional investments? What sectors will drive expansion in the UAE?

Dubai’s proximity to India, international connectivity and established financial infrastructure have made it an important base for managing international wealth and investments.

Beyond financial services, sectors such as technology, digital infrastructure, logistics, healthcare, tourism and renewable energy are likely to stay important areas of UAE expansion as the economy keeps diversify.

Each financial centre has its own strengths. Dubai’s particular advantage for Indian market participants is the combination of geographic proximity, firm links with India, ease of access and connectivity to the Middle East and wider global markets.

For market participants and entrepreneurs with interests across these regions, this allows them to stay close to their existing business networks while accessing international investment opportunities.