HSBC Study Highlights Changing Retirement and Wealth Planning Priorities Among Affluent Indians

Affluent and high-net-worth Indians are rethinking traditional retirement and wealth planning as longer life expectancy, career changes, and family responsibilities increasingly overlap. According to a new study conducted by Ipsos for HSBC, the retirement corpus considered necessary by affluent Indians has risen by 6 per cent to $420,000. However, respondents have managed to save only 48 per cent of this targeted amount on average.

The survey encompassed 9,993 affluent and high-net-worth investors globally, including 1,115 respondents in India. The findings indicate that financial priorities are no longer addressed sequentially. Instead, individuals are increasingly attempting to fund multiple ambitions and support different generations at the same time.

The data shows that 89 per cent of Indian respondents desire wealth solutions capable of accommodating multiple needs. Additionally, 84 per cent are seeking expert guidance to navigate these shifting financial priorities. Key requirements among these investors include flexible financial strategies and access to liquidity without compromising long-term growth.

Sandeep Batra, Head of International Wealth and Premier Banking at HSBC India, noted that families require flexible plans capable of evolving alongside them while keeping long-term goals in sight. He also emphasized the importance of the next generation developing the capability and confidence to manage inherited wealth.

Longer life expectancy is a primary driver behind investors reassessing their retirement requirements. Nearly 96 per cent of Indian respondents stated they had reconsidered their financial plans to account for future needs, with 44 per cent focusing on long-term healthcare and 37 per cent prioritizing the maintenance of their existing lifestyle.

Furthermore, retirement is shifting from a definitive end to work into a gradual transition. Around 78 per cent of respondents expect to leave work flexibly. Specifically, 34 per cent favor portfolio or encore careers, compared to 22 per cent who prefer a conventional retirement approach.

The study also examined generational wealth transfer. Approximately 41 per cent of Indian investors expect to leave an inheritance, while 34 per cent anticipate receiving one at an average age of 51. While 69 per cent of benefactors prioritize providing housing, financial security, and support for major life events, younger generations increasingly view inheritance as a means to fund travel, career breaks, and personal pursuits.

"The findings from this study highlight a critical shift in how wealth and retirement are approached by affluent individuals in India. As life expectancies rise and financial goals overlap—from healthcare to generational support—traditional sequential planning is no longer sufficient. For the financial services and wealth management sector, this signals a clear demand for flexible products, liquidity options, and personalized advisory services that can adapt to multifaceted, multigenerational financial needs." — Dr. Shishir Gupta, Founder & CEO, StartupLanes