Chillin' out till it needs to be funded
Each of India’s Mega cities that include Bangalore Ahmedabad Hyderabad and Pune could by themselves churn out in excess of $2 billion in stocks, bonds and allied funds. Actually The three mentioned would probably churn $1.25 bn in savings every year and the top 2 (Delhi, Mumbai) even go up to $6-8 billion incl real estate. However I am still discussing Global Wealth reports, waiting for the new Direct Tax Code, making lesser shadow economics and undeclared income. Mukesh Ambani and Lakshmi Mittal make the Forbes list in the Top 20 again with $29bn and $2.7 bn. No prizes for guessing who will be ahead next year.
While on the subject of wealth, might as well detail Forbes, which today reported 7.7 million millionaire households in the US alone on the back of the rally, of which 1 million Ultra HNI rich individuals across the 50 states own more than $5 million. That is just 20-25 crores as a ballpark, still the local reports should probably carry a benchmark of INR 50 million for the Ultra HNI category..when the ML report comes out in June. In the US, the Merrill report put the number of millionaires at 2.3 million in the first recovery in 2003. Well, the Merrill Lynch report by far the Industry standard, does mention the same 7.7 million milionaires albeit worldwide in the world in 2003, and the wealthy seem to be going round in circles in the list, give or take a few. For example, the Forbes list includes 3 Founders/heir apparent from Blackstone incl. Schwarzman and WSJ has an interesting take on the PE stars coming back into the list. The world has 200 more billionaires the population improving the 1000 mark, including the (super)man who sold Marvel comics to Disney, Isaac Perlmutter. Henry Kravis is in there growing his kitty to $4.2 billion up 40%, and Carlos Slim is #1 with $53.5 billion despite Citi’s up and down fortunes, while China has 89 billionaires and Russia 62. Shashi Ruia has recently moved to London, so the Queen might still get one more to list as a UK citizen… Here’s one Ultra HNI story the world is quoting WSJ on:
Ms. Groner worked for 43 years as a secretary for Abbott Laboratories. In 1935, she bought three specially issued shares of Abbott for $180. She never sold a share, even after repeated stock splits. She also kept reinvesting the dividends. By the time of her death, she owned more than 100,000 shares valued at about $7 million.
Indians Kushal Singh (DLF) , Kumar Mangalam Birla and Sunil Mittal (Airtel) made it to page 4 of the list in the top 100, behind powerwoman Savitri Jindal of the Jindal group in the Top 50.