From Financialexpress · FE Bureau · · 1m 20s
India’s family office riddle
India’s family offices face regulatory gaps as capital flows shift.
In brief
India’s family offices face regulatory gaps as capital flows shift. India’s family offices lack clear regulations, risking capital outflows while global hubs define rules for family wealth management. Originally reported by Financialexpress.
Family capital shifts
Nearly $29 billion was remitted from India under the Liberalised Remittance Scheme in 2025-26.
Regulatory gap
India lacks clear family office regulations unlike global hubs, risking capital outflows and missed growth opportunities.
Family office growth
India’s family offices grew from 45 in 2018 to nearly 300 by 2024, managing $30 billion.
FIF approval freeze
Premji Invest and Catamaran submitted FIF applications in 2023 but approvals halted by August 2024.
Regulatory asymmetry
India’s rules focus on family office exits, not entries, with no registration category for family offices.
Global comparisons
The US, Singapore, Hong Kong, and Dubai have defined family office rules with tax incentives and streamlined processes.
India’s proposed steps
Define, certify, privilege, and provide a vehicle for family offices to meet regulatory needs.
Expected benefits
Capital retention, patient money, onshore risk capital, and succession anchored in Indian markets.
Sundaram projections
Family-office assets could rise 50% to $45 billion in three years.
The choice
India must decide which jurisdiction’s rules will compound family wealth growth.
At a glance
India’s family offices lack clear regulations, risking capital outflows while global hubs define rules for family wealth management.
