A Review of HSBC Global Indian Pulse Report- HSBC Report Review: In this article, we will focus only on the financial and investment plans of Global Indians – in India or their Country of Residence . Read More https://www.wisenri.com/nris-plan-to-increase-investments-in-india/

1. HSBC Report
Review
NRIs plan to increase investments in
India
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2. About The Author
​About Hemant Beniwal
Financial Planning​
I entered in Financial Industry as Management Graduatein Finance& worked
for many years with different organizations beforestarting my own Financial
Planning Firm ArkFinancial Planner in 2009.​
Apart from developing Financial Plans and guiding clients meet their Financial
Goals; I keep interest in research & analysis of various financial products. My
Articleand Query Sectionregularlyfeatures in various Newspapers.I also got a
chanceto appear on Doordarshan’s ‘Money Plant Show’ talking about
Retirement & Financial Planning.​​​
I believethat Financial Planningis theonly way through which peoplecan
achievetheir Financial Goals. Financial Planning gives you moreclarity in life; it
provides direction and meaning to your financial decision. It helps you to
provideright balancebetween your present and futurelifestyle.Financial
Planner is like the Photographer; he is not part of the picture but still
contribute to make it look Good.But in Indian context, theterm “Financial
Planning” & “Financial Planner” has been misused to sell Financial Products.
Theplanning part is completely overlooked and that adds to confusion.​​​

3. Table of Contents
1. HSBCReport Review
2. ​​NRIs plan to increaseinvestments in India
3. Returning To India
4. ​​Returns On Investments
5.​​​Why Invest in India?
6. ​Emerging themes
7. ​​Sustainability
8. ​​​​Retirement

4. 59% NRIs Plan To Increase Investments In
India - HSBC Report Review
​Cross-country migration is an age-old phenomenon and Indians havebeen themost
industrious of thelot. Today theIndian diaspora is thelargest migrant blockin theworld.
Thecontributions of theIndian diaspora to theIndian economy arewell-documented.
Even amidst thepeakof lockdowns in 2020,India saw merely a 0.2% drop, to USD 83
billion, in inward remittances.
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5. HSBC, in partnerships with Ipsos MORI, convened oneof thelargest onlinesurveys
amongst theIndian diaspora to gaugetheir mood between August and September of
2021. Thestudy titled “TheGlobal Indian Pulse” was released recently. TheGlobal Indians
includeNon-Resident Indians(holding anIndian passport)and Persons of Indian Origin
(possibly holding a different passport).
Somekey highlights of thestudy are:
It surveyed 4,152 Global Indians refer to Indians living across the USA, Canada, the UK, the UAE,
Saudi Arabia, Hong Kong, Malaysia, Singapore, and Australia.
The survey participants were spread across three generations with strong Indian connections.
First-generation/Born in India – 53%
Second generation/A parent born in India – 30%
Third generation/A grandparent born in India – 17%
74% of the participants are Indian citizens.
The participants were mostly urban, educated, and affluent.
Thestudyreflected on many aspects affecting thelives of Global Indians as individuals
and as a group. Thequestions dwelled on their social and cultural ties to India, India’s
Global standing, their rolein India’s future, and their financial ties to their homeland.
Thestudy, its accompanying country-specificpulsereports, and a few individual case
studies makefor an interesting read.
In this article, wewill focus only on thefinancial and investment plans of Global Indians –
in India or their Country of Residence(CoR).
Morethan 80% of Global Indians takea keen interest in India’s economicgrowth and
global standing. 68% of participants feel deeply invested in thecountry’s future– the
feeling that “India has arrived” is pervasive.

6. .
Returning To India
Among thesurvey participants, only 4% never visited India, closeto 69% visited India
onceevery coupleof years, and 10% visited frequently twicea year.
Thenotion of brain drain has comefull circleand Indians with global exposurearecoming
backto workhere. They bring backwith them:
International best-practices
Global contacts and networks
Technology
Financial resources
Of theIndians living abroad, morethan three-fifths (61%)areplanning to moveto India.
Almost one-fifths would comebackin thenext two years.

7. ​
Thosewho plan to return, havedifferent reasons, like:
Families – 51%
Care of relatives – 43%
Indulging in Indian culture, festivals, and food – 32%
Retirement – 28%
Children’s education – 22%
Work opportunities – 17%
Indians returning homewish to changethestatus quo and 32% plan to employ their
experience, education, skills, and resources to bring thechange.
Returns On Investments
Most of therespondents havesubstantial investments in their CoR with 85% of them
invested in local businesses, 47% in stocks, and 45% in real estate. Environmental and
Social considerations area key driver for investment decisions for three-fourths (76%)of
them.
Thepast was rewarding as morethan half of them (56%)increased their investments in
thelast threeyears. And thefutureseems bright with 59% planning to increasetheir
investments in thenext threeyears. It does not mean that COVID-19did not haveany
impact. 13% reported that their investments declined, and their condition worsened.
Global Indians areamong theinvestors who seetheenormous potential of India. It is one
of thelargest “untapped markets in theworld,” said Prof. Jaideep Prabhu, oneof thelead
analysts for thestudy. Theinvestments in India givethem a reason to keep coming back, to
actively bring change, and to becomepartners in its future.
Check– Best investment options for NRIs in India
Why Invest in India?

8. It does not mean that theheart has won over thehead in matters of finances. Dr. Omkar
Goswami, another lead author of thestudy, observed that Global Indians aresavvy and
find valuewith higher returns in their Indian investments. Someof thecommon reasons
to invest in India werea combo of head and heart:
44% had family and friends in India.
40% find it to be the most effective use of their investments.
37% plan to go to or return to India.
36% wished to promote change.
35% are investing in ESG opportunities in India.
34% have more investible surplus.
29% sent back money to aid in COVID relief and recovery measures.
22% moved their investments from their countries of residence to India.
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9. According to thesurvey:
80% of respondents had some sort of investment in India.
71% understood the importance of investing in India.
30% of them support an Indian charity.
A quarter invests in Indian businesses, with those who have plans to move to India, have more
investments at 30%.
60% are planning to increase their investments in India from a marginal increase (35%) to a great
deal (25%).
At 21%, Mumbai was the most preferred destination for Indian investments, followed by Chennai
at 9%.
Thevibrancy and interest in India arepalpablewith theincredibleopportunities and the
hugeuntapped potential.
Read – How NRIs can Invest in Indian StockMarkets
Emerging themes
Thetwo themes that emerged from thesurvey were:
1. Global Indians, like other world citizens, are affected by the matters of climate change. And,
2. Given a chance, they wanted to come back to India, albeit for different reasons for different
generations.
Sustainability
Morethan three-quarters of Global Indians arealready investing in or plan to invest in
companies with sustainablepractices. They arebetting big on such businesses in India,
their CoR, and globally. Thekey barriers to such investments arelackof knowledgeof such
investment opportunities in India (24%)as well as their CoR (24%).
Other reasons includedoubts about theimpact of such projects in India (22%)or their
CoR (20%)and thereturns on investments. Still, therearea plethora of opportunities in
this space, as Prof. Jaideep Prabhu remarks, “Global Indians can do good whiledoing well.”

10. Retirement
​
First-Gen (53%): Closeto two-thirds (64%)plan to retirein their CoR and one-third (34%)
in India. Of thelatter, 19% (~7% of total third-gen Indians)will retirein thenext oneto
two years in India and 38% (~13% of total third-gen Indians)in thenext 5or moreyears.
Second-Gen (30%): A higher ratio of respondents (at 78%)wish to retirein their CoR and
only 22% in India. Of thelatter, 28% (~6% of total second-gen Indians)will retirein India in
thenext 5or moreyears, while20% (~4.5% of total second-gen Indians)in thenext 2years.
Third-Gen (17%): Thehighest number of global Indians (at 85%)wish to retireoverseas
and only 15% in India. But they plan to visit India moreoften.
Check– Best placeto retirein India for NRI
Indians living in theUSA, theUK, Australia, and Canada aremorelikely to retirethere
compared to other countries. Themost important facets governing this decision werethe
quality of life(47%), safety (34%), healthcarecoverage(27%), and economicsecurity (25%).
All successful investing is Goal Focused & Planning Driven. All failed investing is market-
focused & return-driven.
If you agree– let’s talkabout YOUR Goals & Plan.