Currently, family offices in India are increasingly diversifying wealth across various asset classes, including real estate, fixed-income funds, hedge funds, equities and private equity
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Dimple Bhati
While institutional investors, both foreign and domestic, continue to dominate market headlines, a powerful new player has emerged in recent years from India’s surging wealth creation industry: the Family Office.
A family office is a private entity established by ultra-high-net-worth individuals or families to holistically manage their wealth, encompassing financial investments, business interests, and personal affairs. Its main objective is to preserve, grow and transfer wealth across generations, with services customised to the family’s specific goals, values, and long-term vision. Typically, they target private markets, eyeing high-growth sectors.
According to reports, family offices surged from 45 in 2018 to 300 in 2024 and manage assets under management (AUM) of $30 billion.
A report from Sundaram Alternates shows that significant losses on investment portfolios managed by banks and large financial institutions have also prompted many wealthy families to seek greater control over their investments and reduce costs, leading to the rise of family offices.
Structure of FO
Currently, family offices in India are increasingly diversifying wealth across various asset classes, including real estate, fixed-income funds, hedge funds, equities and private equity, it added.
There are two categories of family offices – Single-Family Office or Multi-Family Office. The former manages the wealth and affairs of one family, providing focused investment strategies, high-touch services, and full control over decision-making. It offers maximum privacy and alignment with the family’s values but is costly to operate, making it suitable primarily for ultra-wealthy families.
Premji Invest, is one of the pioneers to establish professionally managed family offices in 2006 by Azim Premji of Wipro. Among the top echelons included Catamaran Ventures, founded by Infosys co-founder Narayana Murthy. Besides, Aarin Capital (Dr Ranjan Pai, Mohandas Pai), Ajay Piramal SFO, Artha India Ventures (Anirudh Damani), Burman Family Office (Dabur group owners), JSW Venture Fund (Sajjan Jindal), Murugappa Family Group, RAAY (Amit Patni), Innovations Investment Management (SD Shibulal), RNT Associates (Ratan Tata), Equirus Family Office.
The multi-family office set-up supports multiple families under a shared platform, offering institutional-quality investment management, estate planning, and administrative services at a more efficient cost. Some of notable multi-family offices included Client Associates, Equirus Family Office, Waterfield Advisors and Acquitas Capital Advisors.
Key investments
While most family offices are in tier 1 cities (especially in Mumbai and Delhi), more families are setting up formal or similar family offices in tier-2 and tier-3 cities.
Some of the prominent companies that were backed by family offices included ACKO, Reddit, SpaceX, Lenskart, Canva, Dezerv, Nykaa, Capital Small Finance Bank, Pilgrim and Medi Assist.
According to EY, India’s tax landscape significantly influences family office strategies, with many exploring tax-efficient structures to enhance returns. “Sophisticated strategies, such as long-short funds, are gaining traction among family offices seeking better risk-adjusted returns,” it said in a report.
Currently, family offices in India are not subject to direct regulation by a dedicated authority, but operate within the framework of general financial and securities laws. When there were reports recently about Securities and Exchange Board of India planning regulatory oversight of family offices, the regulator scotched it as rumour.
At nascent stage
Indian family offices are still at nascent stage compared with the size and scale of global family offices that handle over trillions of dollar assets. However, given the animal spirits of Indian business class, innovative structural financial products, and the evolution of Gift City for tax benefits, family offices are set to grow leap and bounds in the days ahead. There are reports that global family offices also plans to enter India for long-term investments.
Interesting days ahead, with millennials and Gen Z heirs of ultra high net worth individuals (UHNIs) willing to take risks by backing start-ups and innovative business ideas, even a small percentage of success on their investments can usher in new waves of entrepreneurs across sectors.
Published on January 2, 2026
