Experts say the change reflects a deeper behavioural transition in how households perceive money, from preservation to active wealth creation.
From savings culture to wealth creation mindset
According to Sarvjeet Singh Virk, CEO of jUMPP, an AI-powered financial super app, India’s retail investors are allocating capital to mutual funds, equities, ETFs, and alternative assets, moving away from traditional reliance on fixed deposits, gold, and insurance products.
He highlighted that sustained systematic investment behaviour and rising retail participation in mutual funds signal a more structural shift in investment culture.
Aditya Agrawal, CFA and Chief Investment Officer at Avisa Wealth Creators, a comprehensive, tech-enabled wealth management division, said portfolios are becoming more diversified, with growing allocations to PMS, AIFs, REITs, InvITs, structured products, and global assets.
He described the shift as a transition toward “goal-based diversified portfolios” supported by improved financial access and awareness.
Gaps in investor behaviour remain
Despite the evolution, experts caution that significant behavioural gaps persist in retail investing.
Rubina Singla, Founder of Equitrust, a Chandigarh-based financial services company, said many investors continue to rely heavily on past performance when making decisions, often leading to concentration in recently outperforming asset classes.
She added that panic-driven selling during market corrections remains a recurring issue, driven by weak risk understanding and limited long-term planning discipline.
Sameer Mathur, MD and Founder of Roinet Solution, a Gurugram-based, rural-focused ‘phygital’ fintech company, noted that investors still struggle with risk calibration, often oscillating between excessive caution and aggressive return chasing. He said lack of consistency and weak diversification continue to undermine long-term outcomes.
Rhishabh Garg, CEO of FundsIndia Digital, said that while investors are aware of concepts like asset allocation, execution gaps remain wide.
He pointed out that behavioural biases such as recency bias and overreaction to volatility continue to shape investment decisions, especially during market corrections.
Advisors shifting from execution to guidance
With digital platforms taking over execution, the role of wealth advisors is undergoing a clear transformation toward advisory-led models.
Virk said advisors are focusing on behavioural coaching, tax efficiency, and long-term financial planning rather than product distribution alone.
Garg added that while execution has been commoditised, advisors remain critical in helping investors stay disciplined during volatility.
“Technology can execute transactions, but it cannot prevent emotional exits during downturns,” he noted.
Aditya Agrawal said advisors are evolving into holistic planners focused on asset allocation, tax optimisation, and personalised financial strategies rather than transactional roles.
“From saving money to creating wealth”
Providing a longer-term perspective, S Ravi, Former Chairman of BSE and Founder of Ravi Rajan and Company, a boutique Chartered Accountancy firm, said Indian investors are undergoing a fundamental mindset shift.
“Over the years, I have seen Indian investors move from a mindset of merely ‘saving money’ to consciously ‘creating wealth’,” he said.
He noted that earlier financial security was associated primarily with fixed deposits, gold, and real estate, but today investors are increasingly exploring mutual funds, equities, REITs, and other market-linked instruments due to improved digital access and financial awareness.
However, he cautioned that many retail investors still approach markets with a short-term lens, often influenced by social media trends, market noise, or fear of missing out rather than disciplined asset allocation.
“In rural India especially, the challenge is not intent but access to reliable financial guidance. Financial literacy must move beyond urban centres and become part of grassroots economic development,” he said.
Ravi also emphasised the evolving role of advisors in this environment. He said technology has democratised investing but increased the need for credible, human-led advice.
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