Full Form of HNI: High Net-worth Individual
Definition:
– An HNI is typically defined as an individual or a household with a high amount of liquid financial assets.
Key Characteristics:
– Net Worth: Generally, an HNI has a net worth of $1 million or more in liquid assets.
– Investment Portfolio: They often invest in a diverse range of assets including stocks, bonds, real estate, and alternative investments.
– Financial Services: HNIs typically require specialized financial services such as wealth management, estate planning, and tax advisory.
Importance in Finance:
– Market Influence: HNIs can significantly influence market trends due to their substantial purchasing power.
– Investment Opportunities: Many companies target HNIs for investment opportunities, as they can provide capital and support for various projects.
Conclusion:
Understanding the concept of High Net-worth Individuals (HNIs) is crucial for financial institutions, marketers, and investors aiming to cater to this affluent demographic.