The heads of Centrum Wealth Ltd have reportedly been asked by its board to leave due to a ‘loss of confidence’.

The development comes when wealth management (which caters to ultra-high networth individuals with a net worth of at least $30 million) is projected to jump in India over the coming months.

According to a Bloomberg report, the board of the Mumbai-based firm asked managing directors Ganashyam S. and Arpita Vinay to leave.

“The board of directors of Centrum Wealth have asked its two managing directors to leave the organisation due to loss of confidence,’’ a group spokesperson told The Telegraph.

Centrum’s wealth management arm was founded a decade ago largely by a leadership team brought in from HSBC Holdings Plc’s India operations.

Centrum Wealth managed Rs 35,000 crore of assets as of March 2022 — a 40 per cent increase from the previous year.

Centrum was founded by Chandir Gidwani and the late Khushrooh Byramjee. It began operations as a money changer in 1997 and during that year diversified its services to offer merchant banking, according to its website.

The group now offers various services such as a small finance bank (Unity Small Finance Bank), housing finance, wealth management, broking and insurance, investment banking & institutional equities and alternative investments.

Centrum Wealth offers financial planning, private banking and a family office. Financial planning focuses on providing advice to clients after understanding their needs. In the family office, it focuses on not only a family’s finances but also on any taxation, legal structuring and administration concerns that they may have.

According to a white paper on ‘Changing trends in Wealth Management in India’ by CAPCO, the Indian wealth management market is on a sustained path of growth, driven by the country’s long-term economic prospects, positive demographics, rising income levels, and existing low levels of penetration.

Though the percentage of wealthy individuals in India is small relative to developed markets, the nation has the second highest number of high-net-worth individuals (HNIs) amongst the BRICS nations, and hence is well positioned as an attractive destination for wealth managers.