Mumbai, 11th December 2025: Motilal Oswal Financial Services Ltd. (MOFSL) today announced the release of the 30th Annual Wealth Creation Study (2020–2025), a landmark edition that marks three decades of deep, data-backed equity research led by Mr. Raamdeo Agrawal, Chairman, Motilal Oswal Group. The study examines India’s evolving wealth creation landscape and presents this year’s theme: India – The Multi-Trillion Dollar Opportunity – Compounding Economy, Compounding Stocks, an exploration of how India’s economic compounding is set to create exponential opportunities for investors, businesses, and capital allocators.
The Motilal Oswal 30th Annual Wealth Creation Study has two parts:
- Findings on Wealth Creation during the 5-year period 2020-2025 (March ending)
- Theme Study: India – The Multi-Trillion Dollar (MTD) Opportunity – Compounding Economy, Compounding Stocks
Key Highlights of Motilal Oswal 29th Annual Wealth Creation Study
- Wealth Creation during 2020–2025 is the highest in the 30-year history of the study, with the top 100 companies adding ₹148 trillion, driven by the sharp rebound from the COVID-19 lows.
- Bharti Airtel, BSE and Hindustan Aeronautics emerge as the Biggest, Fastest and Most Consistent Wealth Creators, respectively. HAL is also the Best All-round Wealth Creator of the study period.
- Financials remain the largest Wealth Creating sector, followed by Industrials, Capital Markets, Technology and Utilities.
- PSUs extend their comeback, especially in defence, energy and utilities.
- The world is getting wealthier and so is India, with global financial assets compounding steadily and India’s market cap compounding at 17% over the last 20 years. India is now the 4th largest equity market globally.
- There is no absolute upper limit to financial wealth, despite periodic disruptions, global and Indian equity markets continue to expand structural wealth over long cycles.
- India’s GDP quadrupled from USD 1 trillion to USD 4 trillion in the last 17 years; the study projects another quadrupling in the next 17 years, driving a Multi-Trillion Dollar (MTD) opportunity across sectors.
- In this MTD era, Financials (including Capital Market businesses) and Consumer Discretionary are expected to witness explosive expansion as they hit scale and penetration tipping points.
- The MTD era will see many compounding stocks, supported by rising incomes, financialization, formalization, and strong corporate profit cycles.
- Large caps are likely to perform better in the medium term.
- The Wealth Effect is accelerating with rising household equity ownership. Even a modest 5% wealth effect on incremental market cap can materially lift GDP growth, reinforcing a virtuous cycle of wealth creation and consumption.
Commenting on his study Raamdeo Agrawal, Chairman, Motilal Oswal Financial Services said, “India is entering its most powerful compounding era. As the economy moves from USD 4 trillion toward USD 16 trillion, the combination of rising financialization, expanding equity ownership and stronger corporate profitability is creating a Multi-Trillion-Dollar opportunity for investors. Long-term wealth will be created by high-quality businesses that can compound for decades. The key is to select your compounders carefully and avoid the temptation to time the market.”
Part 1) Wealth Creation Study Findings
The Motilal Oswal 30th Annual Wealth Creation Study (2020–2025) analyses the top 100 Wealth Creators of India Inc. Wealth Created is measured as the change in market capitalization over five years, adjusted for mergers, demergers, buybacks, capital issuance and dividends. The Study identifies the Biggest, Fastest, Most Consistent and Best All-round Wealth Creators, and highlights major trends shaping India’s equity wealth creation landscape.
Study Highlights – 2020–25 Wealth Creation
- 2020–25 Wealth Creation hits an all-time high of ₹148 trillion
- The top 100 Wealth Creators added ₹148 trillion, the highest in 30 years of the study.
- Wealth Creation grew at 38% CAGR, sharply outperforming the BSE Sensex’s 21% CAGR.
Bharti Airtel is the Biggest Wealth Creator
- Bharti Airtel leads with ₹7.9 trillion in wealth created, followed by ICICI Bank and SBI.
- Strong operating momentum and consistent re-rating lifted large Financials and Telecom.
BSE is the Fastest Wealth Creator
- BSE tops the Fastest Wealth Creators list with a 124% Total Return CAGR.
- An equal investment in the top 10 fastest Wealth Creators grew to ₹240 million from ₹10 million, delivering 88% CAGR vs Nifty TRI’s 24%.
Hindustan Aeronautics is the Most Consistent Wealth Creator
- HAL outperformed the Nifty TRI in all 5 years and delivered a 75% Total Return CAGR.
- It also emerges as the Best All-round Wealth Creator, reflecting strength across scale, consistency and speed.
Financials dominate Wealth Creation and PSUs extend their strong revival
- Financials are the largest contributors to Wealth Creation, supported by robust profitability, credit growth and balance sheet strength.
- Industrials, Capital Markets, Technology and Utilities follow.
- Defence, energy and utilities PSUs show sustained turnaround, with HAL, BEL and NTPC featuring prominently in the rankings.
Part 2) Theme Study: India – The Multi-Trillion Dollar Opportunity – Compounding economy, compounding stocks.
Summary
- The world is getting wealthier, and India even faster. India’s market cap has compounded at 17% over 20 years and now stands at 1.3x GDP.
- Financial wealth has no upper limit. As India’s economy gets more securitized and equity participation deepens, market cap can grow far ahead of GDP.
- India’s GDP is set for another quadrupling; from USD 4 trillion to USD 16 trillion over the next 17 years, driving a powerful Wealth Effect.
- This marks the start of a Multi-Trillion-Dollar (MTD) era, benefiting Financials, Capital Markets and Consumer Discretionaries as they hit scale and penetration inflection points.
- The MTD cycle will create many long-term compounders, businesses with moats, high RoE, sector tailwinds and disciplined capital allocation.
- Large caps are likely to outperform in the medium term, supported by stronger balance sheets and higher institutional ownership.
Why This Is India’s Most Powerful Wealth Creation Phase
- Rapid financialization — record SIPs, rising demat accounts, deeper retail participation.
- Wealth Effect kicking in — rising financial wealth is beginning to lift consumption.
- A new growth epoch — India adds USD 12 trillion over the next 17 years.
Sectors Best Positioned
- Financials & Capital Markets — credit expansion, stronger banks, booming retail investing.
- Consumer Discretionaries — accelerating premiumization as incomes climb
Fasten your seat belt for the exciting times ahead!
India MTD Portfolio
Armed with the consideration set of sectors and the QGLP stock-picking framework, we set about shortlisting stocks for the India MTD Portfolio.
IMPORTANT DISCLAIMER
- The stocks are purely based on the quantitative methodology explained herein, and should not be construed as investment advice.
- Further, Motilal Oswal, which appears in the list, is the company which has published this Study.
