Vikas Satija- MD and CEO of Shriram Wealth Limited.
India's wealth story is becoming increasingly sophisticated. Portfolios are diversified, tax optimized and risk modeled. Yet one element is consistently absent from the strategy sheet: succession. Legacy planning is treated as a cultural inconvenience rather than a financial discipline. This is a serious mistake. A portfolio without an exit structure is not conservative; This has been exposed.
Simplicity in life does not translate into continuous simplicity. Even minor assets can become administratively complex if intent is not documented. Attracts uncertainty, delays and disputes in financial systems
When money matches process
A familiar pattern follows sudden bereavement. Decades of accumulated assets, securities and insurance face the machinery of administration. Accounts lack nominees, assets are held jointly without clarity, records differ across different institutions. Access is suspended. Documentation increases manifold. Family members disagree. The assets remain intact, but their utility is trapped in the process. The failure is not in the investment decision, but in the lack of instruction.
Practical risk, not legal risk
Reluctance to make a will is rarely technical. This is practical. Investors avoid what they feel uncomfortable with. They believe that the spouse will manage, that the nominations are adequate, or that their affairs are “simple.”
These assumptions deserve caution. Simplicity in life does not translate into continuous simplicity. Even modest assets can be administratively complex if intent is not documented, attracting uncertainty, delays and disputes in financial systems.
A will is not an emotional statement; This is a governance document. It specifies the beneficiaries, ratio and rights. It appoints an executor whose function is implementation, not interpretation. Registration strengthens the evidentiary value and reduces the scope for challenge or loss. Sensible preparation is limited but decisive: maintain an asset register, define beneficial ownership (and guardianship where relevant), and select an executor with both competence and independence. These are acts of risk control, not legal embellishment.
comprehensive cost of hesitation
Lack of estate planning has wide-ranging consequences. Only a small portion of Indians have any formal succession planning. Large sums of money remain unclaimed with banks and regulators due to unclear inheritance. This is not just a personal inconvenience; This is capital disabled by avoidable ambiguity. Early signs of change are visible. Registration of wills has increased in major cities in recent years, indicating a gradual change in the behavior of affluent families. However, the trend remains uneven.
Money management is not complete on accumulation. Transmission is its second phase. Without inheritance planning, assets are exposed to procedural risk: frozen accounts, delayed transfers and disputed assets. A will does not enhance returns, rather it preserves results. This converts the intention into an enforceable order.
Investors spend years building capital and few, if any, minutes deciding its destination. That imbalance is unreasonable. Inheritance is no emotional addendum to finance; This is a control system.
Will as basic rule
A will is not an emotional statement; This is a governance document. It specifies the beneficiaries, ratio and rights. It appoints an executor whose function is implementation, not interpretation. Registration strengthens the evidentiary value and reduces the scope for challenge or loss. Sensible preparation is limited but decisive: maintain an asset register, define beneficial ownership (and guardianship where relevant), and select an executor with both competence and independence.
Wills should be considered with the same caution applied to asset allocation: deliberate, documented, and periodically reviewed. This is not a concession to mortality. This is a measure of responsibility. In money management, the ultimate risk is not market volatility. This is lack of instruction.
(By Vikas Satija – The author is MD & CEO, Shriram Wealth Ltd. The views expressed are for general information only and do not constitute investment advice or solicitation)