The average tenure across the sector is three years, reflecting high mobility and competition for talent. At senior levels, the average tenure is seven years, highlighting the critical nature of leadership roles in this industry. Leadership roles often come with lucrative offers, benefits, and strong retention incentives, encouraging stability.
Only 17% of professionals, including fund managers, portfolio managers, and senior analysts, are promoted from within their organisations, while 83% are hired externally, the report found. However, while external hiring dominates, 95% of these hires still come from within the financial services industry, reflecting the specialised skill sets required for these roles.
Companies that have seen maximum hiring include Nippon India Mutual Find, Birla Sun Life Mutual Fund, Motilal Oswal Asset Management, Tata Mutual Fund, Axis Mutual Fund, IIFL Securities, DSP Mutual Fund and Kotak Mutual Fund, among others, said the report
The sector has made strides in workforce diversity, with women’s participation at 27% of the overall workforce. However, representation in leadership roles remains a challenge, with women holding just 14% of senior positions.K Pandiarajan – Executive Director and Chairman of CIEL HR said in a statement: “India’s trajectory towards becoming a $7 trillion economy by 2030 is a reflection of its burgeoning market size and a testament to the rapid transformation taking place across its financial landscape. India’s institutional investor sector is at the forefront of this evolution. The sector is experiencing a radical shift, with both established players and new entrants driving innovation in investment strategies and financial products. This growth signals a pivotal moment for institutional investors to harness emerging opportunities, both within India and globally.”Aditya Narayan Mishra, MD & CEO of CIEL HR said: “The sector employs the cream of talent in the country. With the economy growing at a rapid pace, the demand for these roles will surge, further widening the demand-supply gap. We anticipate skilled professionals to return to India from global markets while also drawing expatriates to the country.”
Professionals in the industry often hold advanced qualifications, including MBAs from top Indian and international business schools, as well as CA / CFAs. 34% of executives come from Tier 1 colleges; 58% have an MBA and 28% have a CA/CFA degree, the study found.