Mumbai, July 14 -- Avendus Future Leaders Fund III has acquired a stake worth Rs.140 crore in Parag Parikh Financial Advisory Services (PPFAS) from promoter Neil Parag Parikh and Khushboo Joshi, president of the wealth management firm.

"We have taken just a shy over 1% stake in the company. This is a cash-rich and high-growth business with a great management team," Ritesh Chandra, managing director, Avendus Future Leaders Fund, told Mint.

As income levels rise, more traction may come into institutional modes of capital, Chandra said. "From channel perspective, wealth management will possibly be one of the largest beneficiaries of this shift as the proportion of the population that is investing has increased," he added.

The secondary in...