David C.’s Post

For such a long time, Hong Kong hasn't had a number dictating how many family offices are incorporated or based in the city. Finally, the city has its own data, according to a Deloitte survey commissioned by the Hong Kong government. * The study estimates that Hong Kong had more than 2,700 single-family offices based in the city last year *The single family offices managed at least $10 million, while 885 of them had at least $100 million in assets as of the end of last year * The city managed HK$30.5 trillion ($3.9 trillion) of assets as of the end of 2022, while boasting more than 12,500 ultra high-net-worth individuals The moves follow Chief Executive John Lee’s target of having 200 large family offices set up in the city by 2025.  Its long-time rival Singapore said around 1,400 single family offices have been awarded tax incentives as of Dec. 31. BUT need to make it clear: Not like Singapore, there is no requirement for single family office registration in HK. Deloitte's number is based on estimation. #hongkong #familyoffices #finance #wealth

#Singapore will continue welcoming "legitimate #wealth," "genuine investments," and "complementary international talent," said Second Minister for Finance Chee Hong Tat at the Global-Asia Family Office Summit on September 16. Chee emphasized that Singapore must remain "open, welcoming, stable, and secure" to stand out in an increasingly volatile world. The city-state's #familyoffice sector is booming, with the number of single-family offices rising from 400 in 2020 to 1,650 by mid-2024. Chee expects 2024 will see more than 300 new offices, surpassing 2023's growth. He highlighted that #Asia’s projected 4.9% growth in 2025 positions Singapore to benefit from regional expansion. Singapore’s #wealthmanagement sector is also thriving. A MAS survey reported 9.5% year-on-year asset #growth in early 2024, and BCG predicts the sector will expand by 8.5% annually from 2023 to 2028. Chee attributed this success to Singapore’s strong legal system and trusted financial environment. Article by Mary Alavanza for The Independent SG. Read more at the link below. Follow Straits Assets (Singapore) now for more curated insights! A Straits42 Group company. https://lnkd.in/gk2tDwMB

Over the past five years, the family office industry in Asia is seeing rising competition. Hong Kong and Singapore have long been the dominant players in Asia's family office scene, attracting billionaires with their sophisticated financial infrastructure, favorable tax regimes, and robust regulatory frameworks.   But the competition is heating up. Indonesia and Malaysia are entering the fray, rolling out the red carpet for family offices with enticing incentives: Indonesia is developing dedicated guidelines and regulations for family offices, aiming to attract a slice of the burgeoning wealth in the region. Malaysia is also taking a bold step, with announcing a zero-tax rate for single-family offices, signaling its ambition to become a major player in the wealth management arena.   When choosing a location, family offices prioritize:   ✔ Talent Pool: Access to a deep pool of experienced professionals in wealth management, legal, accounting, and related fields. ✔ Stability and Security: Economic and financial stability are crucial for preserving wealth and ensuring a predictable business environment. ✔ Favorable Business Environment: Ease of doing business, low bureaucracy, strong legal protections, and attractive tax incentives. ✔ Robust Financial Infrastructure: A sophisticated financial system with access to a wide range of investment opportunities and services is a must-have.   The competition to attract family offices is likely to intensify in the coming years. Hong Kong and Singapore remain the frontrunners, but Indonesia and Malaysia are emerging as serious contenders. The ultimate winners will be those who can create the most attractive and supportive ecosystem for these powerful financial players.#Asia #Pacific #familyoffices #location #alternativeinvestment

EXCERPTS: “I’m very confident we will be number one for family office wealth management in the future,” said Adrian Cheng, the chief executive officer of property firm New World Development Co. and the chairman of the recently-created Hong Kong Academy for Wealth Legacy. The institute was set up by the city last year to help develop and promote Hong Kong as a global hub for the super-rich. Cheng didn’t specify a time frame for the goal, which is to be the biggest in terms of the number of family offices and assets under management, adding that it could be in the “medium term.” Hong Kong had more than 2,700 single family offices at the end of 2023, according to estimates in a government-commissioned study by Deloitte published earlier this year. About a third of them managed at least $100 million in assets, the study said. The semi—autonomous Chinese territory is trying to regain its stature as a global financial hub following years of draconian Covid-19 restrictions and a sweeping crackdown against political dissent. Rival Singapore has benefited from expatriates and international businesses that have shifted away from Hong Kong, and is also a popular regional base for family offices. The Southeast Asian nation had about 1,400 single family offices that had been awarded tax incentives at the end of 2023, more than triple the total at the end of 2020.

To underscore its commitment to developing the family office sector, the Hong Kong government unveiled a new family office statement in 2023, since then, good momentum has been built in the industry. Hong Kong has gradually established a highly competitive ecosystem in the family office sector. In addition, the Hong Kong government has also introduced a number of tax incentive specifically for the fund industry.   To explore the latest developments in this space, KPMG is co-hosting an event with Invest Hong Kong and COPFA in Shanghai. We have invited the Global Head of Invest Hong Kong and various experts in KPMG to discuss the hot topics in relation to policies and recent developments of the Family office and fund industry in Hong Kong.   #FamilyOffice #HongKong #FundIndustry #taxincentives

Hong Kong had more than 2,700 single-family offices based in the city last year, following the government’s push to bolster its status as an Asian wealth hub. The single family offices managed at least $10 million, while 885 of them had at least $100 million in assets as of the end of last year, according to a Deloitte survey commissioned by the SAR government. The Asian financial hub has been seeking to rebound after an exodus of international firms brought on by the pandemic and US-China tensions. https://lnkd.in/gVu4mPx2

Landmark Family Office CEO, Cameron Harvey, has shared his insights in a recent article titled "Family offices: Singapore's pain could be Hong Kong's gain" by Yupu (Stanley) L. , published by Asian Private Banker. The article discusses the growing interest from market participants in establishing family offices in Hong Kong and the industry development trends in the Asia region. Cameron stated in the article: "A lot of people who were considering #Singapore are now coming back to Hong Kong, with some even looking at relocating their assets to #HongKong." For more detailed information, please refer to the full article: https://shorturl.at/gzEOR #LandmarkFamilyOffice #HongKong #WealthManagement #AssetManagement #FamilyOffice

"Hong Kong is a preferred choice for many ultra-rich individuals due to the speed and clarity of the process required to set up a SFO. Cutrera notes that the reputation for being slow, for being difficult has worked against competing markets, without naming specific jurisdictions, compared to Hong Kong which has the ability to move relatively quickly." ~ Jessica Cutrera, Family Office Association HK Chair Today the leading jurisdictions for offshore wealth management includes Switzerland, Hong Kong, Dubai & Singapore. All these locations have several factors in common including political stability, access to top & highly skilled cosmopolitan talent, the strong rule of law, efficiency, cost competitiveness, access to wide range of financial services & products, and pro-business environments. Attracting offshore wealth to be managed by financial services firms in a location has several benefits. It can attract foreign investment, create jobs, accelerate knowledge transfer, increase tax revenues, potentially even lower borrowing costs, and benefit the wider economy etc. Competition is fierce. At the same time, the legal & regulatory frameworks need to be robust & sound, and yet commercial & efficient in order to safeguard the banking system of the location (including mitigate money laundering activities) & ensure the sustainability & growth of the wealth management industry and the wider economy. We are fortunate in Singapore to have a financial regulator who works closely with stakeholders to promote the location as a choice regional & international financial centre. For example, the Monetary Authority of Singapore (MAS) supported the industry-led effort to strengthen competency levels with the establishment of the Private Banking Code of Conduct back in 2011. According to reports, Dubai & Hong Kong are emerging as key locations for attracting family offices. In 2023, Dubai introduced the DIFC Family Arrangements Regulations to promote Dubai's appeal for family offices. Hong Kong is also predicted by Boston Consulting Group to overtake Switzerland within 3 years as the world's largest offshore banking centre. Such competition can only be good for the consumers. Hence, Singapore cannot rest on our laurels. However, it is not a zero sum game. Competition is always good as it benefits consumers as well as improve service levels & pricing, and promotes innovation. While Singapore is home for Bank of Singapore, Asia's Global Private Bank, we also operate out of our Dubai and Hong Kong hubs to capture the growth in these locations & regions. This is important as it brings & connects Singapore to the world, and the world to Singapore. #Singapore #HongKong #Dubai

Hong Kong estimates to have over 2,700 single-family offices. The figures are based on a recently-launched Deloitte study commissioned by Invest Hong Kong to provide an estimate of the number of single-family offices in the city. https://bit.ly/4cmMGz5 #investhk #hongkong #familyoffice