Hong Kong is set to become the next playground for Family Offices and with 1,364 UHNW individuals for every million adults, it’s not hard to see why.
Hong Kong has a record number of billionaires and in Q3 ramped up its efforts to consolidate wealth in the city by welcoming Family Offices to set up a home.
The South China Morning Post described the move as rolling out the red carpet to wealthy families with the third quarter full of pursuits aimed at enticing family-run limited companies.
Some months on and it seems to be working as Hong Kong is now home to more than 50 Family Offices. It is also home to China’s second-richest man Pony Ma Huateng and Tencent Holdings, his business and China’s largest publisher and social network operator.
The Legislative Council passed a law in August for companies to set up Limited partnerships, a popular format for Family Offices which was soon followed by the establishment of the Family Office Association (FOA) run by five of Hong Kong’s largest Family Offices.
In September, the Government agency InvestHK also introduced a portal to provide key information for Family Offices while the Securities and Future Commissions agency issued guidance on Family Office licensing.
The FOA has said it hopes all 50 Family Offices now licensed in the city will be within membership by the end of the year as Hong Kong looks to attract more Family Offices through its creation of a regulatory framework while achieving its ambition of integrating with the surrounding Greater Bay Area.
As Hong Kong becomes a valuable hub for Family Offices, do you predict an increase in existing Family Offices looking to expand to the Asia-Pacific?