HKUST Business School Magazine

Credibility, stability, and a long-term focus Family offices are driven by a desire for intergenerational wealth preservation, and the founders are looking for a financial environment that offers credibility, stability and a long-term focus. They prioritize continuity, requiring tailored services, diverse investment opportunities, and trusted professionals to navigate their unique wealth management needs effectively. Hong Kong is able to serve such interests, Hui says. “It’s a bit like buying property. Those establishing family offices take a broad view of the location. They make their choice more strategically than tactically, and adopt a long-term focus. Compared to other jurisdictions, Hong Kong is well placed to serve these needs,” he says. Hui cites Hong Kong’s robust international financial sector, which is underpinned by the rule of law and an adherence to international commercial practices, as a key starting point. The financial system as a whole is resilient and robust, and this gives a lot of confidence to wealth owners globally. Hong Kong has got everything it takes for investments to be placed safely Christopher Hui Secretary for Financial Services and the Treasury Hong Kong’s measures for creating a competitive environment for global family offices and asset owners - Introducing a new Capital Investment Entrant Scheme - Offering tax concessions - Providing market facilitation measures - Establishing the Hong Kong Academy for Wealth Legacy - Promoting art storage facilities at the Hong Kong International Airport - Developing Hong Kong into a philanthropic centre - Further expanding the role of the dedicated FamilyOfficeHK team in Invest Hong Kong; and - Launching a new Network of Family Office Service Providers Hong Kong’s successful implementation of ‘one country, two systems’ principle is also an advantage. On the one hand, family offices can operate in Hong Kong using the commercial and legal practices that they are comfortable with. On the other hand, they are able to access the Chinese capital markets using the same interface as they use in Hong Kong, broadly speaking. Hui believes that Hong Kong’s connectivity offers a wholly unique advantage because the city has access to mainland China, while maintaining its unique status as a separate international offshore hub. Biz@HKUST 6 Cover