The two markets each manage $1.3t in offshore assets.<\/p>\n
Hong Kong and Singapore will benefit from increased wealth flows from global investors shifting their eyes to Asia in search of a safe haven for portfolio diversification.<\/p>\n
The two markets are expected to grow the roughly $1.3t in offshore assets they each manage from single family offices, said management consulting firm McKinsey & Co. in its article \u201cAsia\u2019s family office boom: opportunity knocks.\u201d <\/p>\n
Hong Kong and Singapore are currently home to 15% of the world\u2019s single-family offices, at about 4,000. This is quadruple the figure they held in 2020, according to the report\u2019s authors, McKinsey senior partners Bernhard Kotanko and Joydeep Sengupta.<\/p>\n
Assets managed in the two markets may also grow as high net worth (HNW) and ultra-high net worth individuals (UHNW) in APAC transfers around $5.8t in assets to the next generation by 2030, McKinsey & Co. said.<\/p>\n
HNWs are those with personal financial assets between $1m to $50m, whilst UHNWs are those with over $50m in personal financial assets.<\/p>\n
However, the number of family offices in APAC may shrink. McKinsey expects consolidation amongst smaller single-family offices given rising operating costs, which are now at least $100m.<\/p>\n
\u201cSome single-family officers are expected to come together to build MFO structures to lower their operating costs,\u201d the management consulting firm said in the report.<\/p>\n
McKinsey identified five challenges faced by family offices: weak governance, rising operational costs, limited access to bespoke alternative solutions for portfolio diversification, limited understanding of insurance products, and out-of-date technology.<\/p>\n
Banks and insurers can fill this gap by providing advisory services to family offices to help them with recruitment, providing data analytics, sourcing deals and conducting due diligence.<\/p>\n
Insurers may consider building an insurance ecosystem offering tax advisory, immigration support, and legal support, amongst others. <\/p>\n","protected":false},"excerpt":{"rendered":"
The two markets each manage $1.3t in offshore assets. Hong Kong and Singapore will benefit from increased wealth flows from global investors shifting their eyes to Asia in search of a safe haven for portfolio diversification. The two markets are expected to grow the roughly $1.3t in offshore assets they each manage from single family offices, said management consulting firm McKinsey & Co. in its article \u201cAsia\u2019s family office boom: opportunity knocks.\u201d Hong Kong and Singapore are currently home to 15% of the world\u2019s single-family offices, at about 4,000. This is quadruple the figure they held in 2020, according to […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[2],"tags":[],"class_list":["post-387","post","type-post","status-publish","format-standard","hentry","category-news"],"acf":[],"_links":{"self":[{"href":"https:\/\/fountain-rock.com\/en\/wp-json\/wp\/v2\/posts\/387","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/fountain-rock.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/fountain-rock.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/fountain-rock.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/fountain-rock.com\/en\/wp-json\/wp\/v2\/comments?post=387"}],"version-history":[{"count":2,"href":"https:\/\/fountain-rock.com\/en\/wp-json\/wp\/v2\/posts\/387\/revisions"}],"predecessor-version":[{"id":390,"href":"https:\/\/fountain-rock.com\/en\/wp-json\/wp\/v2\/posts\/387\/revisions\/390"}],"wp:attachment":[{"href":"https:\/\/fountain-rock.com\/en\/wp-json\/wp\/v2\/media?parent=387"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/fountain-rock.com\/en\/wp-json\/wp\/v2\/categories?post=387"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/fountain-rock.com\/en\/wp-json\/wp\/v2\/tags?post=387"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}