What Changed
- Introduced legislation to enhance preferential tax regimes for funds, single family offices, and carried interest, targeting passage by the end of 2026.
- Reported over 3,300 single family offices operating in Hong Kong (a 25 percent increase in two years) and 4,300 applications under the New Capital Investment Entrant Scheme.
- Noted banking system deposits reaching HK$20.9 trillion and IPO market capital raised at HK$388 billion over the first nine months of the year.
Private wealth managers, family offices, fund operators, and international investors with cross-border operations face an evolving regulatory and tax landscape in Hong Kong SAR. On 5 November 2026, Financial Secretary Paul Chan delivered a keynote address at the Private Wealth Management Association (PWMA) Wealth Management Summit 2026, outlining major policy and market developments affecting the sector.
Key legislative updates include newly introduced legislation intended to further enhance preferential tax regimes for funds, single family offices, and carried interest. The Hong Kong SAR Government aims to pass this legislation by the end of 2026. This initiative builds upon established tax concessions for family-owned investment holding vehicles and the New Capital Investment Entrant Scheme (New CIES), which has received approximately 4,300 applications representing an expected HK$150 billion of investment.
Data cited from a Securities and Futures Commission (SFC) survey released in July shows that assets under management in the industry grew by 20 percent to over HK$42 trillion. Hong Kong is currently home to more than 3,300 single family offices, representing a 25 percent increase over two years. Furthermore, total banking system deposits reached HK$20.9 trillion in the first nine months of the year, while the initial public offering (IPO) market raised a record HK$388 billion across 116 listings in the first three quarters, with technology companies in AI, semiconductors, and robotics comprising over half of those listings.
The speech highlighted macroeconomic shifts—including structurally higher interest rates, geopolitical supply chain reconfiguration, and tech-driven wealth creation—noting increased capital inflows from mainland China, Southeast Asia, Central Asia, and the Middle East alongside traditional Western markets.
Who May Be Affected
Private wealth management firms, single family offices, fund managers, and high-net-worth individual investors operating in or targeting Hong Kong SAR.
Cross-Border Context
Hong Kong serves as a cross-border hub connecting capital and tech enterprises from mainland China, Southeast Asia, Central Asia, the Middle East, Europe, and the United States.
What to check next
- Track the introduced tax enhancement legislation through the Legislative Council of Hong Kong to verify specific statutory text, effective dates, and compliance criteria.
This article provides general information and does not constitute legal advice. Consult the official text and obtain advice appropriate to your circumstances where needed.