What Changed
- Hong Kong SAR recorded over 3,380 single family offices operating as of end-2025, supported by US$5.4 trillion in total asset and wealth management business.
- Pending legislation aims to expand qualifying investments under preferential tax regimes to private credit, loans, digital assets, and precious metals by the end of 2026.
- The Government established a new target to facilitate at least 220 family offices setting up or expanding operations in Hong Kong SAR from 2026 to 2028.
This article provides an overview of the regulatory, tax, and strategic measures shaping the family office ecosystem in the Hong Kong Special Administrative Region (Hong Kong SAR), as outlined by the Secretary for Financial Services and the Treasury, Mr Christopher Hui, on November 12, 2026.
### Background and Context
On November 12, 2026, the Secretary for Financial Services and the Treasury, Mr Christopher Hui, delivered an opening speech at the Family Office Summit in Hong Kong, hosted at the University of Chicago Booth School of Business (Chicago Booth) Hong Kong campus. The summit marked the first host location outside the United States chosen by Chicago Booth and its Family Office Initiative.
In his address, the SFST outlined Hong Kong SAR's institutional position as a global hub for cross-boundary wealth management, family offices, asset management, and innovation. Figures cited in the speech indicate that Hong Kong SAR's total asset and wealth management business stood at US$5.4 trillion as of the end of 2025, with 54 percent of funding originating from investors outside Hong Kong SAR and Mainland China. Furthermore, private banking and private wealth management business attributable to family offices and private trust clients reached US$272 billion, representing a 37 percent year-on-year increase.
### Legislative Development and Tax Framework
The official statement reviewed the legal and tax policy tools established by the Hong Kong SAR Government to foster a competitive business environment for asset owners and wealth management entities:
1. **Policy Framework (March 2023)**: The Government released the Policy Statement on Developing Family Office Businesses in Hong Kong in March 2023, setting out a structured policy stance and measures to attract global family offices and asset owners.
2. **Profits-Tax Exemption (Effective April 1, 2022)**: Profits-tax exemptions were introduced for family-owned investment holding vehicles (FIHVs) managed by single family offices in Hong Kong SAR, applying to any year of assessment commencing on or after April 1, 2022.
3. **Proposed Tax Concession Enhancements**: The Government has introduced pending legislation aimed at expanding existing preferential tax regimes for funds, single family offices, and carried interest. The proposed legislation, targeted for passage by the end of 2026, seeks to widen the definitions of qualifying investments to include loans and private credit, digital assets, precious metals, and other emerging investment vehicles.
4. **New Capital Investment Entrant Scheme (March 2024)**: Launched in March 2024, the scheme aims to attract capital and talent. As of the speech date, over 5,000 applications have been submitted under the scheme. If fully approved, these applications are projected to yield more than HK$150 billion (approximately US$19 billion) in investment into Hong Kong SAR.
5. **Hong Kong Academy for Wealth Legacy (November 2023)**: Established under the Financial Services Development Council in November 2023, the Academy delivers specialized training, knowledge sharing, networking, and collaborative initiatives for family office professionals, wealth inheritors, and asset owners.
### Economic Footprint and Growth Targets
Research cited by the SFST demonstrates that as of the end of 2025, more than 3,380 single family offices were operating within Hong Kong SAR. This reflects an increase of approximately 680 offices over a two-year period, representing growth exceeding 25 percent. Market study estimates indicate that single family offices contribute roughly US$1.6 billion annually to Hong Kong SAR's local economy solely through operating expenditure, directly employing over 10,000 full-time professionals.
Having fulfilled its initial target of facilitating at least 200 family offices setting up or expanding operations between 2022 and 2025 ahead of schedule, the Hong Kong SAR Government has updated its benchmark. For the period spanning 2026 to 2028, the Government aims to facilitate at least 220 family offices setting up or expanding operations in Hong Kong SAR, representing a 10 percent increase over the previous goal.
### Legal Considerations and Market Practice
Because the proposed enhancements to the preferential tax regime, carried interest rules, and qualifying asset definitions remain subject to legislative enactment, market participants and professional advisors should monitor the legislative process carefully. Structures involving family-owned investment holding vehicles, cross-border private credit arrangements, or digital asset allocations require formal legal and tax evaluation under applicable Hong Kong SAR codes and ordinances.
### Frequently Asked Questions
**What new asset types are included in Hong Kong SAR's proposed tax regime enhancements?**
The pending tax enhancement legislation seeks to expand qualifying investments under preferential tax regimes for funds, single family offices, and carried interest to explicitly encompass loans and private credit, digital assets, precious metals, and other asset classes.
**What is the recent growth trend of single family offices in Hong Kong SAR?**
According to research cited by the Government, single family offices operating in Hong Kong SAR grew by more than 25 percent over a two-year period, reaching over 3,380 active offices by the end of 2025. This represents an addition of approximately 680 offices.
**What are the capital projections associated with the New Capital Investment Entrant Scheme?**
Since its launch in March 2024, the scheme has received more than 5,000 applications. If all applications are approved, the scheme is expected to bring over HK$150 billion (around US$19 billion) in direct capital into Hong Kong SAR.
**What is the Government's target for facilitating family offices from 2026 to 2028?**
The Hong Kong SAR Government has set a target to facilitate at least 220 family offices setting up operations or expanding their existing business in Hong Kong SAR between 2026 and 2028, reflecting a 10 percent increase over its prior target.
Who May Be Affected
Single family offices, fund managers, private wealth managers, high-net-worth investors, and legal and professional service providers in Hong Kong SAR and internationally.
Cross-Border Context
Hong Kong SAR serves as a cross-boundary wealth hub linking international investors and capital from outside Hong Kong and Mainland China with investment opportunities across Asia.
What to check next
- Monitor the passage of the pending tax enhancement legislation targeted for the end of 2026.
- Track implementation details regarding expanded qualifying investment categories including private credit and digital assets.
This article provides general information and does not constitute legal advice. Consult the official text and obtain advice appropriate to your circumstances where needed.