Hong Kong's strength as an asset and wealth management hub stems from its role as the gateway to mainland China, according to panellists at a forum on Friday, citing the city's deep connection to a vast pool of Chinese resources, capital flows and entrepreneurial innovation.
"Most of the world's wealth will originate from mainland China in this century, and Hong Kong will be a key beneficiary, thanks to its unique position as part of the Greater Bay Area and an offshore centre close to the heart of global wealth creation," said Zhao Yang, managing director at investment bank China International Capital Corp.
China's continued opening up efforts are expected to drive more affluent families and individuals to set up family offices in Hong Kong, Zhao added.
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He spoke at the forum on Next Generation Wealth, part of the South China Morning Post's Redefining Hong Kong series, which was sponsored by insurance giant Prudential.
Beijing's opening up policy brings "more innovative hi-tech companies to Hong Kong", Zhang said. "More capital influx would lower funding and financial opportunities in Hong Kong, providing a very good macro environment for business."
That assessment reflected Hong Kong's initiatives to expand its role as a value‑added "superconnector" for the mainland and international markets.
"Hong Kong stands out as a stable and strategic hub under the 'one country, two systems' framework," said Secretary for Financial Services and the Treasury Bureau, Christopher Hui Ching-yu, in his keynote speech at the forum.
Zhao Yang, managing director at investment bank China International Capital Corp. Photo: May Tse alt=Zhao Yang, managing director at investment bank China International Capital Corp. Photo: May Tse>
The city, Hui said, "benefits from the strong support of the Chinese mainland, while maintaining global connectivity - making it ideal for enterprises to establish or expand their presence."
Assets under management in Hong Kong reached more than HK$35 trillion (US$4.5 trillion) at the end of last year, with an 81 per cent year-on-year increase in funding flows that amounted to more than HK$700 billion.
"The global family office landscape is undergoing rapid transformation, driven by next-gen leadership transitions, growing interest in philanthropy and impact investing, emerging investment themes such as digital assets, and leveraging insurance as a tool for strategic capital management," Hui said.
[SRC] https://finance.yahoo.com/news/redefining-hong-kong-city-remains-093000779.html
