Hong Kong is relaxing the criteria for its Capital Investment Entrant Scheme as part of efforts to draw family offices and enhance its position as a global wealth hub.
Starting March 1, investments through an eligible private company fully owned by the applicant will qualify under the scheme, according to a government announcement on January 7. Family-owned assets and investment vehicles will also be accepted.
The program, reinstated in March 2023 after a 20-year pause, allows individuals investing HK$30 million (approximately S$5.3 million) to secure residency. This move aims to boost the city’s appeal amid competition from rivals like Singapore. The government anticipates the scheme will attract over HK$24 billion in investments, aiding economic recovery and mitigating the impacts of a real estate slump and the departure of international firms due to the pandemic and geopolitical tensions.
As of now, 240 applicants out of more than 800 have met the investment requirements within six months. Additionally, 733 individuals demonstrated net assets of at least HK$30 million in the two years before applying; the new rules shorten this timeframe to six months.
Recent adjustments also include allowing single residential properties worth HK$50 million or more to count toward investment requirements, with a real estate cap set at HK$10 million.
“These initiatives will attract more investors and complement the tax concessions for family offices, fostering the growth of this sector in Hong Kong,” said Christopher Hui, Secretary for Financial Services and the Treasury.
In 2023, Hong Kong hosted over 2,700 single-family offices, according to a Deloitte survey. Chief Executive John Lee aims to increase this number by establishing 200 large family offices by the end of this year.
