Hong Kong is widening the scope of tax concessions available to single-family offices by including investments in gold and digital assets, as part of a broader push to strengthen its appeal as a global wealth hub.
In his 25 February Budget speech, financial secretary Paul Chan announced plans to enhance existing incentives and expand the categories of qualifying investments. Legislation is expected in the first half of the year to ensure that digital assets, precious metals and certain commodities are eligible for tax relief.
Stanley Ho, tax partner at KPMG China, said that refining the tax framework and broadening eligible investment definitions should make Hong Kong more attractive to family offices considering relocation or expansion.
The city’s single-family office population surpassed 3,300 last year, following the addition of 681 new firms, as it competes with centres such as Singapore and Dubai. By allowing gold to qualify, wealthy families can shift precious metal holdings into Hong Kong-based structures, potentially benefiting from the recent rally in gold prices. The change may also encourage more relocations, as additional asset classes can now count towards the minimum asset threshold of $240 million required under the regime.
Chi Man Kwan, group CEO of Raffles Family Office, welcomed the inclusion of digital assets, noting rising interest among ultra-high net worth families as the crypto market matures and investors seek greater diversification amid volatility.
More details on the enhanced tax measures are due later this year. Digital wealth platform Endowus said the expanded concessions strengthen Hong Kong’s competitive position, highlighting a noticeable rise in family office activity. With more than 3,300 single-family offices now operating in the city, Endowus said the growth reflects the success of current policies in positioning Hong Kong as a leading destination for global wealth.
