Hong Kong wealth managers expand staff to meet Chinese demand

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24th March 2023 – (Hong Kong) Wealth management firms are rapidly expanding in Hong Kong as rich Chinese individuals seek to invest more money overseas after three years of COVID-19 restrictions. High- and ultra-high net worth families in China are diversifying their investments as they can finally travel and seek alternatives to a depressed property market at home.

Mainland visitors are flocking to the first Art Basel fair in Hong Kong since China’s COVID-19 curbs were lifted, leading to a surge in client inquiries for offshore investment. Noah Holdings, the largest independent wealth management firm in China, plans to expand its front office in Hong Kong five-fold and increase its offshore business to over 30% of its total assets under management in 2023.

Hywin Holdings, another Chinese wealth manager, is also expanding in Hong Kong and invited ultra-high-net worth clients to workshops and events. To tap into this growing demand, HSBC Bank launched a pilot program to keep three Hong Kong branches, including wealth management centres, open seven days a week.

The Hong Kong government is also offering tax cuts for family offices and establishing art storage facilities to support a vibrant ecosystem for global family offices and asset owners. Chinese financial institutions, including Chinese Everbright Bank and Hua Xia Bank, are also competing for this growing wealth management business in Hong Kong.