European Wealth Flows Into Hong Kong Family Offices

Lemuel Lee, head of wealth management for BNP Paribas in Hong Kong, notes that European investors are increasingly utilizing the city to conduct due diligence and negotiate deals within mainland China's technology and business sectors. This trend mirrors a broader movement of mainland wealth looking toward European markets, cementing the city's status as a critical financial corridor. Boston Consulting Group currently ranks Hong Kong as the world’s largest cross-border financial hub, narrowly surpassing Switzerland.

To solidify this position, the government has launched targeted tax incentives and residency programs. InvestHK is currently assisting 30 European firms in their transition to the region. These efforts are supported by the Capital Investment Entrant Scheme, which mandates a 5 million dollar investment for residency, and the Quality Migrant Admission Scheme. Such policies, combined with the tax concession regime introduced in May 2023, are designed to attract high-net-worth families to manage their investment holding vehicles directly from the territory.