SINGAPORE: Singapore is catching up as a competitor to London in the family office sector. Currently, the city-state houses more than half (56%) of Asia’s family offices, according to Singapore Business Review.
A recent report by KPMG and Agreus attributes this rise to Singapore’s tailored financial structures and regimes, which include attractive tax incentives aimed at drawing wealthy families and the professionals who manage their investments.
The report noted that European family office hubs, particularly London, are facing increasing competition from newer hubs like Singapore, which “continue to proactively attract a growing number of family offices.”
KPMG and Agreus observed a boom in family offices moving and setting up in Asian financial hubs, particularly in Singapore, over the past year.
The consistent promotion of family offices, coupled with growing wealth in Asia, is expected to boost demand for family office chief executives.
As this demand rises, experts advise that families need to create effective strategies to attract and retain top talent in these roles.
However, the report highlighted that finding qualified professionals to fill the role of family office CEOs might not be a significant challenge in Asia.
Major financial hubs in the region, including Singapore, have a large pool of qualified professionals. While this is the case, KPMG and Agreus emphasised the importance of finding candidates who understand the unique workings of a family office.
Interestingly, over 25% of family office CEOs in Asia come from investment management (36%) or banking (27%) backgrounds.
Also, over half hold a master’s degree, and 31% are family members. /TISG
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