The next frontier for global asset management: Hong Kong’s growing appeal

Here Christine Wang, Head of Commercial, Greater China, Vistra Fund Solutions explains why Hong Kong is a prime destination for global asset managers.

Hong Kong’s Role in the APAC and Global Markets  

Hong Kong's asset management market has experienced remarkable growth in recent years, with assets under management (AUM) increasing more than fivefold. The city's robust banking and capital markets have secured its reputation as a top international financial hub, ranking 3rd in the Global Financial Centres Index, and number one in Asia.

Market Size and Growth

According to the Hong Kong Securities and Futures Commission (SFC), as of the end of 2024, the AUM of Hong Kong-domiciled funds increased 22% year-on-year (YoY) to US$211.4 billion. During 2024, net fund inflows amounted to US$20.9 billion, up 87.8% YoY.

Why Hong Kong? Key Advantages

Hong Kong has a free and fair business environment, with world-class infrastructure, that reaches the highest international standards.

• Free Enterprise & Trade: No taxes on dividends, no exchange controls or foreign currency restrictions—except those targeting terrorism financing and money laundering.
• Government Support: Strong backing for financial services and asset management growth.
• Strategic Location: The gateway to Greater China and Asia’s expanding markets.

Global Asset Managers in Hong Kong  

The Hong Kong Securities and Futures Commission (SFC), reports that 54–56% of investors in Hong Kong come from outside Greater China, with 35% coming from North America and Europe (including the UK). Meanwhile, 60% of assets managed in Hong Kong are allocated to overseas markets.

There are more than 2,000 firms licensed to undertake asset management under Type 9 regulated activity in Hong Kong. This number has increased significantly over the past few years, indicating a robust demand for asset management services in the region. The trend is expected to continue as more firms seek to capitalize on the opportunities presented by the global market.

Future Outlook: Hong Kong as a Wealth Management Leader

The Global Wealth Report 2024 by Boston Consulting Group (BCG) identifies Hong Kong as the second largest booking centre for cross-border wealth. It is on track to surpass Switzerland as the leading global hub for offshore asset management by 2028.

Vistra Simplifies Your Expansion into Hong Kong, Greater China, and Asia Pacific

As one of the leading fund service providers, Vistra manages USD 495 billion in assets under administration and collaborates with 66% of the top 300 global private equity firms, in 50 markets worldwide. We offer comprehensive end-to-end fund solutions tailored to your unique needs.

Our services extend beyond fund administration; we provide Management Company (ManCo) services including entity setup, accounting, payroll, and tax solutions—ensuring a cost-effective approach to enhance your operations.

Why Partner with Vistra in Greater China?

1. Proven Expertise: 200 global asset management clients trust our Greater China team to navigate the region's dynamic markets.
2. Top-Tier Industry Recognition: Supporting 66% of the PEI 300 and 8 out of the top 10 world's largetest real estate fund managers.
3. Pioneers in local fund solutions: Among Hong Kong’s first fund administrators to support LPF structures since 2020—now the award-winning leader in this space.
4. Four Decades of Excellence: 40 years of deep-rooted expertise in Greater China’s financial landscape.
5. Regional Powerhouse: 170+ dedicated fund specialists across offices in the region.

Take a look at our case study on how Vistra helped EQT establish over 30 entities in just three months: EQT Case Study - Vistra.pdf

We invite you to discuss how Vistra can be your strategic partner in tapping into Hong Kong’s lucrative asset management opportunities. 

Ready to expand into Asia? Let’s talk →

Our experts will help you navigate Hong Kong’s asset management landscape with confidence.