The Family Office Sector in Singapore: A Growing Hub for Global Wealth
Between 2023 and 2030, ultra-high-net-worth (UHNW) and high-net-worth (HNW) families in the Asia-Pacific region will transfer an estimated $5.8 trillion in wealth to the next generation. UHNW families will account for about 60% of this transfer. Many are setting up family offices, and the number of single-family offices in Hong Kong and Singapore has quadrupled since 2020, reaching around 4,000.
This wealth transfer presents significant opportunities for banks, insurers, multi-family offices (MFOs), asset managers, and WealthTechs, which provide customized financial services like estate planning, investments, and philanthropy. Family offices vary in size, from large teams to smaller setups that outsource tasks like investment management. Insurers and WealthTechs are increasingly entering the space, providing tailored solutions and collaborating with traditional providers to meet the growing demand of wealthy families.
Singapore has emerged as one of the world’s leading destinations for family offices, a sector that has experienced remarkable growth in recent years. Family offices, which manage the financial affairs and investments of ultra-high-net-worth individuals (UHNWIs) and their families, are increasingly setting up operations in the city-state. This growth is fueled by Singapore’s favorable regulatory environment, its political stability, and its well-established financial infrastructure.
As of 2025, Singapore is home to more than 1,100 family offices, a significant increase from the 400 in 2020. The expansion of this sector is transforming the city-state into a key hub for wealth management, attracting both global and regional UHNWIs. Here's a look at the key drivers of this growth and the trends shaping the family office landscape in Singapore.
1. Favorable Regulatory Environment and Tax Incentives
One of the main attractions for family offices in Singapore is the country's favorable regulatory framework and tax regime. Singapore offers various tax incentives through programs such as the Variable Capital Company (VCC) framework and the Section 13X/13R tax exemption schemes. These schemes allow family offices to benefit from tax exemptions on qualifying income from funds managed in Singapore, making it a highly tax-efficient jurisdiction for wealth management.
The VCC, introduced in 2020, provides a flexible and efficient structure for family offices to manage different investment strategies within a single legal entity. This has been particularly appealing to UHNWIs seeking to consolidate their wealth management activities and achieve greater operational efficiency.
Additionally, Singapore’s strong legal framework, clear regulations, and ease of doing business provide a sense of security to wealthy families, ensuring that their assets are managed in a transparent and stable environment.
2. Political and Economic Stability
Singapore's reputation for political and economic stability is another key reason why family offices are flocking to the city-state. As a global financial hub with a strong rule of law and low levels of corruption, Singapore offers UHNWIs a secure base for managing their wealth. This stability is especially attractive to wealthy families from countries with volatile political climates, seeking to safeguard their assets in a safe and reliable jurisdiction.
Moreover, Singapore’s strategic location in Asia allows family offices to manage wealth not only within the region but also globally. The city-state’s strong connectivity to other major financial centers and its position as a gateway to the fast-growing economies of Southeast Asia make it an ideal location for family offices looking to expand their investments in Asia-Pacific (APAC).
3. Growth of Asian Wealth
The rise of wealth in Asia, particularly in China, India, and Southeast Asia, has significantly contributed to the growth of the family office sector in Singapore. As the number of UHNWIs in the region continues to increase, many are choosing Singapore as their preferred destination for setting up family offices.
Singapore's family office sector has seen a significant influx of wealthy families from mainland China, Hong Kong, and other parts of Asia. These families are attracted not only by Singapore’s favorable tax policies and stable environment but also by its proximity to key markets in Asia. For UHNWIs in the region, Singapore offers a convenient and sophisticated platform for managing and growing their wealth.
4. Focus on Wealth Preservation and Succession Planning
Family offices are primarily focused on preserving wealth across generations, and Singapore’s family office ecosystem is well-suited to support this goal. Many family offices in Singapore are not only managing investments but also providing comprehensive wealth management services, including succession planning, estate planning, and philanthropy.
As UHNWIs seek to ensure the smooth transfer of wealth to future generations, family offices in Singapore are increasingly specializing in succession planning. This includes developing strategies for passing on businesses, investments, and assets while minimizing tax liabilities and ensuring the family’s legacy is preserved.
In addition, family offices are providing more holistic services that go beyond wealth management. They offer guidance on family governance, education for future generations, and support for philanthropic initiatives. This full-service approach makes family offices in Singapore an attractive option for UHNWIs seeking long-term stability and growth for their wealth.
5. Emphasis on ESG and Impact Investing
Environmental, Social, and Governance (ESG) considerations are becoming increasingly important in the family office sector. Many family offices in Singapore are incorporating ESG principles into their investment strategies, driven by the growing demand for sustainable and socially responsible investments.
In addition to traditional financial goals, family offices are focusing on impact investing, which aims to generate positive social or environmental outcomes alongside financial returns. This trend is particularly strong among second and third-generation family members, who are often more conscious of sustainability and social responsibility in their wealth management decisions.
Singapore’s push towards green finance and sustainable development aligns well with the goals of family offices focusing on ESG and impact investing. This alignment has helped strengthen Singapore’s appeal as a global hub for family offices that are seeking to make a positive impact through their investments.
6. Tailored Services and Professional Expertise
Singapore’s growing family office sector has attracted a wide range of service providers, including legal, tax, and investment advisors, who specialize in catering to the unique needs of UHNWIs. Banks, wealth management firms, and consultancy firms are expanding their services to meet the specific demands of family offices, offering everything from tax advisory to philanthropic consulting.
As a result, family offices in Singapore benefit from a highly specialized and professional ecosystem that provides tailored solutions for wealth management, estate planning, and investment strategy. This concentration of expertise further enhances Singapore’s attractiveness as a destination for global family offices.
7. Challenges and Regulatory Oversight
Despite its growth, the family office sector in Singapore faces challenges, particularly as the government looks to ensure proper regulatory oversight. In 2022, Singapore’s Monetary Authority (MAS) introduced new guidelines aimed at improving transparency and accountability in the family office sector. These regulations require family offices to meet certain criteria, such as minimum assets under management (AUM) and compliance with anti-money laundering (AML) regulations.
As the sector continues to grow, family offices must navigate an evolving regulatory landscape, ensuring compliance with local laws and international standards. Nonetheless, these regulatory changes are viewed as necessary steps to maintain Singapore’s reputation as a trusted and well-regulated financial hub.
Singapore’s Family Office Sector on the Rise
Singapore’s family office sector is flourishing, driven by its favorable tax and regulatory environment, political stability, and proximity to growing Asian markets. As UHNWIs increasingly turn to family offices for wealth preservation, succession planning, and impact investing, Singapore is set to remain a global hub for family offices in the coming years.
With the rise of Asian wealth and a growing focus on sustainability, family offices in Singapore are evolving to meet the changing needs of UHNWIs. As the sector continues to expand, it offers a promising future for both wealthy families and the professionals who serve them.
