The use of family offices for the purpose of wealth planning is on the rise worldwide with Singapore forecasted to experience the greatest growth in the coming years, according to a report by Ocorian.
In the next three years, Singapore is expected to see the greatest growth in family offices for the purpose of wealth planning or structuring at 45 percent, according to a report by Ocorian, a corporate and fiduciary services, fund administration and capital markets firm serving high net worth individuals and family offices, financial institutions, asset managers and corporates.
This was followed by the Cayman Islands (41 percent), Hong Kong (32 percent), Jersey (29 percent) and the UAE (26 percent).
Criteria for Jurisdiction
The top factor when selecting a jurisdiction to structure wealth was the ability to manage costs.
Other factors cited include cultural considerations, a transparent tax regime, being fluent in the native language, time zone, political stability, international reputation, infrastructure and expertise, common law jurisdiction and accessibility for travel.
Growth Outlook
Most of the family offices surveyed were optimistic about future growth. 68 percent recorded growth in assets during the past five years and of this group, 92 percent expected continued growth in the next five years, including 48 percent that anticipate dramatic increases.
Ocorian’s international study involved more than 300 family offices globally that are responsible for $155 billion in assets under management.
