Hong Kong's wealth management landscape is expanding at a remarkable pace. By the end of 2024, the total assets under management (AUM) in its asset and wealth management sector surged past the HK$35 trillion mark, a 13% year-over-year increase. Even more impressive was the market's net fund inflow, which climbed over 80% year-over-year to reach HK$705.0 billion. These two data points are powerful indicators of how appealing Hong Kong's wealth management market is to global capital.

Asset and Wealth Management Activities Survey 2024 

Fast forward to September 2025, and the number of family offices established or expanded with the help of InvestHK has already surpassed 200. Concurrently, Hong Kong's IPO market has shown a stellar performance, with several billion-dollar financing deals landing this year, injecting fresh momentum into its role as a "financing magnetic field."

This growth is no accident but the inevitable result of multiple overlapping advantages. On one hand, Hong Kong's unique position as a "super-connector" is irreplaceable—it bridges mainland China's vast and deep wealth market with global investment opportunities. On the other hand, policy dividends, such as those released in the 2025 Policy Address, are infusing this core advantage with new growth momentum, propelling the market toward a higher-quality stage of development.

Noah has been deeply cultivating the Hong Kong market since 2012 and completed a secondary listing in Hong Kong in 2022, becoming the first Chinese independent wealth management institution to be listed in both Hong Kong and the US. Noah has always adhered to a "client-centric" philosophy, continuously upgrading its services in global asset allocation, family governance, and generational succession. Following the release of the 2025 Policy Address, Noah ARK promptly provided a comprehensive analysis for wealth managers . In this issue of Global Market Watch, we once again focus on Hong Kong, where Noah ARK will leverage its practical experience to conduct an in-depth analysis of the market's growth logic and future opportunities.

Regional Wealth Growth and Institutional Advantages Strengthen the Market Foundation

The prosperity of Hong Kong's wealth management industry is not a short-term trend but is built upon the dual core advantages of "regional wealth growth" and "mature institutional safeguards," which have created market barriers that are difficult to replicate.

First, the Asia-Pacific region has become one of the world's fastest-growing areas for private wealth. This generates consistent client demand for Hong Kong's wealth services. According to Knight Frank's 2025 Wealth Report, the number of high-net-worth individuals in Asia with a net worth over US$10.0 million grew by 5% in 2024, with the total exceeding 850,000. Among them, mainland China was home to 470,000 high-net-worth individuals, accounting for 20% of the global total and becoming a core contributor to regional wealth growth.

According to a report by the Hong Kong Monetary Authority, the ratio of assets managed in Hong Kong from Chinese (including Hong Kong) and overseas investors has consistently been about 1:1. This balanced capital source structure effectively mitigates the impact of single-market volatility and provides stable support for the industry's development.

Second, Hong Kong's mature financial ecosystem offers an ideal platform for international capital seeking "stable value appreciation." Multiple institutional advantages, such as reliable operation of the Linked Exchange Rate System, stability and security of the banking system, and the active efficiency of the capital market, have jointly built a "moat" of capital trust in the city.

In the first half of 2025 alone, funds raised through IPOs in Hong Kong exceeded HK$100.0 billion, ranking first globally and further reinforcing its status as an international financing center.

Focusing on Family Offices and Cross-Border Wealth Management to Broaden Market Growth Potential

If the market fundamentals are the "internal strength," then policy support is the "external force." The 2025 Policy Address has introduced a series of optimization measures centered on core areas like family offices and cross-border investment, opening up new horizons for Hong Kong's wealth management market.

（2025 Policy Address: "Deepening Reforms for Our People and Leveraging Our Strengths for a Brighter Future"）

In the family office sector, Hong Kong has already achieved its goal of attracting over 200 family offices to establish or expand in the city before 2025. Building on this, the 2025 Policy Address further proposes optimizing the concessionary tax regimes for funds, single-family offices, and carried interest. This aims to create a more complete tax environment for the family office ecosystem and continue attracting global family wealth to Hong Kong.

These measures not only solidify Hong Kong's status as a "global family office hub" but also drive the family office business to transition from "competing on quantity" to "improving quality," injecting long-term growth momentum into the wealth management market.

In the realm of cross-border investment, two policy optimizations stand out for effectively lowering investment thresholds and broadening investment channels:

Upgrades to the "New Capital Investment Entrant Scheme": 

The transaction price threshold for residential property investment was lowered from HK$50.0 million to HK$30.0 million, while the permissible investment amount in non-residential properties was increased from HK$10.0 million to HK$15.0 million. This dual adjustment both lowers the entry barrier and expands the scheme's scope, further stimulating market participation.

Significant Impact from "Cross-boundary Wealth Management Connect 2.0": 

As of the end of June 2025, the number of individual investors participating exceeded 160,000, representing growth of over 120% compared to its 1.0 version. The report also proposes including Real Estate Investment Trusts (REITs) in the "mutual market access" schemes, optimizing the Qualified Foreign Limited Partner (QFLP) mechanism, and strengthening cooperation with areas like Qianhai and Shanghai. These steps will continue to expand cross-border investment channels and deepen the financial linkage between the mainland and Hong Kong.

Digital Asset Boom and Product Diversification Open New Growth Pathways

In the first half of 2025, the total transaction value of digital asset-related products and tokenized assets in Hong Kong banks reached HK$26.1 billion, representing a year-over-year increase of 233%. This figure has already surpassed the total for all of 2024, demonstrating immense growth potential. Meanwhile, the industry's regulatory framework continues to improve—on August 1, Hong Kong's Stablecoin Ordinance officially took effect, and the licensing process for fiat-referenced stablecoin issuers has commenced.

Policy is advancing in lockstep to establish a clear framework for digital asset development. The 2025 Policy Address states that the Hong Kong Monetary Authority will continue to advance Project Ensemble to facilitate transactions between tokenized deposits and real-world tokenized assets, as well as assist the government in making tokenized bond issuance "a regular practice." Concurrently, the government is implementing the regulatory regime for stablecoin issuers and drafting legislative proposals for the licensing of virtual asset trading and custody services, ensuring that innovation and regulation proceed in parallel to safeguard the healthy development of the digital asset sector.

Innovation in traditional financial products is also blossoming, further enriching the wealth management product ecosystem:

Insurance

The report proposes promoting the use of insurance funds for infrastructure financing, with plans to amend regulations to lower the relevant capital requirements. It also encourages the development of new products like cross-border pension plans and insurance for the "low-altitude economy," diversifying the insurance market to meet investors' varied protection needs.

Gold Market

Developing the gold market is a key part of the product diversification strategy. The government is advancing the construction of gold storage and refining facilities and plans to establish a central gold clearing system in Hong Kong. This will further enhance the diversified asset allocation system, providing investors with more options for hedging and appreciation.

From breaking the HK$35 trillion AUM milestone to gathering over 200 family offices and witnessing explosive growth in the digital asset space, Hong Kong's wealth management market is steadily advancing toward its goal of becoming the "world's largest cross-border wealth management center." It is achieving this through a multi-dimensional approach: consolidating its scale advantage, initiating regional cooperation, driving policy innovation, and ensuring project implementation.

This "Pearl of the Orient," which combines Eastern heritage with an international perspective, has set HK$35 trillion in assets as its new starting point to write an even more brilliant future on the global wealth management map.