The Beijing authorities are heavily controlling the technology industry, and they call out “common prosperity”. China’s richest people are afraid that their property will not be guaranteed, and many people quietly move their funds to Singapore.
CNBC reported on the 29th that after the anti-extradition protests broke out in Hong Kong in 2019, Chinese tycoons began to look for places outside Hong Kong to store their wealth. With a large Chinese-speaking population and no wealth tax, Singapore has become the new favorite of the wealthy in China. Last year, Beijing abruptly overhauled its technology and education industries and advocated common prosperity, leading to a surge in capital flight.
Singapore-based business owners help wealthy Chinese people move their assets to Singapore using the family office model. Iris Xu, founder of accounting and corporate services provider Jenga, said that in the past 12 months, the number of inquiries about setting up family offices in Singapore has tripled, with clients mostly from wealthy Chinese or Chinese immigrants.
Xu has 50 clients who have opened a family office in Xingguo, each with assets starting at at least $10 million. Family offices are privately held companies that assist wealthy families with investment and wealth management matters. Xu said Chinese customers believe there are endless opportunities to make money in their hometown, but they are not sure if their money is safe in China.
Xu revealed that China’s restrictions on international travel due to the epidemic also made local rich people more interested in immigrating to Singapore through family offices. Star State Global Investor Program, spend 2.5 million stars (about 1.8 million US dollars) investment, you can apply for permanent residency.