Singapore has established itself as one of the leading private banking and wealth management centres globally and in Asia.
High net worth individuals choose Singapore for our sound financial regulation, strong rule of law, as well as political and economic stability. The breadth and depth of institutions here also give them ready access to global and regional financial markets while providing a full suite of wealth management services to meet their every need.
In addition, Singapore has built up a strong eco-system of capabilities to support the growth of private banking. These include:
- Skills and expertise in asset management, wealth and succession planning, foreign exchange and derivatives trading.
- A diverse pool of local and international wealth management talent, supported by world class training institutions.
- Developed capital markets as well as a vibrant private equity and venture capital ecosystem.
- Comprehensive suite of wealth management players including trust companies, philanthropy organisations, family offices and ancillary service providers such as tax, legal advisors, consultants and technology platform providers.
“As an established financial hub, Singapore will continue to grow opportunities for wealth management and support the evolving needs of family offices…we also believe that the best legacy that those with greater means can leave behind is a positive impact on society.”
The potential for wealth management in Asia is significant. We live in one of the fastest growing regions in the world. In tandem with economic development, private wealth in Asia is growing rapidly, with a burgeoning middle class and an increasing number of ultra-high net worth. At the same time, there is a growing clientele from outside Asia looking for investment diversification opportunities in Asia.
In line with the growth of family offices globally, an increasing number of families are setting up family offices in Singapore as a useful structure to professionalise the management of their family’s wealth over the long term. Many find Singapore an attractive base to access Asian opportunities as part of a globally diversified investment portfolio. In March 2019, MAS and the Singapore Economic Board (EDB) jointly established the to enhance Singapore’s competitiveness as a global wealth management and family office hub. The FODT seeks to enhance the operating environment for family offices; deepen capabilities of family office professionals and service providers; and build a stronger community of family offices.
To promote purposeful contributions, MAS announced the following enhancements to the tax incentive schemes for Single Family Offices on 5 July 2023.
Family offices can be either multi -family offices (MFOs) that manage third party assets of two or more families, or single family offices (SFOs) that manage assets belonging to only one family. MFOs are subject to licensing and regulation under the , which provides safeguards to protect the interests of the different families served by the MFO. As SFOs manage the monies of a single family, they are not subject to licensing and regulation under the SFA.
There are existing class exemptions from licensing under the SFA and the Financial Advisers Act for the provision of fund management and financial advisory services respectively to related corporations.
With rising interest amongst High Net Worth Individuals and families to apply their wealth as a force for good, MAS sees a role for Singapore as a financial centre to intermediate and shepherd wealth to purposeful causes that meet global and regional needs.
Under the , MAS will work with the industry to grow Singapore as Asia’s centre for philanthropy through building impact monitoring solutions, philanthropy advisory competencies, and innovative philanthropy models.
To encourage single family offices to use Singapore as a base to conduct philanthropic activities, MAS announced the launch of the Philanthropy Tax Incentive Scheme on 5 July 2023.
View relevant speeches:
For Private Banks
For Family Offices
Philanthropy Tax Incentive Scheme for Family Offices
Find out more about the Philanthropy Tax Incentive Scheme for Family Offices (“PTIS”), announced in Budget 2023, which seeks to encourage Single Family Offices managing Funds with Sections 13O or 13U tax incentives to conduct overseas philanthropic activities through Singapore.
This consultation paper seeks feedback on the proposed transitional arrangements for existing Registered Fund Management Companies (“RFMCs”) that intend to continue operating fund management businesses following the repeal of the regulatory regime for RFMCs.
- Consultation number:
- P015 - 2023
- Start date:
- 24 October 2023
- Closing date:
- 31 December 2023
This consultation paper sets out a proposed framework for Single Family Offices (“SFOs”) operating in Singapore, under which there will be qualifying criteria for class exemption from licensing under the Securities and Futures Act (“SFA”), as well as notification and annual reporting requirements.
- Consultation number:
- P009 - 2023
- Start date:
- 31 July 2023
- Closing date:
- 30 September 2023
by Ms Gillian Tan, Assistant Managing Director (Development & International) and Chief Sustainability Officer, MAS, spoke about catalytic philanthropy and how it is critical for the climate agenda.
Statement by the Private Banking Industry Group
At The Owner's Symposium of The Global-Asia Family Office Summit, Mr Lawrence Wong, Deputy Prime Minister and Minister for Finance, and Deputy Chairman, MAS spoke about opportunities for family offices in Singapore to maximise their philanthropic impact and do good.