CONTINUEThis site uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more.
  1. Front Page
  2. News By Topic
  3. Hong Kong Asset Management Boosted By Estate Tax Repeal

Hong Kong Asset Management Boosted By Estate Tax Repeal

by Mary Swire, Tax-News.com, Hong Kong

26 April 2007


Abolition of estate duty has seen significant development in both Hong Kong's asset management and general financial services industries, according to Financial Secretary Henry Tang.

Tang told legislators on Wednesday that there has been 25% growth in Hong Kong's combined fund-management business, from HK$3.618 trillion (US$463 billion) in 2004 to HK$4.526 trillion in 2005.

On authorised funds and authorised hedge funds, the gross sales of mutual funds in Hong Kong amounted to US$24.3 billion last year, up 72% on the US$14.1 billion figure for 2005.

Last year the Hong Kong Securities & Futures Commission authorised more than 200 new unit trusts and mutual funds. Total assets under management of all authorised funds rose from US$66.7 billion at the end of 2005 to US$91 billion at the end of 2006, up 36%.

The business of authorised hedge funds also continues to flourish. The net asset size of the 14 hedge funds that the Commission authorised also grew, to US$1.66 billion, up 60% on the US$1.04 billion figure at the end of 2005.

On bank deposits, while the average growth rate of bank deposits in Hong Kong was only 3% from 2001 to 2005, bank deposits grew 17% last year to HK$4.762.2 trillion.

Hong Kong's direct foreign investments in 2006 amounted to HK$333.2 billion, up more than 27% on 2005. The total investment-portfolio assets of the private bank clients of banks authorised by the Commission to conduct asset-management business grew 31% last year, compared with 16% in 2004 and 2005.

A comprehensive report in our Intelligence Report series giving background tax and residence information on many of the key offshore jurisdictions is available in the Lowtax Library at http://www.lowtaxlibrary.com/asp/subs_reports.asp and a description of the report can be seen at http://www.lowtaxlibrary.com/asp/description_report4.asp

To see today's news, click here.

 















Tax-News Reviews

Cyprus Review

A review and forecast of Cyprus's international business, legal and investment climate.

Visit Cyprus Review »

Malta Review

A review and forecast of Malta's international business, legal and investment climate.

Visit Malta Review »

Jersey Review

A review and forecast of Jersey's international business, legal and investment climate.

Visit Jersey Review »

Budget Review

A review of the latest budget news and government financial statements from around the world.

Visit Budget Review »



Stay Updated

Please enter your email address to join the Tax-News.com mailing list. View previous newsletters.

By subscribing to our newsletter service, you agree to our Terms and Conditions and Privacy Policy.


To manage your mailing list preferences, please click here »