Hong Kong Courts Malaysia’s Ultra-Wealthy With Family Office Tax Breaks and FX Stability

Hong Kong is courting Malaysia’s ultra-wealthy with family office tax breaks and currency stability as regional families step up succession and global asset planning, Invest Hong Kong said.

Jason Fong, global head of family office at Invest Hong Kong, said the city’s low-rate territorial tax system and a profits-tax exemption introduced in 2023 for qualifying family-owned investment holding vehicles managed by single family offices can support long-term structures, with a minimum asset threshold of HKD240m (USD30.7m).

He also highlighted the Hong Kong dollar’s peg to the US dollar, backed by foreign reserves exceeding USD430bn, and the city’s capital markets as attractions for families considering Hong Kong family office tax breaks.