Family Office News Asia

Tag: Singapore

  • From Entrepreneurs to Dynasties: The Family Office Boom Reshaping Southeast Asia

    From Entrepreneurs to Dynasties: The Family Office Boom Reshaping Southeast Asia

    Southeast Asia is experiencing an unprecedented surge in family office establishments, driven by rapid wealth creation, generational transitions, and favorable regulatory environments.

    This growth represents a fundamental shift in the region’s wealth management landscape, with significant implications for capital markets and economic development.

    Quantitative Growth Metrics

    The expansion of family offices across Southeast Asia has been remarkable in scale and velocity.

    The number of single-family offices in Hong Kong and Singapore, the hubs for such entities in Asia–Pacific, has quadrupled since 2020 to about 4,000 across both jurisdictions.

    Singapore alone demonstrates this explosive growth trajectory, with single family offices growing from just 400 to 1,650, with expectations that new additions in 2024 will surpass the 300 added in 2023.

    This concentration is further evidenced by Singapore’s dominant market position, where 59% of family offices in Asia are located in Singapore, with over 2,000 family offices representing a 43% year-on-year increase.

    The regional impact extends beyond these financial hubs, with family offices now accounting for a third of the region’s investors, up from a fifth in 2020.

    Wealth Creation Drivers

    The proliferation of family offices directly correlates with Southeast Asia’s wealth expansion. The number of ultra-high-net-worth individuals (UHNWIs) in Southeast Asia, defined as those with over US$30 million in assets, grew by 7.5% year-on-year, outpacing North America and Europe.

    This growth has been particularly pronounced in countries like Indonesia, the Philippines, Vietnam, and Thailand, driven by booming real estate, tech entrepreneurship, and family-owned conglomerates.

    The broader economic foundation supporting this wealth creation includes substantial economic growth over the past decade, propelled by factors such as foreign direct investment, urbanization, and infrastructure development in countries like Singapore, Indonesia, and Thailand.

    Additionally, Asia-Pacific private capital grew at 13% CAGR between 2013-2023, fastest compared to other regions.

    Investment Evolution and Market Transformation

    Family offices are reshaping investment patterns across Southeast Asia. The proportion of private market investments rose to over 30 percent in the first half of 2024, up from 18 percent in 2022, with growing investor interest in real estate and infrastructure opportunities in emerging markets.

    This shift demonstrates the sophisticated investment strategies these entities are employing.

    A critical driver behind the family office boom is generational transition.

    Many of Asia’s first-generation wealth creators are now moving businesses or capital to the next generation, with second-generation leaders seeking more governance, strategic planning and professionalisation in how their family’s wealth is managed.

    This transition is supported by advanced planning capabilities, with 65% of APAC family offices having succession plans, significantly ahead of their global counterparts.

    The trajectory suggests continued robust expansion in Southeast Asia’s family office sector. The convergence of wealth creation, favorable regulatory frameworks, generational transitions, and sophisticated investment demands positions the region for sustained growth in this sector.

    This development signifies not just a shift in wealth management preferences, but a fundamental evolution in how ultra-high-net-worth families approach capital preservation, growth, and succession planning across Southeast Asia.

    The data indicates that Southeast Asia’s family office sector has moved beyond emergence into a mature, rapidly expanding ecosystem that will continue to influence regional capital flows and investment patterns in the years ahead.

    FamilyOfficeNewsAsia.com

  • Singapore Ramps Up Philanthropic Push As Family Offices Surge Past 2,000

    Singapore Ramps Up Philanthropic Push As Family Offices Surge Past 2,000

    Singapore is stepping up efforts to channel more charitable giving from family offices, as the number of single family offices (SFOs) in the city-state climbed to more than 2,000 by the end of 2024, a tenfold increase in five years.

    Officials and industry participants say the growth has been driven by tax incentives, regulatory clarity and a deep advisory ecosystem, making the Republic an attractive hub for wealthy families.

    “These conditions make it a trusted hub for high-net-worth individuals to turn their philanthropic ambitions into credible action,” said Mae Anderson, head of philanthropy services, Asia, at BNP Paribas Wealth Management.

    Charitable activity has grown alongside the expansion of family offices. The latest Singapore’s Biggest Philanthropic Organisations List by consultancy Soristic Impact Collective recorded 117 organisations, up from 101 in 2022, with total giving almost doubling to S$431 million.

    Family offices have backed initiatives in healthcare, sustainability and innovation. The Carbon Project Development Grant, co-funded by the Economic Development Board and family office capital, supports local firms in developing carbon credits.

    The Gates Foundation, which opened a Singapore office in May 2025, plans to mobilise at least US$100 million from family offices and foundations to boost healthcare in Southeast Asia.

    Regulators are also building capacity. In 2021, the Monetary Authority of Singapore (MAS) and the Institute of Banking and Finance issued skills benchmarks for philanthropy advisers, with co-funding available for training.

    MAS connects new SFOs with charities such as the Community Foundation of Singapore and Community Chest, and in 2023 broadened tax incentives to recognise donations as eligible expenditure.

    The ecosystem has expanded to include groups such as ImpactSG, which launched in 2024 and partnered with multi-family office Farro Capital this year, engaging five families in commitments worth S$600,000 annually.

    FamilyOfficeNewsAsia.com

  • Singapore’s Tsao Family Office Backs African Private Credit Fund in Second Continent Investment

    Singapore’s Tsao Family Office Backs African Private Credit Fund in Second Continent Investment

    Singapore-based Tsao Family Office, established by the family behind maritime conglomerate Tsao Pao Chee Group, has made its second Africa-focused investment by backing a private credit fund managed by TLG Capital, seeking both commercial returns and social impact.

    The family office invested an undisclosed amount in TLG Capital’s Growth Impact Fund II, which had attracted $75 million in commitments toward its $200 million target by April.

    The fund employs an unconventional approach of partnering with local African banks that have viable but underperforming small and medium-sized enterprises in their loan portfolios.

    Many of these businesses require longer-term U.S. dollar financing to support growth but are burdened with short-term loans carrying high interest costs, limiting their ability to scale effectively.

    Local banks typically cannot provide such long-term dollar loans, creating an opportunity for TLG to step in with longer-dated capital coupled with active operational support.

    In some cases, TLG places team members onsite for the first 100 days of loans to help improve performance, an intervention beyond most banks’ capabilities.

    TLG requires a 100% guarantee on original loan amounts from partner banks, using this both as downside protection and to assess banks’ confidence in borrowers.

    Banks can identify fundamentally sound businesses needing appropriate loan terms through their existing client relationships and financial visibility.

    In return, banks earn guarantee fees and benefit from successful businesses through higher-margin services like foreign exchange and letters of credit.

    One transaction saw TLG extend a $10 million debt facility to Nigeria’s largest aluminum recycler. The company had acquired new machinery but lacked financing for reliable power and relied on manual, paper-based systems limiting scalability.

    TLG partnered with the recycler’s bank to inject capital and implement hands-on business support, with the bank providing a 100% loan guarantee.

    TLG financed new generators, placed a chartered accountant within the company, and helped convert paper inventory and accounting systems to digital platforms.

    The firm also worked with the company to integrate a solar mini-grid for stable energy supply.

    The Tsao Pao Chee Group traces its origins to China in the late 1800s, evolving over four generations from traditional shipping into a multinational enterprise.

    The group relocated to Hong Kong after World War II and moved to Singapore in 1991. The Tsao Family Office, established over a decade ago, manages investments across public equities, fixed income, alternatives and real estate, typically deploying $5 million to $20 million per investment.

    Leslie Lim, who leads Tsao’s fixed-income portfolio, told ImpactAlpha that TLG’s model was unfamiliar and involved some risk, but one the firm was prepared to accept given its impact mandate.

    He noted that structuring loans in U.S. dollars removes currency uncertainty, as rapidly depreciating African currencies in countries like Egypt or Nigeria can eliminate gains for foreign investors measuring returns in dollars.

    Tsao Family Office’s only other African investment was in Chancen International’s Future of Work fund, which supports education in sub-Saharan Africa. Lim said the TLG experience could enable further regional investments as the firm expands its network and deepens market understanding.

    The investment reflects growing family office interest in impact investing across emerging markets, as wealth managers seek opportunities combining financial returns with measurable social benefits.

    FamilyOfficeNewsAsia.com