The seventh annual Hong Kong Private Wealth Management report provides an in-depth view into the current landscape and how the industry continues to manage ongoing challenges. The report also examines growth opportunities and trends along important themes of technology, regulation and talent.

The report is largely based on an online survey of PWMA member institutions – of which 36 of the 42 member firms responded – and a survey of more than 200 clients, as well as interviews with industry executives, regulators and other industry stakeholders in Hong Kong.

The findings show that while Hong Kong’s private wealth management (PWM) industry experienced a decline in assets under management (AUM) in 2021, net fund inflows remained strong. There is also continued optimism around the prospects of the industry, with two-thirds of surveyed PWM firms expecting annual growth in AUM of 6-10% over the next five years.

Further penetrating the mainland China market, targeting the next generation of investors and attracting family offices are identified as key growth opportunities for the industry. The industry is also expected to look forward to a period of accelerated growth when travel restrictions are lifted. There has been limited progress in the proportion of AUM allocated to ESG investments, with new product offerings, increased education of clients and regulatory alignment on green standards needed to create stronger growth in the ESG market.