[ M A R K E T
A
sia’s fund management
industry has grown
rapidly following the
boom of the Four Asian
Tiger economies – Hong
Kong, Singapore, South
Korea and Taiwan – from the late 1980s
to mid-1990s.
With their vast connections to both
China and the Western world, as well
as established market infrastructures,
regulatory frameworks and legal
structure, these countries are well
R E V I E W
entrenched in the global economy and an
ideal location for new fund launches.
Profits and revenues for traditional asset
managers broke records in 2018 after a
decade in which Asia hugely outstripped
growth in the US and European markets.
In APAC – where assets are forecast to
double from their 2016 levels to nearly
$30 trillion by 2025 – Hong Kong,
Singapore, and now Australia, are looking
to establish themselves as the next
regional asset management hubs through
the introduction of a variety of new
|
F U N D
M A N A G E M E N T ]
corporate fund structures, designed to
be internationally competitive and entice
asset managers to domicile investment
funds in Asia-Pacific.
In July 2018, Hong Kong launched
its Open-Ended Fund Company (OFC)
to rival the offshore limited liability
company, typically domiciled in the
Cayman Islands. Then in January
2020, Singapore went live with its
Variable Capital Company (VCC) pilot
programme, where 18 fund management
companies have re-domiciled a total of 20
Spring 2020
globalcustodian.com
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