Hong Kong’s asset and wealth management business reaches HK$23,955 billion

On 26 July 2019, the Securities and Futures Commission (SFC) released its annual Asset and Wealth Management Survey (AWMAS) report for the year ended 31 December 2018, which found that assets under management (AUM) of the asset and wealth management business in Hong Kong amounted to $23,955 billion.

The scope of this year’s AWMAS was extended to cover assets held by firms providing trust services in Hong Kong to provide a more comprehensive overview of the industry.

Over 800 firms responded to the survey. Licensed corporations made up 87% of the firms that participated. The remaining firms were registered institutions, insurance companies and trustees.

In commenting on the AWMAS, Ashley Alder, CEO of the SFC said that, "The latest survey shows the underlying strengths of the asset and wealth management industry in a challenging global market environment in 2018. We will continue to pursue initiatives to further develop Hong Kong as a premier global asset and wealth management centre."

Major findings of the survey include:

Categories 

AUM (HK$) billion

Change (between December 2017 and December 2018)

Asset and wealth management business 

23,955 

23,047

(excluding assets under trusts)

NA 

↓5% 

Asset management and fund advisory business 

16,447

↓6%

Private banking and private wealth management business 

7,624 

↓2% 

Assets held under trusts 

4,333 

NA 

 

Description

Number

Change (between December 2017 and December 2018)

Staff in asset and wealth management businesses 

42,821 

↑16%

Mainland-related licensed corporations and registered institutions 

362 

↑8% 

Type 9 (asset management) regulated activities by licensed corporations 

1,643 

↑11% 

HK domiciled SFC-authorised Funds 

775 

↑3% 

 

Other major findings include:

  • Non-Hong Kong investors remained a major source of funding for the asset and wealth management business, accounting for 62% of the AUM.
  • Assets managed in Hong Kong made up 55% of the AUM of the asset management business, with 50% of these assets invested in equities.

The AWMAS is conducted annually by the SFC to collect information and data on the asset and wealth management business in Hong Kong, and to assist the SFC with its policy and operational planning.