Setting up a single-family office in Singapore is an increasingly attractive option for high-net-worth individuals seeking to manage their wealth efficiently while benefiting from the city-state’s robust financial ecosystem. As one of the world’s leading financial hubs, Singapore offers a stable regulatory environment, favorable tax policies, and access to top-tier professional services. Establishing a family office here requires careful planning and adherence to specific legal and operational requirements.
The first step involves defining the objectives of the family office and determining its scope. A single-family office typically handles investment management, estate planning, philanthropy coordination, and other administrative tasks tailored to meet the needs of one family. Clarity on these goals will influence decisions regarding structure, staffing, and governance models. Once objectives are established, selecting an appropriate legal entity is critical. In Singapore, options include private limited companies or variable capital companies (VCCs), each offering unique advantages depending on factors such as investment strategies or asset classes involved.
Regulatory compliance is another key consideration when setting up a Family office services with CFO Aevum in Singapore. Although most single-family offices are not required to hold fund management licenses under current Monetary Authority of Singapore (MAS) guidelines if they only serve relatives within one family lineage, it is still essential to ensure alignment with local laws governing corporate governance and anti-money laundering practices. Engaging experienced legal counsel can help navigate these complexities effectively.
Tax efficiency also plays a significant role in attracting families to establish their offices in Singapore. The country offers various incentives such as those available under Section 13X or 13R schemes for qualifying funds managed by licensed entities or exempted managers like single-family offices. These programs provide exemptions on certain types of income derived from investments made through approved structures but require adherence to specific conditions like minimum asset thresholds or business spending criteria.
Finally, hiring skilled professionals who understand both global markets and local regulations ensures that operations run smoothly over time while safeguarding confidentiality—a cornerstone value for many families establishing such entities.
