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What the Global Wealth Report Reveals
Last week, an international consulting firm released its Global Wealth Report 2026, offering an observation that merits careful reflection: amid geopolitical turbulence and the sweeping global wave of artificial intelligence (AI), capital is being reallocated on an unprecedented scale. Unilateralism and regional conflicts have added significant uncertainty to the global economic outlook, accelerating capital flows towards stable and reliable safe havens. At the same time, continuing breakthroughs in AI have revealed enormous development potential, attracting substantial capital into related sectors. How Hong Kong can both capture and make good use of these two streams of capital is one of the key issues for our current development.
The report estimates that Hong Kong's cross-boundary wealth under management grew by 10.7% year on year to approximately $23 trillion last year, enabling Hong Kong to Switzerland to become the world's largest cross-boundary wealth management centre — achieving our original target ahead of schedule. The report further projects that, from now to 2030, cross-boundary wealth managed in Hong Kong will grow by around 9% annually, outpacing Switzerland.
This represents a vote of confidence from capital in both the Mainland and overseas in Hong Kong's institutions and investment environment. Under the "one country, two systems" framework, Hong Kong upholds the common law system, the free flow of capital, the free convertibility of its currency, a simple and low tax regime, and a regulatory framework aligned with international standards. These institutional strengths continue to attract sustained inflows of capital.
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| Speaking at the 50th anniversary dinner of the Hong Kong Chi Tung Association last week. |
According to the Asset and Wealth Management Activities Survey published annually by the Securities and Futures Commission, the total value of Hong Kong's asset management business has exceeded $35 trillion, with 54% of assets coming from investors outside the Chinese Mainland and Hong Kong. This reflects the continued strengthening of Hong Kong's international profile as an asset management centre. Hong Kong's asset management business has recorded substantial growth over time. Over the decade from 2015 to 2024, assets under management doubled, while the number of Type 9 licensed corporations — for asset management — rose from 1,135 to 2,212, representing an increase of nearly 100%. In recent years, the HKSAR Government has introduced a series of support measures, including tax concessions for eligible family office businesses, providing sustained impetus for the industry's development.
Equally important is the vibrant development of different market segments — from equities and bonds to fixed income, private equity and venture capital — which continues to drive the overall advancement of the financial market. By offering a richer and more diversified range of investment products and risk management tools, Hong Kong's ecosystem enables international capital to find suitable allocation opportunities. This is also one of our key competitive advantages. Over the past decade, Hong Kong's stock market has grown steadily, with total market capitalisation rising from $23 trillion to more than $47 trillion. Average daily turnover this year has exceeded $270 billion, nearly 10% higher than the figure for last year as a whole. Fundraising activity has also remained very active. Since the beginning of this year, IPO proceeds have exceeded $165 billion, while listed companies have raised more than $241 billion through follow-on fund-raising. The market's liquidity provides a fertile ground for enterprises to grow and thrive.
With the rapid development of AI, related industries and listed companies have become highly sought-after investment targets for global capital. In Hong Kong's stock market, a number of stocks connected to AI large language models or AI hardware have recorded multi-fold gains this year. Finance and innovation and technology are increasingly forming a mutually reinforcing cycle.
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| Speaking last week at the issuance ceremony of the 2026 RMB sovereign green bonds of the Ministry of Finance. |
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| Attending the issuance ceremony of the 2026 RMB sovereign green bonds of the Ministry of Finance, and pictured with Vice Minister, Mr Song Qichao (sixth left), and other officiating guests. |
In the Budget, I proposed the development strategies of "AI+" and "Finance+" to accelerate the integration and mutual reinforcement of these two key forces. As the HKSAR Government's flagship for patient capital investment, the Hong Kong Investment Corporation Limited (HKIC) demonstrates how investment can support development in practical terms. As at the end of March, the HKIC has invested in more than 200 projects across strategic sectors, including hard and core technology, biotechnology and health technology, as well as new energy and green technology. Among its portfolio companies, 10 have already listed in Hong Kong, while more than 30 others have either submitted, or planned to submit, their listing applications in Hong Kong this year.
To strengthen this virtuous cycle, we are taking forward the capital injection into the HKIC and actively considering the launch of a new offshore Renminbi (RMB) venture fund. This initiative will help channel and leverage offshore RMB funds into frontier technologies and emerging industries, while supporting the steady internationalisation of RMB. In addition, the Northern Metropolis' integrated strategic framework of "R&D–translation–mass production" will provide a solid foundation for enterprises within the HKIC's innovation and technology ecosystem to further develop and expand in Hong Kong.
A new wave of technological revolution and industrial transformation is gathering pace. Breakthroughs in technology, product innovation and advances in design are driving investment and sales, and have become key engines of economic growth. Supported by strong exports of AI-related electronic products, the value of Hong Kong's total merchandise exports grew at an even faster pace in April, rising by 42.9% year on year. Retail sales figures for April, which are due to be released this week, are also expected to show solid growth, marking 12 consecutive months of increase and reflecting the steady recovery momentum of Hong Kong's retail sector.
Hong Kong's strong investment in innovation and technology is generating a new momentum for economic growth at an accelerated pace. However, these efforts must be pursued with even greater intensity and speed. We are already seeing the powerful pull effect of this positive cycle: finance supports innovation and technology, while innovation and technology, in turn, drive the development of finance. By accelerating the interaction between the two, we can inject stronger momentum into Hong Kong's high-quality economic development.
May 31, 2026
