Key Points
The Monetary Authority of Singapore will change the tax incentives it gives to single family offices in an effort to boost the hiring of locals and investment in the countrys equity markets...
Tax incentives will also be adjusted to encourage these firms to invest in climate-related projects and undertake more philanthropy through Singapore, MAS managing director Ravi Menon said at a briefing after the release of its annual report...
Even though the increase of family offices has boosted the overall assets under management, much of that wealth isnt seen to be invested within Singapore - blunting expectations that their enlarged presence would result in a flood of local jobs..
For grants that these entities provide to support such structures with no expectations of income or return of principal, authorities will recognize as S$2 ($1.48) for every dollar spent, among incentivesAll investments in non-listed Singapore operating companies including private credit will be recognizedRecognition of twice the amount invested in Singapore-listed equities, and eligible exchange traded funds, as well as unlisted funds that invest primarily in locally listed equities..
The single family offices, that apply for and are granted tax incentives, managed about S$90 billion of assets as at 2021, less than 2% of the S$5.4 trillion total assets managed in Singapore, he said...
