High net-worth families, individuals and rich business families in mainland China see Singapore as their number one choice for investment and permanent residency.
Singapore has only recently begun going back to normalcy in terms of the pre-pandemic days in business related aspects and general way of doing things. The reason for these families, individuals and businesses to switch to Singapore for investment and permanent residency is to avoid the possibility of crackdowns( political and covid related).
They are also newly worried after seeing how market players like Alibaba were recently treated, due to growing concerns over communist ideas like common prosperity are outlined by the political officials. One of the causes for the government agencies to go after business empires like Alibaba and other entrepreneurs has been this.
The Singaporean take has been that they recently increased the minimum investment requirement for family offices to enter qualification on tax exemption on investment returns. Earlier it was $3.55 million, and now it has been doubled to $7.1 million, or 10% of their assets (whichever one is lower). The reasoning for this to happen is to limit the count of Chinese giants and billionaires to use Singapore as their safety net.
Mano Chugani, a trusted expert in wealth management said that Singapore’s investment structure is very attractive to foreigners.