Four in five Hong Kong entrepreneurs hold multiple residencies: report

HSBC said Hong Kong ranked second only to New York in terms of ultra-high-net-worth residents.

Hong Kong leads in multi-residency amongst global wealth hubs, with 79% of surveyed entrepreneurs holding multiple residencies​, according to HSBC.

In its report, HSBC said Hong Kong ranked second only to New York in terms of ultra-high-net-worth (UHNW) residents, with 12,545 individuals calling the city home​.

It also noted almost half or 49% of Hong Kong entrepreneurs hold a second residency in mainland China, whilst 37% of mainland Chinese entrepreneurs maintain a residency in Hong Kong​.

Meanwhile, 76% of Hong Kong entrepreneurs are considering adding another residency—the highest percentage amongst the ten markets surveyed​.

HSBC noted Hong Kong’s role as a gateway to China is a major advantage for businesses, citing the Closer Economic Partnership Arrangement granting Hong Kong-based firms a first-mover advantage in accessing China’s economy and financial markets​.

It also said the Cross-boundary Wealth Management Connect Scheme allows mutual market access between Hong Kong, Macau, and the Greater Bay Area of Guangdong. With 1.41 billion consumers in China, Hong Kong is a key entry point for expansion into the mainland​.

On the other hand, 17% of UHNW individuals worldwide are considering conducting business in Hong Kong or mainland China​.

Whilst Hong Kong’s integration with China presents significant advantages, investors must navigate an evolving regulatory landscape and stay informed on policy changes and financial market reforms, the firm said.