Publication Type

Journal Article

Version

acceptedVersion

Publication Date

1-2011

Abstract

In the past ten years, Singapore has emerged as one of the most important wealth management centres in Asia.1 This development can be attributed to a number of factors. First, favourable laws were enacted to encourage high net worth individuals to ‘park’ their money in Singapore. These include changes to laws governing trust companies, confidentiality, taxation rules with regard to foreign earned income, abolition of estate duty and amendments to the Trustees Act.2 Secondly, both the private and public sectors embarked on an aggressive marketing campaign to promote Singapore as a wealth management centre.3 Thirdly, Singapore has one of the most liberal immigration policies in the world with regard to high net worth individuals. Until recently under the Financial Investors Scheme, a foreigner is able to obtain Permanent Resident status in Singapore if he or she maintains S$5 million of assets to be booked and managed by a financial institution regulated by the Monetary Authority of Singapore for a period of five years. This scheme enables the foreign person to obtain Permanent Resident status for his or her immediate family members as well. The amount required under this scheme has currently been changed to S$10 million.4 The Financial Investors Scheme does not mandate any language, education or age requirements. It would seem that these laws and policies as well as the marketing efforts have paid off handsomely. The amount of wealth that has been flowing into Singapore has been nothing short of startling. Between the years 2000 to 2006, Singapore's fund management industry grew from S$280 billion to more than S$600 billion.5 In fact, *67 the wealth management industry increased by a staggering 24 per cent in 2005--2006 alone.

Keywords

trust, law, Singapore

Discipline

Asian Studies | Estates and Trusts

Publication

Trust Law International

Volume

25

Issue

2

First Page

66

Last Page

86

ISSN

0962-2624

Publisher

Reed Elsevier (UK) Ltd

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