Hong Kong’s low-tax lure is getting a reality check

Hong Kong’s competitiveness as a financial center is about to be tested. The low-tax haven has two opposing forces transforming its $5.4 trillion asset management industry, which overtook Switzerland as the world’s largest cross-border wealth hub last year. The city is widely expected to approve a landmark tax reform designed to attract overseas asset managers. Under the proposal, effective taxes on qualified carried interest and performance fees would be wiped to zero. It’s super attractive considering that residents face a salaries tax of up to 15%. The concession will apply to a wide range of funds, from private equity to […]