have been the competitors for Asia’s top financial hu
b for a very long time. Despite the fact that it may be easy to presume that both cities are constantly shifting between first and second place based on the local economic evolution, their unique characteristics, as well as the changes in their financial markets, are not to be overlooked when analyzing which is the top financial hub in Asia. Hong Kong company formation
is straightforward and accessible for many foreign investors, but is Singapore more suitable for the growth of capital markets? We take a look at the advantages in both cities.
is well-known for being a wealth management hub and, like Hong Kong, it has a very convenient location in Southeast Asia. The city managed to hold the title of top global IPO market for two years In a row. Experts believe that Singapore has a real advantage for being able to finance regional growth and for having established itself as both a regional and international wealth management hub.
Hong Kong’s advantages
Hong Kong’s proximity to China is what makes it very attractive for many Chinese investors who want to list their companies on the Hong Kong Stock Exchange
. The number of Chinese companies listed on the Hong Kong exchange is substantially larger compared to those listed in Singapore. The Hong Kong capital market is very strong. Experts believe that Hong Kong should focus more on building a strong financial technology market.
Moreover, another advantage is that the Hong Kong company formation process is straightforward and foreign investors can choose between several business options. Directors and shareholders in Hong Kong have the ability to appoint their nominees.
As far as the business and trade relation with China
is concerned, Hong Kong has signed a double tax treaty to ensure that the two jurisdictions apply only a single point of taxation on profits.