Indian Family Offices Eye Singapore for Global Investments

Indian family offices are increasingly establishing or exploring entities in Singapore to facilitate overseas investments, particularly in technologically advanced sectors. The restrictive nature of India's Liberalised Remittance Scheme (LRS), capped at $250,000 per financial year, is a primary driver for this shift, as it proves insufficient for the large capital deployments characteristic of family offices.

These offices require structures that enable significant global capital deployment. Singapore offers a robust ecosystem, including access to investment products not readily available in India, such as hedge funds. Furthermore, the city-state's regulatory stability and potential tax incentives make it an attractive jurisdiction for managing international wealth.

As of 2024, mid- and large-sized Indian family offices manage approximately ₹70,000 crore ($7.33 billion) in assets, with projections indicating a 14% compound annual growth rate over the next three years. Their investment strategies have evolved to include startups, infrastructure, private credit, alternatives, and global markets, necessitating more complex offshore structures.

Singapore has built a substantial family office ecosystem, with the number of single-family offices crossing 2,000 by the end of 2024, a significant increase from the previous year. This growth underscores Singapore's position as a gateway for regional and global investments, supported by a professional network in wealth management and succession planning.