Hong Kong recorded HK$705 billion in net fund inflowslast year, lifting its total assets under management (AUM) to HK$35.1 trillion,according to new data from the city’s financial regulator. The Securities and Futures Commission (SFC) said inits 2024 survey that a surge in both local and international investments helpedthe city strengthen its role as a global center for asset and wealthmanagement.Private Wealth Segment Records 15% GrowthThe private banking and wealth management segmentstood out with a 15% rise in AUM to HK$10.4 trillion. The SFC attributed thegrowth to rising demand for tailored investment solutions and a broad reboundin global financial markets.Hong Kong-domiciled funds also reported strongmomentum. Their net asset value rose 22% during 2024 to HK$1.64 trillion,followed by another 21% jump to HK$1.99 trillion as of May 2025. Net inflowsinto these funds totaled HK$163 billion in 2024 and HK$237 billion in the firstfive months of this year."Hong Kong is gaining more clout than ever as aleading international hub for asset and wealth management, propelled by strongfund inflows, financial innovation and a growing talent pool," said ChristinaChoi, the SFC's Executive Director of Investment Products. "The SFC is committed to supporting Hong Kong’scontinued advancement as a full-service international financial center and aleading offshore renminbi hub through fixed income and currency marketdevelopments."Asset managers in Hong Kong allocated 59% of assetsoutside the city and Mainland China, reflecting a continued shift toward globalportfolios. The report noted a five-year trend of increased exposure tonon-equity assets, which now make up 59% of investment allocations, up from 46%five years earlier.Hong Kong Matches Switzerland in Cross-Border WealthGrowthThe findings align with Boston Consulting Group’sGlobal Wealth Report, ranking Hong Kong and Switzerland as the toptwo cross-border wealth hubs in 2024. Hong Kong recorded the most significant increase incross-border wealth globally, adding US$231 billion and outpacing the globalaverage with a 9.6% year-on-year rise.The asset management and fund advisory segment posteda 571% increase in net inflows to HK$321 billion in 2024. The number ofopen-ended fund companies (OFCs) registered in Hong Kong also jumped 93%year-on-year, as more asset managers opted for the local corporate fundstructure supported by government subsidies.Mainland-related firms continued to expand their HongKong presence. Their combined AUM rose 15% to HK$3.1 trillion, with net inflowsup 68%. The segment outperformed the broader industry for the fifth year in arow.The number of firms licensed to carry out assetmanagement in Hong Kong rose 4% to 2,212, pointing to sustained interest in thecity as a regional investment platform.This article was written by Jared Kirui at www.financemagnates.com.