Key Takeaways
- • Hong Kong reported that around 160 family offices are preparing to establish or expand operations in the city, and Deloitte counted 3,384 single-family offices as of end-2025, an increase of 681 within two years.
- • Singapore's DBS, OCBC and UOB posted combined non-interest income of approximately $3.8 billion in Q1 2026, driven by wealth management inflows, with UOB citing liquidity flows from Middle Eastern clients leaving Dubai, which it described as reclassified as a high-risk region.
- • Swiss deposits from Dubai private and non-bank clients rose roughly 40% over the past two months, according to Reuters, with Zug seeing surging inquiries for ultra-luxury homes.
- • The Financial Times reported that one in eight British nationals living in Dubai had departed for London, a shift it termed "Regrexit," with many wealthy families pursuing dual-track strategies rather than permanent exits.
- • Allocators are reprioritizing jurisdiction choices from tax minimization toward political stability, legal certainty and capital accessibility following the Iran war.
Summary
Family office and ultra-high-net-worth capital is reallocating away from Dubai toward Hong Kong, Singapore, Switzerland and London as the Iran war erodes the emirate's reputation as a geopolitical safe haven, according to the source article. The report frames the shift as a change in decision criteria: wealth holders are increasingly weighing political stability, legal certainty, asset protection and capital accessibility ahead of tax rates and investment returns.
Hong Kong is aggressively marketing its family office regime. According to CNBC, Gavin Chiu, a partner at Charles Russell Speechlys, said he is speaking "almost daily" with families considering Hong Kong family offices, including some that had previously left the city. The Hong Kong government has disclosed that around 160 family offices are preparing to establish or expand operations there. Per Deloitte, the city hosted 3,384 single-family offices at the end of 2025. The city imposes no capital gains, value-added, estate, inheritance or dividend/interest withholding taxes, and it recently extended incentives to assets including precious metals, digital assets and private credit. Qualifying family offices that do not conduct regulated activities under the Securities and Futures Ordinance require no separate license. According to LSEG, Hong Kong ranked first globally in IPO fundraising last year with more than $37 billion, and attracted $13.3 billion in the first quarter of 2026.
Singapore is also attracting relocation demand. Per the article, a Singapore wealth lawyer said a significant portion of Dubai clients with average assets above $50 million requested emergency relocations within a week, and one asset manager reported asset-transfer inquiries from 10 to 20 family offices. Combined non-interest income at DBS, OCBC and UOB reached about $3.8 billion in the first quarter, which the article links to wealth-management inflows. Singapore's 13O and 13U fund incentive schemes, rule of law and banking and legal networks are cited as core advantages, and family office approvals are reportedly processed within three months.
In Switzerland, inquiries from Dubai-based financiers and UHNW individuals have surged, and resumes from private bankers formerly at major U.S. and British banks have increased. Reuters reported roughly a 40% rise in Swiss deposits from Dubai private and non-bank clients over two months. Zug is emerging as a wealth hub, supported by tax advantages, low crime, international schools and legal and accounting networks, with local property sources reporting rising demand for ultra-luxury homes from Middle Eastern buyers. Switzerland's private banking sector, including UBS, Julius Baer, Pictet and Lombard Odier, is positioned to benefit.
The Financial Times described a partial return to London, dubbed "Regrexit," with one in eight British nationals in Dubai as of early last month having departed for London, according to the FT. Analysts describe these flows as diversified evacuation strategies rather than permanent relocations, and some families are maintaining Dubai bases alongside London residences and secondary structures. Observers suggest some capital could return to the Gulf if Dubai's safe-haven image recovers after the conflict ends.
Hong Kong is aggressively marketing its family office regime. According to CNBC, Gavin Chiu, a partner at Charles Russell Speechlys, said he is speaking "almost daily" with families considering Hong Kong family offices, including some that had previously left the city. The Hong Kong government has disclosed that around 160 family offices are preparing to establish or expand operations there. Per Deloitte, the city hosted 3,384 single-family offices at the end of 2025. The city imposes no capital gains, value-added, estate, inheritance or dividend/interest withholding taxes, and it recently extended incentives to assets including precious metals, digital assets and private credit. Qualifying family offices that do not conduct regulated activities under the Securities and Futures Ordinance require no separate license. According to LSEG, Hong Kong ranked first globally in IPO fundraising last year with more than $37 billion, and attracted $13.3 billion in the first quarter of 2026.
Singapore is also attracting relocation demand. Per the article, a Singapore wealth lawyer said a significant portion of Dubai clients with average assets above $50 million requested emergency relocations within a week, and one asset manager reported asset-transfer inquiries from 10 to 20 family offices. Combined non-interest income at DBS, OCBC and UOB reached about $3.8 billion in the first quarter, which the article links to wealth-management inflows. Singapore's 13O and 13U fund incentive schemes, rule of law and banking and legal networks are cited as core advantages, and family office approvals are reportedly processed within three months.
In Switzerland, inquiries from Dubai-based financiers and UHNW individuals have surged, and resumes from private bankers formerly at major U.S. and British banks have increased. Reuters reported roughly a 40% rise in Swiss deposits from Dubai private and non-bank clients over two months. Zug is emerging as a wealth hub, supported by tax advantages, low crime, international schools and legal and accounting networks, with local property sources reporting rising demand for ultra-luxury homes from Middle Eastern buyers. Switzerland's private banking sector, including UBS, Julius Baer, Pictet and Lombard Odier, is positioned to benefit.
The Financial Times described a partial return to London, dubbed "Regrexit," with one in eight British nationals in Dubai as of early last month having departed for London, according to the FT. Analysts describe these flows as diversified evacuation strategies rather than permanent relocations, and some families are maintaining Dubai bases alongside London residences and secondary structures. Observers suggest some capital could return to the Gulf if Dubai's safe-haven image recovers after the conflict ends.
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