Is the "New Hong Kong Capital Investment Entrant Scheme" the Right Residency by Investment Option for You?

The HKSAR government recently announced a revamped visa program, which also serves as a pathway to permanent residency in the city. The Hong Kong government is committed to attracting new capital and enriching the city's talent pool. This scheme provides investors an excellent opportunity to establish residency in the city, benefit from the straight-forward and low tax regime, and make investments that are far less restrictive and more affordable compared to equivalent schemes in other jurisdictions, such as Singapore.

High and ultra-high net worth individuals need only invest a total of HKD$30 million (the "Investment") into the local market, following the list of Permissible Investment Assets set out in the table below. Of this Investment, a mandatory amount of HKD$3 million into the CIES Investment Portfolio will be subject to lock-up, managed by the Hong Kong Investment Corporation and invested into the technology and innovation sector, in order to benefit the long-term development of Hong Kong.

The Applicants and their dependents will be granted permission to stay in Hong Kong for 2 years after meeting certain requirements (including finalising the investment within 180 days of first arrival to the city). Subsequent extensions of stay shall be made in increments of up to 3 years. After 7 years of "continuous residency", the Applicant may apply for Permanent Residency in Hong Kong.

As a full-service firm, we assist Applicants at every stage of the process, from filling the initial application form to handling extensions of stay applications, Permanent Residency applications, to managing the investment amount. We do this through our long-standing relationship with our partner- Asia Pacific Investment Advisors ("APIA"), a wealth-management and investment advisory firm licensed by the Hong Kong Securities and Futures Commission and the Hong Kong Investment Authority. We are positioned to assist Applicants as one of Hong Kong's only comprehensive, full-service firm in the Application for an individual under the New Capital Investment Entrant Scheme.

Please do not hesitate to contact us for more information regarding the Scheme rules and the Permissible Investment asset classes. We would be pleased to answer your questions and we stand ready to assist you in becoming a Resident by Investment in Hong Kong.

Permissible Financial Assets

Equities	Share of companies listed on the HK Stock Exchange and traded in HKD or RMB
Debt Securities	-Debt securities listed on the HK Stock Exchange and traded in HKD or RMB (including debt instruments issued in HK by the Ministry of Finance of the PRC) -Debt securities denominated in HKD or RMB, including fixed or floating rate instruments and convertible bonds issued or fully guaranteed by either: (a) the Government, the Exchange Fund, the HK Mortgage Corporation, the MTR Corporation Ltd, HK Airport Authority, and other corporations, agencies or bodies wholly or partly owned by the Government as may be specified from time to time by the Government; or (b) listed companies as referred to under the above ‘Equities’ category
Certificates of Deposits	Certificates of deposits denominated in HKD or RMB issued by authorised institutions with a remaining term to maturity of not less than 12 months at the time of purchase, subject to a cap of 10% of the minimum investment threshold (i.e. HK$30 million)
Subordinated Debt	Subordinated debt denominated in HKD or RMB issued by authorised institutions in compliance with Schedules 4B and 4c IF THE Banking (Capital) Rules (Cap. 155L of the Laws of Hong Kong);
Eligible Collective Investment Schemes	-Securities and Futures Commission (SFC) -authorised funds managed by Type 9 (asset management) entities -SFC authorised real estate investment trusts (REITs) managed by Type 9 licensed entities -SFC authorised Investment-Linked Assurance Scheme issued by permitted insurers -Registered open-ended fund companies (OFCs) managed by Type 9 licensed entities
Limited Partnership Funds	Ownership interest in registered LPFs
Non-Residential Real Estate	Commercial and/or industrial (including pre-completion properties and excluding land) real estate in Hong Kong subject to a cap of HK$10million
Residential Real Estate	For residential real estate (including pre-completion and multi-purpose real estate real estate partly for residential purposes) in Hong Kong, the investment must be made in one single property with transaction price of HK$50million or above.