Singapore’s family office evolution in a globalising wealth landscape

Singapore has in recent years attracted increasing use by wealthy families as a base to establish structures across multiple jurisdictions. Stephen Davies, founder and CEO of Javelin Wealth Management, said he has observed these developments during several decades working in Asian financial markets.

After leaving ABN AMRO, where he ran institutional equity broking operations in Singapore and the United Kingdom, Davies established Javelin Wealth Management in 2003 following his own experience as a private client. He said he “went through the whole range of different advisors, ranging from independent financial advisors and private banks, and generally speaking, was not terribly impressed with the quality of service and advice.”

That experience, he said, led him to build a firm centred on advice rather than product distribution. “If you can’t find somebody to do it for you, you need to do it yourself,” he said, adding the firm has now operated in Singapore for more than two decades.

Many clients, he said, have sufficient financial knowledge but not the time to manage portfolios: “There is no doubting that they could do this for themselves but they don’t have the time, and as a result they’re looking for somebody that they can trust.”

In his description, the development of Singapore’s wealth environment forms part of broader changes in how families organise assets across jurisdictions rather than a single-period shift.

Singapore’s position as a wealth hub

Singapore’s appeal, Davies said, relates to institutional foundations, describing the country as having “a well developed, well practised and well functioning independent legal system based on common law, which is widely accepted on a global basis, particularly for long term wealth structures such as trusts and foundations.”

Such continuity matters particularly for multi-generational structures because trusts and succession arrangements depend on enforceability over time. The framework allows families to “coordinate, manage and customise family wealth over many generations.”

Family offices, focusing on wealth maintenance and maximisation,  he noted, historically developed earlier in the United States and Europe, while in Asia the concentration was more on wealth creation. The adoption of longer-term approaches to wealth management and legacy planning has therefore been a more recent phenomenon. Singapore responded to this developing need by putting in place new legislation supporting such longer-term asset management. It “capitalised on that change of demand  by creating proper structures that are incredibly transparent [and] well regulated.”

Having long operated as a regional financial centre, the city broadened its role as capital became more international, and interest now comes not only from Southeast Asia but also South Asia, the Middle East and Europe.

Although some jurisdictions compete by lowering regulatory requirements, he said Singapore’s attraction differs: “The Singapore background is one which has always been very transparent,” with tax treatment contributing alongside legal certainty.

Regulation and operational discipline

Regulatory tightening, Davies said, forms part of maintaining credibility, noting Singapore “has been well regarded in being able to achieve that optimal balance between regulation and practicality.”

Operationally, this appears mainly in onboarding. “The onboarding process of new clients is a little bit more time consuming and labour intensive,” he said, adding technology including artificial intelligence (AI) helps manage administration.

The regulatory environment also signals the type of capital the jurisdiction intends to attract, as Singapore “is not looking to attract capital which indulges in regulatory arbitrage,trying to find the lowest bar that you have to meet.”

For families seeking continuity, stricter oversight can support stability, and for those “looking for stability, transparency and a coherent structure, Singapore is always going to attract that type of quality capital.”

Advisory firms therefore operate consistently while tailoring structures to different family objectives, since similar wealth levels do not imply identical requirements.

Generational transition and the purpose of wealth

Engagement with next-generation family members has increased, Davies said, with preparation occurring before responsibility transfers. Successors should have “the tools, expertise and experiences that they will need in order to make the decisions that are good for them and their families in future years.”

Advisory roles extend beyond portfolio construction, often acting as a sounding board “even if it doesn’t necessarily relate directly to a specific portfolio.”

Discussions frequently begin with defining objectives, centring on “what the money is for” and whether families intend to establish trusts, foundations or legacy arrangements.

There is no single model, and advisors assemble specialists depending on requirements: “We then start putting together the ‘A team’ of outside advisors delivering that coherent single objective for that particular family.”

The process remains ongoing dialogue. “Ultimately, it comes down to really starting off with those fundamental questions,” he said.

Global diversification and investment philosophy

Wealth management should be distinguished from domestic market exposure, Davies said: “You have to dissociate Singapore as a global wealth management centre from Singapore as a market for domestic investments.”

Portfolios therefore include multiple asset classes and jurisdictions, with clients investing “in multiple different products in multiple different countries and jurisdictions.”

Having begun his career before the 1987 market crash, he regards volatility as normal and markets as not consistently predictable in the short term.

His core principle is “diversification, diversification and diversification.”

During a market decline following tariff announcements, the firm advised clients not to act because direction was uncertain, after which markets later recovered, supporting long-term planning rather than tactical reaction.

Predictions of imminent US dollar decline recur frequently, he added, while the United States remains “the fastest growing G7 economy, the biggest single pool of capital worldwide.”

Cross-border structuring and global families

Singapore’s geographic position allows interaction with Europe, Asia and the United States within a single day, supporting coordination for internationally dispersed families.

Global trading infrastructure and financial institutions operating in Singapore facilitate cross-border investment activity and administration.

Tax regimes remain complex, with the United States taxing global income, the United Kingdom applying capital gains tax and some European countries applying wealth taxes.

Where family members live in different jurisdictions structures may require modification, and advisors may “carve out something specifically for that individual” to accommodate local obligations without affecting the broader arrangement.

Such arrangements typically require coordination among legal, tax and investment specialists working together with the family.

The role of independent advisors

Trust remains central to boutique advisory relationships. Referring to the London Stock Exchange motto “My word is my bond,” Davies said relationships remain fundamental.

Boutique firms differ from large institutions: large organisations provide scale while smaller advisors offer direct engagement. “We know all of our clients individually,we meet and communicate with them very frequently.”

The firm’s approach is not designed around expansion. “It’s not about scale. It’s about one-on-one relationships.”

Returns remain linked to planning rather than short-term trading decisions, as “returns are part of that wealth plan. Predictable outcomes is our job.”

Advisory processes therefore adapt to each client rather than being applied uniformly.

Consistency in an uncertain future

Consistency of approach distinguishes family offices more than structural complexity, Davies said, and firms should continue “doing what’s best for the client” rather than focusing only on efficiency.

Advisory work remains centred on people and should not “lose sight of making sure that the clients are being properly looked after.”

Uncertainty and technological change will continue, with AI producing both positive and negative outcomes similar to earlier technological shifts.

Planning must therefore recognise unpredictability: “The most important thing is to work on the basis that surprise is inevitable.”

Within that context, diversification and structured planning remain tools families use to preserve wealth over time.