Singapore Family Offices promote charitable donations
Charities from Singapore’s foundations and family offices fund education, healthcare and poverty projects in the region and beyond.
Roslan Rahman | AFP | Getty Images
The more Bentley and Porsche presence on the roads is just one of the number of wealthy individuals and their private investment companies who have come to Singapore from around the world.
Schools, charities and social businesses are also thriving, supported by generous donations from these wealthy newcomers.
Their existence can be seen in many ways. Named after the founder of Indonesia’s Bayan Resource billionaire, the Lottuck Kwon Foundation tops the list of Singapore-based donors in 2023. According to Social Impact Consultancy, causes of education and healthcare Solitic.
The majority of the funds went to Lee Quang Yi Public Policy School, a graduate institution that is part of the National University of Singapore.
In addition to widespread impact initiatives such as education, healthcare and poverty alleviation, donors support special causes such as marine conservation.
Dario’s charity supported last year by the family office of hedge fund Titan Raydario. Sponsored the 3-week program Learn about marine science and maritime business for nearly 400 young people and educators in Singapore.
Family Office, a private company established by wealthy individuals and families to manage their finances, plays an important role in this charity wave. Headquartered in Westport, Connecticut, Dario Family Office has announced plans to open a satellite office in Singapore in 2020 to oversee investment and philanthropy in Asia.
Dario’s charity is also part of the Charitable Asian Union’s Blue Oceans initiative, bringing together organizations to support Asian ocean and ocean protection. The alliance is supported by Temasek Trust, the philanthropic arm of Singapore investor Temasek Holdings.
Other members of the Philanthropy Asia Alliance include the Jollibee Group Foundation and the Tanoto Foundation.
Stacy Choong, a partner at the international law firm WithersWorldwide, said that increased philanthropy, increased wealth concentration in Singapore, favorable regulations and tax incentives, and net Worth to give back to society It is caused by several factors, such as individual desires. .
The city-state’s reputation for superior governance is also a draw.
“People want to ensure that their trusts and foundations are now responsible and effectively managed when they are no longer around,” Chong said.
Singapore as a charitable hub
According to Singapore’s monetary authorities, the city’s state currently holds more than 2,000 detached house offices from 200 in 2019. The government aims to build on this momentum by encouraging more family offices to local and global philanthropy. Singapore.
Already, several Singapore-based foundations support initiatives that go far beyond Asia. The Chandler Institute of Governance provides customized training for more than 500 government leaders each year across Africa and Asia, while the ISHK Tolaram Foundation activities include skills training and prosthetic limbs in Nigeria. Provided includes.
“What has changed over the past few years is that the Singapore government is driving to become a hub for charity in Asia,” said a philosopher and avid artist who moved from Hong Kong to Singapore in 2000. said Anthonia Hui. , a popular local theatre group counts Hui and her husband as their biggest supporters.
Hui, who has a background in asset management, said that financial advisors do not automatically include charity as part of their conversations with past clients, but now they do so because of government incentives. It’s. These include a 100% tax credit According to Singapore’s financial authorities, funds donated overseas if certain conditions are met.
Measurement problems
Assessing the true size of Singapore’s charity sector is challenging due to the many ways donors can provide.
Solistically, the total amount of privately funded charities registered in Singapore reached $431 million in 2023, nearly double the total in 2022.
The charity foundation, where the principals accumulate a large portion of their wealth outside of Singapore, accounted for three of the top 10 donors. The Rotak Kwon Foundation, Tanaka Foundation, and Mor Family Foundation were founded by the family of late furniture giants who built their fortunes in the United States.
The 117 organizations excluded by Solitic Monitors, according to their website, exclude charities that are primarily funded by public donations, government sources, or sources of political or religious affiliation. Masu. That data does not include Singaporean charities or family offices that allocate some of their resources to charities not registered as grants or privately managed funds.
Choong of WithersWorldwide said that Singapore’s charitable ecosystem is benefiting from the network effects. In addition to the numerous donors based in city-states, there are also organizations such as the Singapore Community Foundation and the Majity Trust that helps align potential donors with reviewed initiatives.
Singapore has also emerged as a philanthropic powerhouse as it has solidified its position as a global wealth hub.