Launch Your Fund in Singapore: The Ultimate Gateway to Asia’s Wealth Hub

Launch Your Fund in Singapore: The Ultimate Gateway to Asia’s Wealth Hub

Singapore is not only a leading financial hub with robust regulatory governance and tax efficiency — it is also home to a deep and diverse investor base.

From globally renowned sovereign wealth funds such as GIC and Temasek, to an expanding network of family offices, endowment funds, private banks, and ultra-high-net-worth individuals (UHNWIs), the city-state has become a strategic gathering point for global capital allocators.

This abundance of institutional and private investors creates a fertile environment for fund managers looking to raise capital or co-invest in alternative strategies. With over 1,100 single-family offices already established and a continued influx of capital seeking professional deployment, Singapore offers fund managers not just a platform — but an active, engaged ecosystem to thrive in.

Whether you are establishing a hedge fund, private equity vehicle, or an ESG-focused portfolio, this guide outlines the key steps to leverage Singapore’s dynamic financial landscape.

Step 1: Select the Optimal Fund Structure

Singapore’s flexible regulatory environment allows for tailored fund structures to suit diverse investment strategies:

• Variable Capital Company (VCC): Ideal for private equity, venture capital, and crypto funds, the VCC offers cost efficiency, umbrella fund capabilities, and confidentiality for investor details.

• Limited Partnership (LP): A preferred choice for private equity, providing pass-through taxation and centralized control.

Here are two commonly used structures for close-ended fund and open-ended fund which we have experience:

Expert Insight: Navigating legal and regulatory nuances requires specialized knowledge. Engaging a licensed/Registered Filing Agent with deep expertise in fund structuring along with fund administration capabilities can help determine the most efficient setup while ensuring compliance.

Step 2: Streamline Regulatory Compliance

To minimize regulatory hurdles:

• Focus on accredited or institutional investors to stay away retail fund regulations under the Monetary Authority of Singapore (MAS).

• Leverage ACS’s licensing expertise, with a team of qualified compliance experts and chartered accountants ensuring full MAS compliance.

Step 3: Build Your Professional Support Team

Outsourcing key functions ensures operational efficiency and compliance:

• Fund Setup & Administration: Incorporation, accounting, and secretarial services tailored for alternative investments.

• Tax & Payroll: Optimizing Singapore’s 0% capital gains tax regime and leveraging double taxation treaties.

• Governance & Compliance: Ensuring adherence to Singapore’s regulatory standards.

• Legal & Audit: Work with fund lawyers & auditors recommended your fund administrator so that they work harmoniously.

Operational Efficiency: Licensed corporate services providers usually offer integrated solutions—from entity formation to ongoing compliance—reducing administrative burdens and accelerating launch timelines. You only have to identify a fund lawyer, an audit or a regulated fund manager to launch your funds.

Step 4: Accelerate Your Fund Launch

A well-managed setup process ensures a faster time-to-market:

1. ACRA Registration: Professional corporate secretaries can expedite approvals, sometimes in as little as 3-14 days.

2. Bank Account Opening: Properly prepared KYC packages and knowledge of banking requirements streamline the process.

3. Tax Optimization: Tax advisory ensures eligibility for tax incentives like Section 13O/13U exemptions.

Why It Matters: Without professional guidance, fund launches can face unnecessary delays. Partnering with a trusted service provider helps avoid common pitfalls.

Why Singapore? A Strategic Advantage for Fund Managers

• 0% capital gains tax and 80+ double taxation treaties enhance returns.

• $4 trillion in assets under management provide deep liquidity.

• Pro-business policies support fund growth and innovation.

The Value of Professional Support

Establishing a fund involves complex legal, regulatory, and operational requirements. Adept Corporate Services ("ACS") is a leading corporate service provider, specializing in entity formation, corporate secretarial compliance, assistance in bank account opening (including offshore entities), corporate accounting, fund administration, tax compliance, MAS licensing & Compliance outsourcing, work visa applications, and payroll services for companies, funds, and trusts.

With extensive experience in Singapore’s financial landscape, ACS can offer end-to-end solutions (fund formation, bank account opening, to licensing or search for a reliable platform/licensed fund manager) while allowing fund managers to focus on performance while ensuring seamless operations.

"A well-structured fund launch begins with the right partners—those who understand both the regulatory framework and the strategic needs of fund managers."

FAQ- What is the sovereign wealth fund?

A Sovereign Wealth Fund (SWF) is a state-owned investment fund that is financed by a country’s surplus reserves. These reserves can originate from:

• Excess foreign exchange reserves

• Revenues from natural resources (e.g., oil, gas)

  Examples:

  • GIC (Singapore)

  • Temasek Holdings (Singapore)

  • Norway’s Government Pension Fund Global

  • China Investment Corporation

FAQ- What is the SWF strategy?

SWF strategies vary by mandate, but most pursue:

1. Long-Term Capital Growth

• Diversified portfolios in global equities, bonds, real estate, private equity, infrastructure

• High tolerance for illiquidity, allowing investment in alternatives

2. Stabilization Funds

• Focus on liquidity and low volatility

• Invest in short-term government bonds or conservative assets

3. Strategic Development

• Invest in domestic or regional industries to promote economic growth

• Support national champions or critical infrastructure

4. Intergenerational Savings

• Preserve natural resource wealth for future generations

• Adopt prudent, globally diversified, and sustainable investment policies

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