Goldman Sachs upbeat on wealth outlook amid market worries over China’s tighter scrutiny

Robust fee growth tipped for Hong Kong, Singapore banks as mainland Chinese clients’ offshore allocations driven by diversification: report

“We continue to believe offshore wealth allocation by Chinese clients is driven primarily by diversification benefits and access to a broader investment universe, rather than tax considerations alone,” wrote Melissa Kuang and Wayne Wang, Singapore-based analysts at the bank, in a report on Monday.

Concerns over the sector’s outlook have intensified following developments involving offshore trusts, overseas insurance income and other cross-border wealth activities in mainland China.

Goldman’s analysts viewed the measures largely as clarification and enforcement of existing rules rather than new restrictions.