Speech by FS at AVPN Global Conference 2025 (English only) (with photos/video)
******************************************************************************
Ms Batra (Chief Executive Officer of AVPN, Ms Naina Batra), Winfried (Chief Executive Officer of the Hong Kong Jockey Club (HKJC), Mr Winfried Engelbrecht-Bresges), distinguished guests, ladies and gentlemen,
Good morning.
On behalf of the Government of the Hong Kong Special Administrative Region, I would like to extend a very warm welcome to you all.
The AVPN conference brings together some of the most influential minds in philanthropy, family offices and impact investing. I would like to express my sincere thanks to AVPN and the Hong Kong Jockey Club Charities Trust for hosting this impactful event right here in Hong Kong.
You are here because you all recognise a profound shift in the global investment narrative. You are here because you know the importance of forging partnerships and breaking silos. And you are here because Hong Kong stands as a global centre and a strategic hub for philanthropy, sustainable finance and impact investing.
Today marks Day 2 of Hong Kong Green Week, and I’m delighted that impact investing is front and centre. This is an area that Hong Kong has made significant strides in recent years. As a global financial and business centre, and the gateway connecting the Chinese Mainland and the rest of the world, we have been doing well, particularly for the financial markets over the past year or so. But we know that doing well alone is no longer enough. The imperative of our time is clear: we must do good while doing well.
The Asian opportunity
Indeed, Asia presents both an enormous need, and a tremendous opportunity, for impact investing.
To put it into perspective: Asia is home to around 60 per cent of the world’s population and is undergoing an unprecedented economic transformation. Yet, the region is also highly vulnerable to natural disasters. In 2022, for example, 140 disasters struck this continent, resulting in economic damage equivalent to the GDP (Gross Domestic Product) of Myanmar.
The UN (United Nations) has estimated that Asia requires around US$1.5 trillion in annual investments to meet the Sustainable Development Goals by 2030. Apparently, the gap between need and available private capital is vast.
Globally, the impact investing market has expanded rapidly, with AUM (assets under management) reaching US$1.6 trillion in 2024, more than double the total in 2020. The amount is projected to reach US$6 trillion by 2031. Yet, capital allocation for impact investing remains uneven. Studies show that North America accounts for 47 per cent, Europe 23 per cent, while South Asia, Southeast Asia and East Asia combined account for less than 15 per cent.
But within this gap lies hope and immense potential. Asia is home to a fast-growing generation of wealth holders. According to market analysis, the region counted over 850 000 high-net-worth individuals in 2024. Many are not just wealthy entrepreneurs or heirs to fortunes. They are impact-minded leaders who seek to define their legacy through positive social and environmental change.
With these trends and challenges, the key question is: How can we better connect opportunities with capital where it is needed most?
Hong Kong: a platform for purposeful capital
This is exactly where Hong Kong comes in.
Hong Kong has always been a super connector. A conduit for global capital and a value adder. We are built for this.
Our world-class financial and legal systems as well as top-notch professional services are underpinned by the “one country, two systems” framework. We consistently rank among the world’s top cities, from business competitiveness to economic freedom, and from innovation prowess to talent quality. These make us uniquely positioned to serve as a launch pad for purpose-driven investments.
For philanthropists and social businesses, Hong Kong offers access to global networks and best practices, institutions and talent, and a diverse pool of impact-first capital.
One example is the Impact Link, launched by the Hong Kong Academy for Wealth Legacy last year. This platform connects donors and family offices with high-impact charitable initiatives, matching capital with projects of worthy causes. Our city is also home to a vibrant network of charitable organisations, NGOs (non-governmental organisations) and international foundations. They, of course, include the HKJC Charities Trust, which may well be Hong Kong’s largest charity donor.
In fact, over the past three years, tax deductible charitable donations made by individuals and businesses stood at about HK$40 billion.
We are magnifying this impact through proactive policies, such as providing tax concessions and attracting more family offices which are forces for good. And our policy statement for developing family offices offers a clear roadmap to support the growth of family offices.
Our ESG (environmental, social and governance) and green finance ecosystem is one of the most vibrant in Asia. In 2024, Hong Kong issued over US$80 billion in sustainable debt, with green bonds making up 45 per cent of the regional total. Today, more than 200 ESG funds are authorised by the Securities and Futures Commission with a combined AUM exceeding US$140 billion.
We are also innovating. From tokenised green bonds to more thematic ESG ETFs (exchange traded funds), we are expanding the suite of financial instruments and product offerings.
Beyond finance, the Greater Bay Area, including Hong Kong, is fast rising as the world’s leading innovation cluster. Start-ups here are developing transformative solutions, ranging from AI-powered greentech to medtech and inclusive fintech, all designed to solve real-world problems and promote equitable development.
Indeed, across the Chinese Mainland and Asia, a new wave of innovation is emerging, brimming with tech start-ups and enterprises. They are offering scalable, tech-enabled solutions to address our most pressing challenges like climate change.
With these advantages, Hong Kong is keen to create a seamless ecosystem where capital can be efficiently structured, deployed and scaled for maximum sustainable impact, both within our region and across the globe.
At our core, Hong Kong believes in collaboration. We are committed to building strong, cross-sector partnerships that create value for all.
Step forward: showcasing our capability
In this connection, understanding how to mobilise impact capital effectively is crucial. I am pleased to note that tomorrow, our Financial Services Development Council will launch a special report right here at this conference.
That report will highlight real-world case studies that showcase how Hong Kong is already serving as a powerful agent in mobilising impact capital. I hope you will find inspiration and actionable insight in its pages.
Conclusion
Ladies and gentlemen, we live in uncertain times. But gatherings like this one give me tremendous hope.
You are the change makers, the architects of a more inclusive and sustainable future. And Hong Kong is your committed partner. We are ready, willing and uniquely positioned to help you channel capital for purpose, connect ambition with action, and turn the vision of doing good into a reality that changes lives.
Enjoy the rich discussions over the next few days. Let us learn from one another, forge new partnerships, and leave here ready to build a better world, together. Thank you.
Ends/Tuesday, September 9, 2025
Issued at HKT 12:18
Issued at HKT 12:18
NNNN
