Singapore-based digital wealth platform Endowus has expanded to Hong Kong, its first overseas expansion market.
Endowus is Hong Kong’s first fee-only, non-commission-based digital wealth management platform. This allows the firm to remain independent and conflict-free when serving its clients’ best interest.
“All wealth management firms including Endowus should uphold its fiduciary duty of putting clients’ best interests before their own. The industry practice of paying trailer fees to distributors, like banks and brokers, goes against the ethos of offering products based on the needs of clients and improving long term returns for investors,” says Endowus co-founder, chairman and CIO Samuel Rhee.
By removing these often hidden commissions, Endowus effectively removes any possible conflict of interest and places its focus solely on serving our clients’ wealth needs, says Rhee.
“Since 2019, Endowus has returned almost US$5 million ($6.69 million) in trailer fees paid as cashback to our clients and over US$15 million in total savings, and we will be championing the same practice in Hong Kong,” he adds.
Investors in Hong Kong can build single and multi-fund portfolios via the Endowus Fund Smart solution, which offers over 140 best-in-class funds across asset classes such as money market, fixed income, equity, multi-asset and commodities.
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Meanwhile, Endowus Private Wealth clients can gain access to alternative strategies such as hedge funds, private equity, private credit and private real estate.
Despite being a key international finance hub, it is not easy for individuals in Hong Kong to gain access to professional and independent advice on personal finance and wealth management, says Endowus managing director and head of Hong Kong Steffanie Yuen.
“According to the latest Endowus Wealth Insights Report, most investors in Hong Kong rely on friends and family as their key source for financial or investment advice. And across all age groups, the most important reason behind why investors feel the pressure to invest more in the coming year, is the need to build a more robust cushion in preparation for retirement.
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“I look forward to leveraging the power of technology to provide Hong Kong investors with a next-generation wealth management experience that is digitally seamless, conflict-free and transparent,” says Yuen.
Founded in 2017, Endowus is backed by EDBI, UBS, Samsung Ventures, Singtel Innov8 and Softbank Ventures Asia, among others. With entities licensed by the Monetary Authority of Singapore and Securities and Futures Commission of Hong Kong, Endowus claims to be one of the largest independent wealth managers in Asia with assets over US$4 billion.
