Net inflows double to S$290 billion as alternatives surge, reinforcing Singapore's gateway role.

Record AUM and Growth Drivers

Singapore's asset management industry recorded total assets under management of S$6.07 trillion as at 31 December 2024, a 12.2% increase from S$5.41 trillion in 2023, according to the Monetary Authority of Singapore's Singapore Asset Management Survey 2024. This marks the first time the industry has crossed the S$6 trillion threshold, with growth outpacing the global average for the year.

The expansion was driven by two concurrent forces: strong market performance across global equities and alternatives, and a sharp recovery in fundraising. Net inflows rose 50% year-on-year to S$290 billion, rebounding from a subdued fundraising environment in 2023 when investors remained cautious amid macroeconomic uncertainty. Discretionary AUM continued to account for more than half of total AUM, reflecting sustained confidence in Singapore-based fund management capabilities.

Traditional AUM increased 16% during the year, while alternative AUM grew 14%. The corporate debt market also saw strong momentum, with total issuance increasing more than 30% to exceed S$300 billion.

AUM (S$ billion) (S$ billion)Source: Orionmano Industries

Global Sourcing and Investment Footprint

Singapore's role as a control centre for cross-border capital is underscored by the geographic composition of its AUM. 77% of total AUM was sourced from outside Singapore, with the largest share—33%—originating from Asia-Pacific excluding Singapore. Domestic sources accounted for 23%, while North America contributed 19%, Europe 12%, and the rest of the world 13%.

On the investment side, 88% of total AUM was deployed globally. The Asia-Pacific region excluding Singapore received 40% of total investments, reflecting Singapore's function as a gateway for global asset managers seeking exposure to the region's growth opportunities. This pattern has remained consistent in recent years, reinforcing Singapore's position relative to other regional financial centres.

The number of fund management companies in Singapore reached 1,298 by end-2024, a steady increase that signals continued interest from international managers establishing or expanding their regional footholds.

%Source: Orionmano Industries

Alternative Assets Surge, Led by Private Equity and Hedge Funds

Alternative AUM totalled S$1.39 trillion in 2024, up 14% year-on-year, accounting for roughly 23% of total industry AUM. Performance was uneven across sub-sectors, with private equity, venture capital, and hedge funds driving growth while real estate-related assets declined.

Private equity and venture capital AUM climbed 20% to S$789 billion, representing the largest alternative sub-sector by a wide margin. Hedge fund AUM surged 37% to S$327 billion, up from S$239 billion in 2023, reflecting strong investor demand for absolute return strategies amid volatile public markets. Private credit investments increased 21% year-on-year, continuing a multi-year trend of institutional capital rotating into direct lending strategies as traditional bank financing tightens in parts of Asia.

Real estate-related assets saw a contraction. REIT AUM declined 15% to S$115 billion from S$136 billion, while direct real estate AUM fell 6% to S$158 billion from S$168 billion, driven by higher interest rates and repricing in commercial property markets.

AUM (S$ billion) (S$ billion)Source: Orionmano Industries

ESG and Family Offices: Structural Shifts

Two structural trends are reshaping the composition and practices of Singapore's asset management industry: ESG integration and the institutionalisation of family offices.

48% of total AUM carried an ESG overlay as of end-2024. This is not a branding exercise but reflects evolving risk management expectations from regulators, institutional asset owners, and next-generation wealth holders across Asia-Pacific. The number of asset managers offering dedicated ESG strategies remained unchanged from 2023, however, suggesting that ESG integration is increasingly a baseline requirement rather than a differentiator.

The family office segment continues to expand rapidly. Singapore hosted over 2,000 single-family offices by end-2024, with momentum continuing into 2025–2026. Increasingly, ultra-high-net-worth families are outsourcing investment decision-making, not because they lack sophistication, but because modern portfolios demand institutional-grade governance across private markets, alternatives, cross-border assets, and succession planning. This trend is creating a new pool of capital that behaves more like institutional mandates than traditional private wealth, with implications for fund managers' client servicing models.

Outlook

Singapore's asset management industry is poised for steady growth, underpinned by its structural advantages as a gateway to Asia, the deepening of private markets, and the rise of institutional-grade family offices. Industry estimates suggest a compound annual growth rate of 8%–10% through 2028, though the pace of growth will moderate from the 12.2% recorded in 2024 as base effects normalise. Asia remains a core diversification destination for global allocators, particularly as private markets mature and secondary opportunities deepen. The Monetary Authority of Singapore has signalled its commitment to maintaining the city-state's high regulatory standards while ensuring the ecosystem remains welcoming to legitimate wealth. Near-term headwinds include ongoing geopolitical uncertainty, elevated interest rate sensitivity in real estate, and selective fundraising conditions in certain alternative strategies. However, Singapore's deepening pool of discretionary AUM—now exceeding 50% of the total—provides a stable revenue base that is less susceptible to short-term market fluctuations than purely advisory or transactional models.