Hong Kong Family Offices Shift Wealth from Property to Tech
Hong Kong's next-generation wealth is moving from real estate into tech startups, while global travel tech funding is heading for a multiyear low.
A significant shift is underway as Hong Kong's family offices reduce property holdings to invest in technology startups, particularly in AI and pre-IPO companies. Meanwhile, investor appetite for travel tech startups has cooled globally, with funding heading toward its lowest level in years despite the integration of AI.
Hong Kong's Wealth Shift
Family offices in Hong Kong are actively reducing their real estate exposure to invest in technology startups, a move led by the next generation of wealth holders. According to a Deloitte study from February 2026, 22% of surveyed single-family offices plan to cut their real estate holdings over the next three years, the highest planned reduction of any asset class. This is occurring even as Hong Kong's property market shows signs of recovery, with home prices rising more than 10% this year.
The driving forces behind this shift are liquidity and personal interest. Real estate is seen as an illiquid asset and an inherited responsibility, whereas pre-IPO tech investments offer a clear exit path and roles that align with the heirs' passions. Hong Kong raised HK$209.9 billion from 85 IPOs in the first half of 2026, its best performance in five years, with 13 listings under the specialist technology chapter 18C. Angel investing platform Angelflow has seen inquiries rise 30% year-on-year, with AI startups drawing the most interest. The platform's CEO observes that many returning graduates from families with property or manufacturing backgrounds now seek to start companies or manage investment funds rather than oversee real estate portfolios.
Travel Tech Funding Slump
Global funding for travel tech startups is declining sharply, with 2026 on track to be the lowest year for investment since at least 2018. Data from Crunchbase shows startups in the space raised $2.2 billion across 302 rounds in the first three quarters of 2026, down significantly from the $3.7 billion raised in 2025. Deal volume is falling for a third consecutive year, indicating a market where investors are putting more money into fewer companies.
This downturn persists despite a wave of startups integrating AI into their services for functions like automating operations and personalizing bookings. Funding levels remain far below the peaks seen during and before the pandemic. For comparison, the sector saw $12 billion in funding in 2021 and around $10 billion annually in 2018 and 2019. The largest deals this year have involved companies headquartered outside the United States.
| Company | Location | Amount Raised | Lead Investor(s) | Business Focus |
|---|---|---|---|---|
| Mews | Amsterdam | $300M Series D | EQT Growth | Hospitality software & AI agents |
| Aerofugia | Chengdu | ~$144M | CITIC Securities | Electric vertical take-off aircraft |
| Stay22 | Montreal | $122M minority investment | Summit Partners | AI for travel integrations |
The year's largest recipient was Amsterdam-based Mews, which raised a $300 million Series D in January at a $2.5 billion valuation. Chinese electric aircraft developer Aerofugia secured about $144 million in February, while Montreal's Stay22 raised a $122 million minority growth investment. Industry researcher Skift noted the funding downturn is "a clear sign of the times."
