Guoxin Securities: The era of three-dimensional cross-border wealth management has arrived, leading wealth management institutions have benefited the most

The Zhitong Finance App learned that Guoxin Securities released a research report saying that in an era where there are no dead spots in supervision and global taxation transparency, actively embracing compliance and internalizing tax costs as part of wealth management, this will become a real moat for the long-term preservation and appreciation of the wealth of high-net-worth customers. Judging that leading wealth management institutions have benefited the most, take life insurance companies as an example: high-net-worth customers are the core source of life insurance value premiums. The new regulations strengthen the wealth inheritance attributes of domestic insurance and will drive the growth of businesses such as whole life insurance and dividend insurance. In this way, leading listed insurers with leading channels and high customer management capabilities are clearly beneficial.

Guoxin Securities's main views are as follows:

matters

On July 24, 2026, the Ministry of Finance and the State Administration of Taxation jointly issued the “Notice Concerning Matters Relating to Personal Income Tax on Offshore Trusts” (“Notice No. 21”), which for the first time fully clarified the personal income tax collection and administration rules for the entire offshore trust process. This announcement systematically covers the personal tax collection and administration rules for the entire life cycle of offshore trust assets loading, surviving income, trust termination, status conversion, and inheritance, and establishes a 90-day transition payment arrangement. Furthermore, combined with CRS's automatic global financial information exchange and Gold Tax Phase IV cross-border data networking, the tax supervision of offshore assets of Chinese tax residents has achieved a double closed loop of system and data.

The end of tax avoidance attributes of offshore trusts

The new regulations have blocked the core path of using an offshore structure to defer tax payment at the institutional level through “establishing immediate taxation, survival is penetration, and withdrawal is liquidation”, and in line with anti-tax avoidance rules that focus on substance over form. The tax planning value of offshore trusts has basically been eliminated, and the functions have been reduced to a scenario of cross-border asset isolation and targeted inheritance.

The wealth inheritance tool landscape ushered in a restructuring

As tax costs and compliance risks rise, offshore trust demand among middle- and high-net-worth individuals will be structurally diverted. Domestic whole life insurance and insurance fund trusts are more certain to take on asset return requirements with multiple advantages such as legal tax exemption, transparent compliance, and debt isolation.

The three-dimensional era of cross-border wealth management has arrived

According to policy requirements, the cost of establishing and maintaining offshore trusts will rise sharply in the future. Offshore structures built for the sole purpose of “saving taxes” will face enormous pressure on cash flow (including setting up immediate tax payment and annual tax payment). “Tax compliance” will change from an edge option for wealth management to the most basic bottom threshold. In the past, when tax certainty was lacking, some high-net-worth individuals preferred to transfer their assets overseas. However, with the global implementation of CRS (Common Reporting Standard) 2.0 and the clear taxation of offshore trusts, the transparency of cross-border assets has reached an unprecedented level. The core keywords for future high-end wealth management will no longer be “tax avoidance” or “secrecy,” but “compliance certainty” and “effectiveness of global asset allocation.”

Risk warning:

The premium growth rate fell short of expectations; long-term interest rates declined; capital market fluctuations, etc.