Rich Chinese migrants offered slice of Oz good life

A new investment fund offered by a Goldman Sachs affiliate is aimed at rich Chinese wishing to shift to Australia, aided by the introduction of a Significant Investor Visa guaranteeing residency.

China’s economic downturn and political uncertainty under new leadership has seen residency applications from Chinese migrants surge over the last several years. The new fund will allow investment in Australian assets of at least A$5 million and will guarantee residency for Chinese families under the newly introduced visa category.

The fund will channel investments into specific mutual funds and government debt and, it is hoped, will create more jobs and encourage entrepreneurs from across Asia. Currently, China is the source of the majority of applications for visa categories promising citizenship as a reward for investment, with 29,547 Chinese immigrants arriving in the past year.

The Goldman Sachs Australia Capital Investment Fund, launched yesterday by Australia-based private bank JB Were, has already received A$500 million in capital from 100 clients. It will be capped at A$3 billion, the total of receipts from 600 investors, and is not Australian government-sanctioned.

Partners in the fund Deloitte Touche Tohmatsu and Baker & McKenzie will advise visa applicants, with Deloitte estimating the issuance of up to 700 family residency visas every year. According to JBW executive director Kenny Ng, the fund will not be limited to Chinese investors, but will also be available to immigrants from Hong Kong, Taiwan, Southeast Asia and India.

Applicants will not be required to undergo the English Language test applicable to other would-be immigrants and there is no no age limit. Ng states that Asian migrants taking advantage of the scheme will be able to transfer their successful businesses to Australia within their own timescale as the visa allows migrants to stay in Australia for as little as 160 days over the first four years.