Wealth management companies are essential tools for managing financial and real estate assets efficiently. In 2025, understanding how they work and their tax advantages can make all the difference in optimising your wealth. This article will guide you through the key aspects you need to know.
What are asset-holding companies?
Holding companies are defined by their focus on asset management without direct economic activity. More than 50% of their assets must consist of securities or real estate not used for economic activities.
These vehicles are common among individuals and families with significant wealth who wish to protect their assets and benefit from more favourable tax treatment.
Examples of assets under management include
- Real estate for rental or personal use.
- Financial investments such as stocks or bonds.
- Family estates seeking succession efficiency.
Tax and structural advantages of asset-holding companies
1. Favourable taxation
One of the main reasons for setting up an asset-holding company is its tax treatment. Instead of paying personal income tax as an individual, asset-holding companies are taxed at the general corporate income tax rate of 25%, which can result in significant savings. In addition:
- Property maintenance costs are deductible for corporate income tax purposes.
- Non-productive real estate is not subject to this tax, although it is subject to personal income tax.
- The sale of assets within the company allows for optimised tax planning by deferring taxes.
2. Protection of family assets
The creation of an asset-holding company allows personal assets to be decoupled from business activities or personal risks. This minimises the impact of potential debts or litigation.
For example, a family property company facilitates the generational transition by allowing shares to be inherited instead of direct assets. This simplifies succession and reduces potential conflicts.
3. Flexible and professionalised structure
Wealth management companies offer a structure to manage assets in a professional manner. This is especially relevant for financial investments or diversified portfolios, where centralised management improves efficiency and control.
For example, in a property rental holding company, rental income can be reinvested directly into new assets, generating a sustainable growth cycle.
Key considerations before setting up an asset-holding company
While the advantages are clear, it is also important to bear in mind some aspects:
- Administrative and legal costs: The incorporation and management of these companies involves notary, registry and accounting fees.
- Tax limitations: As these companies do not carry out any economic activity, they cannot benefit from tax incentives such as small company tax credits.
- Strict legal requirements: It is essential to ensure that the company meets the criteria of an asset-holding entity under the Corporate Income Tax Act.
A tax advisor can be crucial in assessing whether this structure is suitable for your objectives.
Case studies of asset-holding companies
Family property company
A family with several properties and a financial portfolio decides to set up an asset-holding company. This step allows them to:
- Centralise asset management.
- Reduce the tax burden on rental income.
- Simplify generational succession by transferring shares rather than specific assets.
Holding company for holding securities
An investor with a diversified portfolio of stocks and bonds creates a holding company to:
- Manage investments in a professional manner.
- Reducing taxation by reinvesting profits.
- Protect your assets from potential personal risks.
Property rental holding company
A landlord with several rented properties forms an asset-holding company in order to:
- Take advantage of the deduction of expenses related to the maintenance of real estate.
- Simplify the financial management of rents.
- Optimise taxation on the profits obtained.
Wealth companies are strategic tools for those seeking to optimise the management and taxation of their wealth. Their creation allows them to protect assets, reduce risks and plan for the long term, especially in a tax environment such as that of 2025, where efficiency and compliance are key.
If you are considering the next step in managing your wealth and need expert advice. You can count on our help.