It was established in 2014 by Tung Chee-hwa, a former chief executive and a vice-chairman of the Chinese People's Political Consultative Conference, in response to the 2014 Hong Kong protests.

[4] Tung announced the think tank on 10 November 2014 with 88 advisers that included businesspeople, athletes, academics, and former senior civil servants, including Jack Ma, Lee Wai Sze, Antony Leung, and Yang Chen-Ning.

He said the foundation would help develop political leaders in Hong Kong and improve social mobility.

Peacefully ending the sit-in protests against the 2014–2015 Hong Kong electoral reform was also described by Tung as one of the foundation's top priorities.

As concerns over his health grew, he resigned as chairman on 28 September 2023 and was succeeded by Bernard Chan.