Family offices are continuing to look towards technology and equities despite the global uncertainty. According to Goldman Sachs 2025 Family Office Investment Insight report, 58% of surveyed family offices plan to heavily weigh technology in the next year. On the other hand, only 5% of families plan to be underweight. These investors currently hold about 31% of their portfolios in public equities and 42% in other alternatives like hedge funds. Even with market volatility, family offices continue to be consistent in their allocations. This is because of the strong performance of their equities and the increasing opportunities related to AI.
There have been many top market risks that have caused this turn. The possibility of a recession and geopolitical instability continue to be top risks as inflation concerns have slowly stopped. The generational capital has allowed them to act quickly and continue to capitalize on long-term opportunities where other investors cannot. 61% of family offices say geopolitical tensions are their main risk, showing their confidence in the markets ability to rebound. Also, cryptocurrency continues to gain attraction with almost a third of family offices investing in it which is doubled from 2021. Ultimately the consistent confidence of family offices shows their ability to balance risk and opportunity, proving that in times where it's hard to predict what is going to happen with the market their vision for the long term is their greatest strength.
Nearly 40% of Family Offices Plan to Raise Allocations to Public and Private Equity | Goldman Sachs
2 comments:
Pretty impressive how family offices are still doubling down on tech and AI despite all the uncertainty, shows real confidence in the long game.
It's absurd that, despite everything happening in the world, family offices continue to invest heavily in technology and stocks. It's likely difficult for anyone to avoid technology at the moment, given the AI boom. Interestingly, more of them are getting involved with cryptocurrency as well; they're gradually becoming early adopters once more. I question whether all of this assurance may backfire if geopolitical concerns or another market decline were to strike more forcefully than anticipated.
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