Trends for Family Office Investments
What is Trending in Family Office Investments?
There has been a rise in family office investments globally. Affluent families and individuals are seeking the services of family offices to provide comprehensive management of their investments.
The performance of family offices in 2017 has been phenomenal and this trend is expected to continue. This will lead to more family offices being established in 2018. With this growth, the necessary skills required for family offices will also intensify.
Let me outline what family office investments envisage in 2018:
It is expected that family offices will focus on creation of funds
- Family offices will look for successful investment strategies in order to generate investment funds
- It is expected that there will be an increase in family offices with similar objectives to share their risks by investing together.
- This year will see a rise in direct investments by family offices.
- Family offices will look to diversify by investing in real estate and start-ups.
For better risk management, family offices will be looking for international collaborations. Especially the American family offices might venture into European and Asian markets looking for tech-focused opportunities.
With cybercrime on the rise, family offices will focus on securing their systems. They might look to create risk management officers who will work towards safeguarding cyber risks to data, the impact of social media on privacy and reputation.
Investors looking for better control
Earlier family offices managed the complete investment portfolio of their clients. However, the trends indicate that the investors will want a clear understanding of where the funds are being invested.
It is also expected that investors will prefer investment strategies that are less vulnerable to regulations in the future over those that are more effective at the present time. This is because they would want investments that are future focused.
Trends indicate that there will be an increase in the number of investors looking for investments with a social cause. Investments towards philanthropy will be on the rise among the young investors.
The future looks bright for family office investments. However, it is evolving with times. While investors look for more transparency in investments, efforts are also being directed towards creating a more cyber secure environment for them. Investors looking for a long-term return are looking for ‘futureproof’ investment strategies so as to secure the future of their future generations. The new gen family office investors bring in a passionate impact investing coupled with green technology.
If you are looking for an experienced funds manager to take care of your family office, one financial consultant you can trust is Greg Silberman. He is well-aware of the trends in family office investments. He also has an in-depth knowledge of the stock market and can successfully manage your family office.