Family Fortunes
North American family offices have shrunk their allocation to public equities in favor of private markets, as they look to preserve their inter-generational family fortunes. A new survey conducted by Campden Wealth and RBC reveals that their overall exposure to private equity, private credit and venture capital has risen to 29.2% compared to 28.5% for stocks; down from 31% last year. The role reversal is noteworthy given that US stock markets have delivered a star performance (the Nasdaq 100 is up 45.8% YTD). It shows the allure that private markets hold, as investors look for a wider selection of ‘equity’ options. As families move office, it’ll be interesting to see how much further they embrace this change in their overall portfolios.