Wealthy Family Offices Shift Billions from Stocks to Private Equity

A new report from BNY Wealth shows that large family offices are moving away from public stocks and putting more money into private equity, digital blockets, and real estate.

This shift, based on data from over 280 family offices managing at least $1 billion each, marks a significant change in how the world’s wealthiest families protect and grow their fortunes.

Two-thirds of these offices plan to increase their investments in private equity funds this year, a jump of nearly 70% compared to 2024. Public stocks now make up only 19% of their portfolios, down from 28% last year.

This reallocation shows a clear move away from traditional markets, driven by concerns about volatility, inflation, and the search for better returns. Digital blockets, especially cryptocurrencies, are also gaining ground.

The report notes that 74% of surveyed family offices have already invested in or are considering investing in crypto. Regulatory changes and the launch of new investment products, such as Bitcoin ETFs, have made digital blockets more accessible and attractive.

Family offices see these blockets as a way to diversify and hedge against inflation. Real estate is another area of focus. Over 60% of large family offices plan to increase their exposure to property this year.

Navigating Uncertainty with Strategic Investments

Real estate offers both long-term value and protection against rising prices, making it a popular choice in uncertain times. Artificial intelligence has become a core investment theme. More than 80% of family offices say they will focus on AI over the next five years.

They expect AI to transform industries and create new opportunities for growth. Many offices also use AI tools to improve their own investment processes and efficiency, especially since most have small teams.

These changes reflect a broader trend in wealth management. Family offices want to reduce risk, find new sources of return, and prepare for a future shaped by technology and economic shifts.

They are not just following trends—they are actively seeking out new opportunities and adapting their strategies to protect their wealth for generations. This story matters because family offices manage trillions of dollars and often set the tone for broader investment trends.

Their decisions can influence markets, support innovation, and shape the future of global finance. All figures and claims in this article come directly from official reports and verified sources.