Family offices pivot to public equities as succession pressure mounts
According to the Citi Wealth report, nearly half of respondents increased their public equity exposure over the past year, making listed markets the top destination for new capital. Global developed equities ranked as the most favored asset class for incremental net allocations.
The shift reflects a recalibration rather than a retreat. Portfolio allocations remained well-diversified, with most family offices maintaining positions across private equity, fixed income, and cash. But the re-engagement with public markets signals a growing preference for liquidity and flexibility at a moment when macroeconomic conditions remain unsettled.
“In an environment where returns are increasingly driven by fundamentals rather than valuation expansion, quality matters more than ever,” the report noted.
Despite this renewed interest in listed assets, private markets have not lost their strategic appeal. Private equity continues to attract substantial capital, with direct investing on the rise and growth-stage opportunities drawing particular attention. What has changed is the degree of selectivity applied. Family offices are placing greater emphasis on sourcing relationships, sector expertise, and differentiated access, with connectivity cited as a distinct competitive advantage.
Inflation overtakes trade tensions
Among the most notable findings is a shift in the risk hierarchy. Inflation emerged in 2026 as the leading concern among survey respondents, supplanting trade disputes and tariffs, which had dominated the prior year’s results. Interest rate developments, financial system stability, and market volatility rounded out the top worries.
