SUMMARY
During the second quarter of 2024, our family office clients continued to allocate more to Equities but also to Hedge Funds. There has also been a modest renewal of interest in Fixed Income. We explore these moves and what they may be thinking.
Actions speak louder than words. While often true in life, this rule of thumb may have even greater relevance when it comes to investing. Financial markets are noisy places, owing to almost incessant chatter, rumors, and extrapolation. Amid the din, we believe that looking at how investors are acting may be more instructive than listening to speculation about how they might be acting.
Of course, this is easier said than done. Insight into the portfolio positioning and shifts of others is not always readily available. This is especially true when it comes to family offices. Unlike many other market participants, they typically shun publicity. So, our Family Office Investment Report provides a quarterly aggregate snapshot of these sophisticated entities’ recent decisions. We then review these moves given subsequent events.
Using data from our family office clients worldwide, we examine recent portfolio positioning and shifts at global and regional levels. We also discuss the findings in the context of Citi Global Wealth’s best thinking on tactical and strategic asset allocation and the macroeconomic and geopolitical environment.
Key takeaways from our Family Office Investment Report
Many risk assets rallied in the second quarter of 2024, particularly Equities. This followed our family office clients’ broad-based additions to equity holdings in the first three months of the year.
By contrast, they were more ambivalent about Fixed Income, which has since done somewhat worse.
During the second quarter, our family office clients also continued to allocate more to Equities but also to Hedge Funds.
There has also been a modest renewal of interest in Fixed Income. We shall, of course, be closely watching how these moves play out over the coming quarters.
Contact us to learn more about our family office advisory services and to discuss this edition’s Q2 2024 report findings.
