If you believe Family Office and every headline about cryptocurrencies, you assume that 77% of Family Offices are interested in digital assets, Family Office own 4% of all cryptocurrencies and 1% of all portfolios to cryptocurrencies. has been allotted. You can also assume that FamilyOffice invests in cryptocurrency which gives 40% return on investment every year.
At Agreus, we don’t believe the headlines you see every day and here’s why.
Family Offices is about conserving money at its core. They are small entities created by property owners that both manage and protect their family’s wealth for generations to come and so they base their money on precedent, research and risk-taking to make calculated choices for where to invest their money. We employ exceptional investment teams.
Cryptocurrency as an asset class is exceptionally volatile. Its excessive technical requirements, poor reporting and stringent regulation in the likes of Singapore have not characterized it as a favorable asset class, nor does it lack precedence or high unpredictability.
That’s not to say that family offices aren’t curious. Family Office invested extensively in bio and pharma technology during the pandemic, and since the end, more than half of all family offices say their risk tolerance has increased. But with the likes of e-sports in both these areas having peaked interest in Family Office recently, Family Office is a precedent with investors not cryptocurrencies and we thought it was time to put a number on it. has gone.
To cut down on all the headlines about the interests and intentions of the Family Office, we surveyed our Family Office network to determine how many Family Offices there are. Actually Invested in cryptocurrency today and the results speak for themselves.
Only one in five family offices is invested in cryptocurrency and the allocation for those investing is very small.
For example the family office. Over the past 12 months, he has increased his private equity investments by 63% and has made more direct investments than ever before. He did this not because of a sudden desire to do something different but because he had experienced years of proven returns.
While crypto billionaires do exist, they often do not and where there are highs, there are extreme lows. Last week, over $275 billion was wiped out from the value of the global crypto market within 24 hours. While family offices associate their convenience with risk and must be satisfied with a certain element of risk as is the case with all investments, this is not a level of risk with which any principal is comfortable, which is why That’s why only 20% of family offices have invested in crypto today and why a huge proportion of them are dipping their toes in water, approaching it very carefully and carefully as family offices often do.
Is your family office one of the 20% invested in cryptocurrency or are you, like many, in the clear?
Credit: www.forbes.com /