Private equity stands out as the only asset class where the number of family offices making allocations has risen steadily year after year, as befits organizations that exist to manage entrepreneurial families’ investments, according to UBS. In 2022’s survey, 80 percent of family offices reported investing, up from 77 percent in 2021 and 75 percent in 2020.
Family offices are seeking mainly to enhance returns: almost three-quarters (74 percent) of those likely to increase their private equity investments over three to five years expect private equity to outperform public markets in the future. However, over half (52 percent) of them are also investing to broaden their opportunity set: to access types of investments not available in public markets.
In the United States, the world’s biggest and most diverse private equity market, the number of private equity–backed companies has grown from 1,698 in 2000 to 8,892 in 2020. Meanwhile, opportunities have shrunk in eq
