Single Family Offices Report
Report: Single Family Offices Planning to Boost Allocation
This headline is music to hedge fund managers' ears, who are almost always looking to raise AUM. A report by Rothstein Kass estimates that 90% of single family offices will increase allocation to hedge funds. This is a strong vote of confidence in the hedge fund industry from single family offices and could mark a big boost in capital raising for hedge funds.Of the 151 single family offices who responded, the most popular hedge fund strategies are long / short equity (53%), distressed (49%), arbitrage (33%), managed futures (25%), and global macro (25%). If you're interested in a free report on family offices or other resources on family offices, visit FamilyOffices.com
According to the results of a survey of 151 executive directors at single family office operations carried out during the first quarter of 2011, the most popular strategies are long / short equity (53 per cent), distressed (49 per cent), arbitrage (33 per cent), managed futures (25 per cent), and global macro (25 per cent).
"Raising Capital from Single-Family Offices – Considerations for Financial Firms," which was co-authored by Forbes Insights and private wealth expert Russ Alan Prince, also states that almost 70 percent of survey participants plan to increase allocations to the private equity sector in 2011. Investment preferences are likely to include established companies (59 per cent), mezzanine financing (39 per cent) and second-round financing (32 per cent).
Approximately 85 percent of single-family offices surveyed currently invest in hedge funds, with roughly half reporting active private equity sector investments.
Mean investable assets of single-family offices stands at roughly USD416 million in 2011, up from approximately USD236 million reported in 2010. Source
If you're interested in a free report on family offices or other resources on family offices, visit FamilyOffices.com