In this articleGSFollow your favorite stocksCREATE FREE ACCOUNT07 July 2025, USA, New York: A street sign reading “Wall Street” hangs on a post in front of the New York Stock Exchange in Manhattan’s financial district. Photo: Sven Hoppe/dpa (Photo by Sven Hoppe/picture alliance via Getty Images)Picture Alliance | Picture Alliance | Getty ImagesA version of this article first appeared in CNBC’s Inside Wealth newsletter with Robert Frank, a weekly guide to the high-net-worth investor and consumer. Sign up to receive future editions, straight to your inbox.Family offices have ramped up their bets on stocks while dialing back their private equity bets, according to a new survey by Goldman Sachs.Investment firms of ultra-wealthy families reported an average allocation of 31% to public equities, up 3 percentage points from the bank’s last poll in 2023. Over the same two-year period, their allocation to private equity dropped from 26% to 21%, the largest change for all surveyed asset classes. The shift to stocks was marked for family offices in the U.S. and the Americas, which raised their average allocation from 27% to 31%. As for private equity, their allocation dropped by 2 percentage points to 25% but still exceeds that of their international peers. The bank polled 245 worldwide family offices, two-thirds of which reported managing at least $1 billion in assets, from May 20 to June 18. Tony Pasquariello, global head of hedge fund coverage at Goldman Sachs, described the portfolio as a “pro-risk asset mix,” as family offices have maintained a relatively high allocation to private equity.[embedded content]This is despite growing concerns about geopolitical risks and inflation. In the next 12 months, more than three-quarters of respondents said they expected tariffs to be the same or higher and expected valuations to stay the same or decrease.Family offices, especially those in the U.S., can face hefty tax bills if they make significant divestments, according to Sara Naison-Tarajano, leader of Goldman Sach’s Apex family office business. Moreover, she said, family offices tend to invest opportunistically when other market players retreat, as they did in April when tariff announcements roiled the markets. “There are concerns in the market, geopolitical issues, trade war issues,” said Naison-Tarajano, who is also the global head of capital markets for the private wealth division. “If they’re concerned about these things, they’re going to be ready to put money to work when these dislocations happen.”Investing in public equities and ETFs is also the preferred way for family offices to invest in artificial intelligence, according to the survey. The vast majority (86%) of respondents said they were invested in AI in some capacity, with other popular options including investments in secondary beneficiaries of the AI boom like data centers or AI-focused VC funds.Goldman Sachs’ Meena Flynn added that family offices are still making opportunistic plays in private equity, with 72% investing in secondaries, up from 60% in 2023. Endowments and foundations have been divesting as they are pressed for liquidity, but family offices can scoop attractive asset …
