Driving Private Equity's Future with Tokenization | Building a Global Digital Investor Community | Entrepreneur
Family offices have increasingly started challenging the private equity industry. While most banks have tightened lending and private equity firms have done fewer deals due to a slower exit environment, indicates data from BNY Mellon Wealth Management that family offices are allocating more capital to direct placements. According to the survey, over 60% of the offices participated in direct investments by buying a direct stake or providing lending last year, with most of them planning to make at least the same or more direct investments in the next year. Why direct deals? Most family offices are established to protect wealth and ensure the family properly invests its money. The founder typically has an entrepreneurial background with experience in building and scaling companies within a specific niche. Participating in direct investment allows the family to allocate capital and actively contribute their expertise and knowledge to helping their portfolio companies grow. #familyoffice #privateequity
