Family offices follow similar paths when investing in venture capital
Key takeaways
01
Family Offices progress through a venture investing maturity model
Most start investing in funds of funds, then move on to venture funds and finally make direct investments in startups.
02
FOs are investing directly in startups
FOs invested in 4.2% of global venture deals. On average, survey participants invested in 10 venture funds and 17 startups.
03
Personal networks are the primary source of deal flow
Access to venture continues to be a challenge; 67% of FOs rely on their existing networks.
The FO venture maturity model
Although every FO is unique, their venture investing journeys are similar. See the full report for expanded details, including all seven stages of the FO journey.
FO participation in venture continues to increase
Startups are increasingly open to direct investments from FOs, alongside venture funds. FOs, in turn, are investing strategic capital, adding value based on their operating businesses and network connections.
The average FO has 10 fund investments and 17 direct deals
FOs have been extremely active in direct investing, with the average venture portfolio including 17 direct investments (53% of assets) and 10 funds (47% of assets).
67% of FOs rely on their existing network for deal flow
The best venture deals continue to be hard to access. Most FOs rely on their existing networks, GPs of venture funds, founders and other family offices for deal flow. Only 1% use digital platforms, such as SVB LIFT.
FOs are investing across sectors
18% of FOs have venture investments in Life Sciences e.g., biopharma, medical devices, diagnostics, etc. Energy & resource innovation, including climate and sustainability, is an increasing area of focus.
Explore additional insights
Co-authored by Campden Wealth and SVB Capital
The report was developed by Campden Wealth in partnership with SVB Capital.
