Family Offices Continue to Invest in Venture Despite Macro Concerns
The current macro environment is causing Family Offices (FOs) to slow their venture investments. However, FOs expect to opportunistically grow their venture portfolios in 2022 given lower valuations. *
FO participation in venture continues to grow
Although FOs are slowing deployment of capital into venture funds and startups, their participation in venture continues to grow (FOs were in 5% of all venture deals in 2021).
FOs have a strong focus on North American funds
Half of North American FOs expect US-based emerging managers to produce their highest returns, which may explain why these FOs allocate substantially more of their investments (70%) to North America than the rest of the world (24%).
Sector trends differ across geographies
North American FOs are heavily targeting life sciences and healthcare (20%) and enterprise software (18%). The rest of the world has a more balanced approach across all sectors, with fintech leading (18%) and frontier technology lagging (9%).