Family offices increase investments in digtal assets despite market slump - Ping...

Family offices increase investments in digtal assets despite market slump

Family offices increase investments in digtal assets despite market slump

6 hours ago

According to recent research from U.S. investment bank Goldman Sachs, family offices are increasing their investments in crypto assets despite the prolonged bear market in cryptocurrencies.

32% of family offices now hold interests in digital assets, according to a Goldman Sachs analysis titled "Eyes on the Horizon: Family Office Investment Insights" that was released on May 8. Cryptocurrencies, nonfungible tokens (NFTs), decentralized finance (DeFi), and funds with an emphasis on blockchain all fall under this category.

The investment bank claims that the publication combines the aggregate observations of its analysts who have worked with family offices and family-controlled businesses with the viewpoints of 166 family office decision-makers from around the world. Over 70% of those polled report having a net worth of at least $1 billion, and more than 90% can manage investments in-house.

Only 8% and 9% of those who explained their reasons for investing in digital assets indicated speculative intent and portfolio diversification, respectively; the majority (19%) cited a belief in the potential of blockchain technology.

Since 2021, the percentage of investors engaged in digital finance who have cryptocurrency assets has increased dramatically, from 16% to 26%. Just 12% of investors indicated they were interested in cryptocurrency investments this year, down from 45% in 2021. According to the report's emphasis:

The study was based on surveys that were emailed to home offices during January and February 2023. In total, 166 home offices took part, of which 95 are located in the Americas, 34 in Europe and the Middle East, and 37 in Asia-Pacific.

SHARE