Family offices in the Middle East are taking the lead in reshaping investment strategies as geopolitical tensions and economic uncertainty continue to rise, according to the latest Global Family Office Report 2026 from UBS.
The report, which surveyed 307 family offices worldwide with an average net worth of $2.7 billion, found that 82% of Middle Eastern family offices expect to adjust their asset allocations over the next year—the highest proportion of any region. Families from the Middle East represented 7% of respondents.
Growing geopolitical instability, concerns over rising debt levels and recession risks are prompting family offices to focus on resilience and diversification. Rather than attempting to time markets, many are spreading investments across different asset classes, currencies and regions to better manage uncertainty.
While North America continues to account for roughly half of Middle Eastern family office portfolios, investors are increasingly balancing those holdings with allocations to Western Europe and their home markets. UBS described this as a “hybrid investment approach” aimed at combining global opportunities with regional strength.
Niels Zilkens, head of wealth management for the Middle East at UBS, said the trend reflects a confident and forward-looking approach to navigating uncertainty while positioning portfolios for future growth.
Artificial intelligence has become a major investment theme across the region. Half of Middle Eastern family offices already have exposure to AI-related opportunities, while many are also investing in AI-driven healthcare and infrastructure projects that support the technology’s expansion. Globally, nearly two-thirds of family offices now invest in AI sectors such as semiconductors, software platforms and data centres, with many planning to increase allocations despite concerns about valuations.
The report also highlights a broader shift in global wealth management. For the first time, 60% of family offices worldwide intend to review and adjust their long-term asset allocation strategies within the next 12 months, marking a record high.
At the same time, confidence in the US dollar is beginning to soften. Around 65% of respondents believe the dollar’s role as the world’s dominant reserve currency will weaken over time, leading many family offices to adopt multi-currency strategies and increase exposure to alternatives such as the euro and Swiss franc.
Although North America remains the largest destination for global family office capital, investors are increasingly expanding into Asia-Pacific, Greater China and Europe to reduce concentration risk and capture new opportunities.
Beyond investment decisions, the report points to ongoing governance challenges. Only 35% of family offices globally have formal succession plans in place, while structured programmes to prepare the next generation remain limited. As significant wealth transfers are expected in the coming decades, succession planning is becoming an increasingly important priority.
For Middle Eastern family offices, a combination of active portfolio rebalancing, geographic diversification and growing investment in emerging technologies suggests the region is positioning itself not only to withstand global uncertainty but also to benefit from the opportunities it creates.
