Family offices are set to surpass hedge funds, managing $5.4 trillion in assets by 2030. According to Deloitte Private, the number of single-family offices—private investment entities for families with over $100 million in wealth—is projected to grow from 8,000 to 10,720 by 2030. This sector’s assets are expected to increase rapidly, doubling since 2019 from $3.1 trillion to $5.4 trillion.
Total family office wealth is anticipated to reach $9.5 trillion by 2030, driven by rising wealth concentration and shifting investment strategies. Family offices, which are becoming more prominent than hedge funds, are gaining attention from venture capital firms and private equity players, all vying for a piece of their growing wealth.
Two major factors fuel this growth: the increasing concentration of wealth among the ultra-wealthy, particularly tech entrepreneurs, and the shift toward more personalized, long-term financial management. Instead of relying on traditional banks, wealthy families are opting to establish family offices for customized and private wealth management services.
In North America, family office wealth is expected to grow by 258% between 2019 and 2030, with the number of family offices increasing to 4,190. The wealth they manage is predicted to reach $4 trillion by 2030. The rise of family offices has sparked a race on Wall Street, with major firms expanding their services to attract these clients.
Family offices are also evolving, hiring larger teams and expanding services beyond basic portfolios. They are increasingly investing in alternative assets such as private equity, real estate, and venture capital, with 46% of their portfolios now allocated to these areas. Many are making direct investments in private companies, which has drawn the attention of private equity firms and other deal-makers.
The growth of family offices is leading to more professionalization, with a focus on governance, management, and technology. As more wealth transfers to the next generation, family offices are expected to see more women and inheritors taking leadership roles. Women already make up 15% of family office principals, and succession planning is set to become a key trend in the coming decade.
