New Trends for Family Offices in 2025: Investing in Private Equity and Cryptocurrencies to Surpass Traditional Stock Markets
BNY Mellon Wealth Management Focuses on Alternative Assets
BNY Mellon’s wealth management division, BNY Wealth, specializes in providing tailored investment and wealth planning services for high-net-worth individuals, family offices, and institutional clients. According to its latest report, family office investors are particularly focused this year on the allocation of alternative assets, including private equity and digital assets, while reducing their exposure to traditional stock markets.
Family Offices Increasing Private Equity Fund Allocation
According to a report titled “2025 Single Family Office Investment Insights” published by BNY Wealth and cited by Bloomberg, the survey included investment professionals from 282 family offices worldwide, managing assets ranging from $250 million to over $5 billion.
Among family offices managing assets exceeding $1 billion, two-thirds plan to increase their allocation to private equity funds this year, representing a nearly 70% increase compared to 2024. In contrast, public equities account for about 19% of these firms’ investable assets, a decrease of 28% from last year. Private equity investments are seeking to increase digital assets as their portfolios are less dependent on stocks.
Recently, several cryptocurrency reserve firms, such as Twenty One Capital and SharpLink, which have received investments from Tether, are utilizing private equity fundraising to acquire cryptocurrencies like Bitcoin and Ethereum as strategic reserves. (Investing in Twenty One directly with Bitcoin, the ambitions and blueprint behind Tether)
Regulatory Clarity Aids Digital Asset Investment
This report, conducted in early 2025, also found a shift in attitudes toward cryptocurrencies, with 74% of surveyed investors stating that they have already explored or are currently exploring investing in digital assets following the launch of the first Bitcoin ETF and Trump’s acceptance of cryptocurrencies during his presidential campaign.
BNY Wealth Chief Investment Officer Sinead Colton Grant stated:
“Most importantly, regulatory clarity—I believe this helps increase comfort levels with cryptocurrency allocations.”
Real Estate and AI Also Become Key Investment Themes
Investors are concerned about geopolitical risks and inflation, with U.S. companies particularly worried about rising prices. Against this backdrop, over 60% of companies managing over $1 billion in funds indicated that they are considering increasing real estate investments this year. The report also found that artificial intelligence is expected to become a key investment theme in the coming years, which is not surprising.
Risk Warning
Investing in cryptocurrencies involves high risks, and their prices may fluctuate dramatically, potentially resulting in a total loss of principal. Please carefully assess the risks.
