Family Office Investment Options

How We Built Our Family Office and What We Learnt Along the Way After I joined the family business in 2017, we established our family office. What began as simple allocations soon evolved into a comprehensive investment journey spanning PE, VC, public markets, and alternatives. We’re evolving. We’re investing. We’re learning. Here are a few key takeaways that have shaped our perspective on capital, conviction, and compounding. (Part 1) 1. Always Ask: Why Is This Deal Coming to You? If a deal lands on your table and it’s not with larger funds or more established family offices, pause and ask: why? There’s often an angle, sometimes it’s a genuine fit, but often, there’s a reason it’s not elsewhere. 2. Relationships Matter More Than Firms Advisors and brokers are everywhere, but only a handful genuinely have your long-term interest at heart. Build deep, trusted relationships with a select few. The right advisor can transform your deal flow and outcomes. 3. Institutionalise Your Process Having a clear Investment Policy Statement (IPS) is a game-changer, especially as families grow and more voices join the decision-making table. We operated without one for too long, and implementing structure has brought much-needed discipline. 4. Avoid FOMO and Time-Pressured Deals If you’re being pressured to commit quickly, walk away. There are always more opportunities. As a family office, you don’t need to chase every “hot” deal, focus on what you understand deeply and be patient. 5. Be Wary of Late-Stage/Pre-IPO Rounds We’ve largely avoided pre-IPO deals, valuations are inflated, and the upside is limited. The J-curve returns are usually already captured by early investors. Tempting brands at this stage often offer familiarity, not value. Real long-term gains often lie after the listing, not before. 6. First-Time Managers We’re cautious with first-time funds, which often face operational teething issues. Unless we have deep conviction in the team, we prefer managers with a solid track record and robust systems already in place. Fees may vary slightly, but always opt for A-grade managers. 7. Cost of Returns Matter Returns only matter after fees and taxes. We actively monitor our “cost of return” across asset classes, including the amount we pay in management fees, carry, transaction costs, and taxes, relative to what we earn. Post-fee, post-tax returns are the true benchmark. This discipline keeps capital efficient and ensures we’re tracking it across asset classes and portfolio level. 8. Say No, But Keep Showing Up Discipline is everything. We track how many deals we reject; if the “no” ratio isn’t high, we’re probably not being selective enough. Saying no is a superpower in this business. But that shouldn’t stop you from meeting a lot of people. Show up. Listen. Learn. 📣 P.S. We’re hiring for a senior position at our family office. If you’re someone who wants to join and scale it with us, email me at: jai@malpani.com

The Family Office investment landscape in 2024 is marked by a decisive shift toward private markets. According to Goldman Sachs, private equity claimed a significant portion of Family Office portfolios in 2023 – representing 26% of their assets. This keen interest in private equity is further substantiated by the UBS Global Family Office Report, which reveals that a remarkable 86% of Family Offices are planning tactical overallocations within this asset class over the next 12 months. In 2023, Family Offices have shown a growing appetite for private debt as a component of their investment portfolios. The BlackRock Global Family Office Survey highlighted that despite a challenging economic outlook, less than a quarter of these offices intend to make material changes to their asset allocation. However, there has been a noted shift in investor sentiment towards private debt. Historically, allocations to private debt have been low, with 87% of Family Offices allocating less than 10%, but two-thirds now indicate their intent to increase their exposure, drawn by the potential returns from dislocated markets. This strategic shift underscores Family Offices' belief in the potential of private equity markets to deliver superior returns, both via investing in private equity firms, but also the direct investment in companies in the mid-market segment. Indeed, Family Offices have been increasingly investing directly in companies – over the past decade, there's been a noted rise in such direct investments due to factors like asset accumulation, talent acquisition, robust networks, and the desire for greater control and decision-making ability. Campden Wealth and FINTRX reports highlight that 76% of Family Offices invest directly in companies, with 83% of Family Offices worldwide considering direct investments. The willingness to take on more risk reflects their confidence in identifying pockets of value within the private equity landscape. As Family Offices pivot toward private equity, they are positioning themselves for long-term growth and the preservation of generational wealth. While private equity takes center stage, Family Offices are also recognizing the value of secondaries investments. The UBS Report highlights a notable trend: nearly half of surveyed Family Offices (45%) plan to over-allocate their portfolios to secondaries. This surge in interest can be attributed to the narrowing valuation gap between public and private markets. As public markets rebounded, secondary markets became increasingly attractive. The ability to transact LP interests in this environment has encouraged higher deal volumes. Secondaries funds raised a staggering $34.66 billion in 2023, surpassing the previous year's total and on track to exceed 2021's record. Some alternatives fund managers, such as Morgan Stanley Alternative Investment Partners and Blackstone, have raised capital for secondaries strategies in 2023. #familyoffice #tiger21 #privateequity

J.P. Morgan Private Bank had conversations with 111 billionaire family office principals. What can conversations with some of the world's largest family offices tell asset managers and wealth managers about how the family office channel is approaching private markets? In this weekend's newsletter, Alt Goes Mainstream dissected what they said and what this means for asset and wealth managers. (1) "Doubling down, not dialing back" on private markets: ➡️ Build out dedicated family office coverage teams for billionaires and UHNW family offices, as Apollo Global Management, Inc. has done with Brian Feurtado and team and as Goldman Sachs has done with the Apex Family Office Coverage group led by Sara Naison-Tarajano. ➡️ Provide direct investments and co-invests to strategically valuable family offices who have created a successful operating company in a specific industry or sector. (2) "The rise of specialty assets: more than a trophy": ➡️ Use sports as a relationship builder with principals, particularly if asset managers have a dedicated sports investment fund that can provide hybrid capital to sports teams and adjacent financing needs. ➡️ Align investments with passion and use passion investing as a way to engage the next generation family members. (3) "Resilience in action: global families with global challenges": ➡️ Provide insights and knowledge through "geopolitical alpha" by leveraging the knowledge and networks of advisors who are connected to the shifting plates of geopolitical trends to provide family offices with an information edge. (4) "How to best serve family offices?": ➡️ Smaller and startup asset managers can look to family offices as strategic LPs or co-GPs to help them grow from a fund into a firm, with EQT Group's founding story a great example of how this can work. (5) "Investment preferences": ➡️ With diversification and illiquidity top of mind for family offices, how can asset managers make boring cool? ➡️ Go long duration (if you can). Read on Alt Goes Mainstream for more 👇 https://lnkd.in/eRsdWukB

What’s forcing Family Offices to rethink where and how they invest in real estate? In recent months, we’ve seen a marked shift from traditional, “safe” asset classes into sectors once considered secondary. Industrial remains strong, especially with nearshoring boosting demand for logistics and warehousing across the US Mexico border. But what’s capturing Family Office attention even more are sectors that combine resiliency with real world utility: medical office, cold storage, and workforce housing. These aren’t just buzzwords. In fact, according to the Family Office Real Estate Institute’s latest analysis, allocations are moving sharply away from single family homes, hospitality, and even assisted living. Instead, capital is rotating into areas that align with long term wealth preservation: durable income, lower volatility, and assets that perform through economic cycles. We’re also seeing the emergence of more direct investing strategies. Family Offices are bypassing funds and going deal by deal, often preferring club deals or co investment structures with aligned operators. Besides control, Family Offices want to be closer to the asset, to better manage risk, to reap the full benefits of depreciation and tax efficiency. One clear example: A $250M West Coast SFO recently exited its allocation to retail REITs and redeployed into four off market medical office properties in secondary cities at cap rates nearly 200 basis points higher than what they were getting in core markets. The rationale? Recession resilience, essential services, and better yield. At the same time, Family Offices are continuing to prefer long holds. Over 50 percent look at 10 plus year timelines. The contradiction is that many of the most attractive investment strategies, value add, opportunistic, and development that typically come with 3-5 year cycles. The workaround? Stabilize, refinance, and hold. But that takes the right partner. And patience. Real estate remains a cornerstone for generational wealth, but it appears the playbook is changing. Family Offices are doubling down on asset classes with staying power, shifting into more hands on structures, and aligning capital with long term vision rather than market timing. So their challenge now is not whether to invest, but how to find opportunities that match the Family Offices goals, risk profile, and values. Those waiting for the perfect market are already behind. From my experience, the families who win are the ones who play the long game with the right partners, the right assets, and a plan that looks 20 years out, not just two.

If you’re a family office planning to step into private markets, I’ll nudge you to ask one question before anything else: If we can’t exit tomorrow, what’s the plan? Because we talk a lot about what family offices invest in, especially the growing shift beyond mutual funds and listed equities into private markets. Taking direct stakes. Co-investing alongside managers. Influencing decisions.  And yes, sometimes enjoying those 50x, 100x stories everyone posts about. That part is exciting. But here’s the part that never makes the headline: Private markets are illiquid. There is no “sell tomorrow.” When you go private, you’re committing to 7–10 year lock-ups, cash flows on someone else’s schedule, and valuations that don’t update as frequently as you would like. This is where families either compound or get stuck. And the difference is almost never the quality of deal flow. It’s how they design liquidity. It's the ability to hold. Behind the scenes, the families that thrive: 1) Stagger commitments so capital calls don’t collide 2) Use secondaries strategically, before it becomes a fire sale 3) Build governance to preserve long-term conviction and avoid reacting to market volatility So yes, private markets can be an engine for generational wealth. But only if the liquidity strategy is as intentional as the investment strategy. That’s why, before asking “Is this a good deal?”, ask “Can we afford to hold this for years without flinching?” If you’re unsure of the answer, that’s where you need to focus. And while illiquidity is a given and can’t be eliminated in private markets, there are smart ways to navigate it. If you’d like to explore that via our network and selective secondary pathways that support long-term holding, reach out. Sunita Maheshwari Subhash Agrawal Nitin Jain Akio Moti Suman Majumder, Sena Medal Beenu Sapra Yash Raj Tripathi CA Vinod K Prajapat

🚨 𝗪𝗵𝗮𝘁 𝗕𝗶𝗹𝗹𝗶𝗼𝗻-𝗗𝗼𝗹𝗹𝗮𝗿 𝗙𝗮𝗺𝗶𝗹𝘆 𝗢𝗳𝗳𝗶𝗰𝗲𝘀 𝗔𝗿𝗲 𝗤𝘂𝗶𝗲𝘁𝗹𝘆 𝗗𝗼𝗶𝗻𝗴 𝗪𝗶𝘁𝗵 𝗧𝗵𝗲𝗶𝗿 𝗖𝗮𝗽𝗶𝘁𝗮𝗹 When I read the latest "UBS Global Family Office Report 2025", one takeaway stood out for me: 𝗔𝗹𝘁𝗲𝗿𝗻𝗮𝘁𝗶𝘃𝗲𝘀 𝗮𝗿𝗲𝗻’𝘁 𝗷𝘂𝘀𝘁 “𝗮𝗹𝘁𝗲𝗿𝗻𝗮𝘁𝗶𝘃𝗲” 𝗮𝗻𝘆𝗺𝗼𝗿𝗲, 𝘁𝗵𝗲𝘆’𝗿𝗲 𝗰𝗲𝗻𝘁𝗿𝗮𝗹. As someone deeply involved in building long-term value across private markets, I see this shift up close. #Familyoffices managing $1B+ are leaning in — 𝗻𝗼𝘁 𝗽𝘂𝗹𝗹𝗶𝗻𝗴 𝗯𝗮𝗰𝗸 — when it comes to conviction-based investing in private debt, infrastructure, and differentiated private equity plays. Here's what resonated most: 🔹 𝗣𝗿𝗶𝘃𝗮𝘁𝗲 𝗺𝗮𝗿𝗸𝗲𝘁 𝗮𝗹𝗹𝗼𝗰𝗮𝘁𝗶𝗼𝗻𝘀 𝗻𝗼𝘄 𝗺𝗮𝗸𝗲 𝘂𝗽 𝟰𝟰% 𝗼𝗳 𝗽𝗼𝗿𝘁𝗳𝗼𝗹𝗶𝗼𝘀 📈 Private debt has doubled. Private equity has pulled back for now, but over a third of family offices are planning increases in the next 5 years. This signals a belief in value creation over volatility. 🔹 𝗖𝗮𝘀𝗵 𝗶𝘀 𝗱𝗼𝘄𝗻, 𝗰𝗼𝗻𝗳𝗶𝗱𝗲𝗻𝗰𝗲 𝗶𝘀 𝘂𝗽 Cash holdings dropped from 10% to 8% as capital flows back into higher-yielding, long-horizon assets. 🔹 𝗚𝗼𝗹𝗱’𝘀 𝗿𝗲𝘀𝘂𝗿𝗴𝗲𝗻𝗰𝗲 = 𝗰𝗮𝘂𝘁𝗶𝗼𝗻 + 𝗱𝗶𝘃𝗲𝗿𝘀𝗶𝗳𝗶𝗰𝗮𝘁𝗶𝗼𝗻 A doubling in precious metals allocation shows families are still risk-aware, balancing yield with resilience. 🔹 𝗥𝗲𝗴𝗶𝗼𝗻𝗮𝗹 𝗱𝗶𝘃𝗲𝗿𝗴𝗲𝗻𝗰𝗲 𝗶𝘀 𝗿𝗲𝗮𝗹 US family offices are staying home (86% domestic allocation), while Asia-Pacific offices are holding more cash — potentially signaling dry powder for future opportunity. What strikes me most is this: 𝗗𝗲𝘀𝗽𝗶𝘁𝗲 𝘁𝗵𝗲 𝗻𝗼𝗶𝘀𝗲, 𝗹𝗼𝗻𝗴-𝘁𝗲𝗿𝗺 𝘃𝗶𝘀𝗶𝗼𝗻 𝗵𝗮𝘀𝗻’𝘁 𝘄𝗮𝘃𝗲𝗿𝗲𝗱. Many families are playing the infinite game, preserving wealth, yes, but increasingly also focusing on purpose, sustainability, and legacy. As someone who works closely with founders, family offices, and institutional partners, this report confirms what we’re already seeing: 𝗔𝗹𝘁𝗲𝗿𝗻𝗮𝘁𝗶𝘃𝗲𝘀 𝗮𝗿𝗲 𝗻𝗼 𝗹𝗼𝗻𝗴𝗲𝗿 𝗮 𝗻𝗶𝗰𝗵𝗲 — 𝘁𝗵𝗲𝘆’𝗿𝗲 𝘁𝗵𝗲 𝗳𝘂𝘁𝘂𝗿𝗲 𝗼𝗳 𝗽𝗼𝗿𝘁𝗳𝗼𝗹𝗶𝗼 𝗰𝗼𝗻𝘀𝘁𝗿𝘂𝗰𝘁𝗶𝗼𝗻. 🧭 The question isn’t whether to pivot, but whether your current strategy aligns with where the smartest capital is already going. What shifts are you seeing in your allocation #strategy? #FamilyOffice #PrivateEquity #AlternativeInvestments #WealthStrategy #CapitalAllocation #LongTermThinking

The Fed just made its latest move—again. But here’s what most investors still don’t get: It’s not the Fed that’s going to make or break your next multifamily deal. It’s this: the shrinking supply of value-add properties—and the growing demand chasing them. While everyone’s fixated on interest rates, here’s what the pros are watching: 🏗️ New construction has slowed dramatically 🏚️ Many older properties haven’t been upgraded in years 📉 Owners with high debt are holding on or can’t afford the rehab 📈 Meanwhile, demand for reasonably priced, livable housing is climbing That creates a massive opening for value-add investors who know how to: ✔️ Spot under-managed, under-rented assets ✔️ Improve operations, not just interiors ✔️ Create cash flow and long-term equity upside The truth is: The Fed doesn’t control your returns. Your business plan does. Stop waiting for rates to drop. Start looking for opportunities where you can force appreciation regardless of what the Fed does next. 📊 Recent data backs it up: → Rent growth in Q1 2025 was +0.8% YoY → Multifamily completions dropped 27% from late 2024 → Value-add inventory is tightening fast Source: Newmark Q1 2025 Multifamily Report, Yardi Matrix Are you letting headlines guide your strategy—or are you building wealth with facts?

Midwest Multifamily Boom: The $501M Bet You Shouldn’t Ignore What does it mean when one of the largest private owners of multifamily real estate writes a $501 million check—and it’s not in NYC, LA, or Miami? It means the smart money is moving where affordability + job growth = opportunity. The Big Move: Morgan Properties, one of the nation’s biggest landlords, just closed on a $501 million acquisition spanning 9,300 units across 18 communities in the Midwest. These aren’t luxury penthouses in high-cost metros. They’re workforce and middle-market apartments in places where rent is affordable, demand is steady, and competition from new supply is limited. Why the Midwest? 📈 Affordability Advantage – Renters can still find quality housing at a fraction of the cost of coastal markets, keeping occupancy high. 🏭 Job & Population Stability – Strong manufacturing, logistics, healthcare, and education sectors support consistent employment—and consistent renters. 🚧 Controlled Supply – Unlike overheated Sunbelt markets with oversupply risks, much of the Midwest is seeing limited new construction pipelines. 💰 Cap Rate Premiums – Higher yields compared to primary coastal metros allow for more attractive returns without speculative rent growth. The Bigger Picture: This deal signals a continued shift toward secondary and tertiary markets for institutional investors. While flashy gateway cities often get the headlines, cash flow and stability are winning over big portfolios. For smaller investors, the lesson is clear: You don’t have to be in the hottest market—you have to be in the right market. 📌 If you had $500M to invest in multifamily today—would you choose a high-growth Sunbelt city or a stable, affordable Midwest market? 👇 Drop your pick in the comments—I want to hear your reasoning. Reference: Morgan Properties Makes $501M Midwest Multifamily Acquisition: https://lnkd.in/et9Khy58 #Multifamily #CommercialRealEstate #RealEstateInvesting #CRE #MultifamilyInvesting #MidwestRealEstate #InstitutionalInvestors #RentalMarket #RealEstateTrends #InvestmentStrategy

The Multifamily Market Just Handed Us an Opportunity. Here's Why. 📊 Let me hit you with some numbers that should make every developer/investor stop and think: Multifamily starts? Down 74% from 2021. (CBRE, Q3 2024) Construction pipeline? Collapsing faster than anyone predicted. Everyone's panicking about oversupply. But the data tells a different story. Here's what actually happened: 2022-2023: Rates exploded. Projects stopped penciling. Starts fell off a cliff: down 70% from peak. (CBRE Research) 2024: That pipeline from the cheap money era kept delivering. 440,000 units hit the market. Vacancy climbed to 5.2%. (Fannie Mae, Freddie Mac) Rents? Negative growth in many markets for the first time in years. But here's what nobody's talking about (exception my friend Brad Hunter): Right now, for every 1.8 apartments finishing construction, only ONE is starting. (NAHB, Feb 2025) Read that again 👀: By 2026, deliveries will be cut in HALF. (CBRE) Ten of the sixteen largest markets already passed peak supply. The rest peak in 2025. The opportunity? It's staring us in the face. 🎯 → Cap rates jumped 155 bps from early 2022 to late 2023 (CBRE) → Cap rates now exceed pre-pandemic levels by 70 bps (CBRE) → Replacement costs? Through the roof from inflation → We can buy assets at pricing not seen in years While many are waiting for "the bottom," the opportunity is here now. Why this matters: The buy-vs-rent premium is still 32%. (CBRE) People literally cannot afford to buy homes, so they're staying renters longer. Job growth remains solid. Household formation continues. Supply is about to get TIGHT. Rent growth projected to accelerate to 4%+ by 2026. (CBRE, Freddie Mac) The timing for strategic acquisitions is becoming increasingly compelling. By late 2026, those sitting on the sidelines may find themselves competing for fewer opportunities at higher prices. This window won't stay open forever. ⏰ The best opportunities in multifamily happen when sentiment is worst but fundamentals are turning. We're in that moment right now. What are you seeing in your markets? Sources: CBRE US Real Estate Market Outlook 2025, Freddie Mac Multifamily Outlook, NAHB Market Research, Fannie Mae Multifamily Commentary #MultifamilyDevelopment #RealEstateInvesting #CommercialRealEstate #Apartments #CRE #MarketTiming #RealEstateDevelopment Southern Waters Capital

The housing market in Q1 2024 reveals striking differences in affordability across U.S. regions and states. While the national average shows that annual personal income covers 20% of home prices, the reality varies dramatically based on location. 🔸 Most Affordable States (Higher % of Income to Home Prices) West Virginia (34%) – The most affordable state, where incomes stretch further toward homeownership. Ohio (28%) & Pennsylvania (27%) – Midwestern affordability remains a key driver for SFR & workforce housing investments. Arkansas & Iowa (30%) – Lower home prices create opportunities for investors seeking strong rental yields. 🔹 Least Affordable States (Lower % of Income to Home Prices) Hawaii (8%) – The nation's least affordable state, where sky-high home prices push many toward long-term renting. California (11%) & New York (18%) – Coastal housing markets remain challenging for affordability, reinforcing strong multifamily demand. Washington & Oregon (14-13%) – The West Coast remains a tough market for homebuyers, favoring rental investments. Regional Takeaways for Investors: 📍 The Midwest & South continue to offer strong affordability, making them attractive for cash flow-focused SFR & multifamily investments. 🏙️ The Northeast & West Coast are constrained by higher home prices, fueling long-term rental demand and making build-to-rent strategies more viable. 📈 Sunbelt Markets (TX, FL, GA) remain middle-tier affordability but attract migration, creating a mix of ownership & rental demand. Understanding housing affordability at a granular level is essential for making data-driven investment decisions. Which markets do you see the most opportunity in? #RealEstateInvesting #Multifamily #SFR #HousingAffordability #PropTech #MarketAnalysis