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Similar to what we saw in 2010 and 2012, private equity investors are starting to demand cash returns. Here is how we’ve seen this trend impacting family offices: 1️⃣ Decision making Almost half of U.S. family offices have the family principal making investment decisions, while internationally, it's more common for committees to make these decisions (46% vs. 25% in the U.S.). 2️⃣ Cultural differences European and Asian family offices tend to think long-term, planning for decades ahead. In contrast, U.S. family offices often seek quicker returns, influenced by a culture of fast results. 3️⃣ Generational focus European family offices emphasize nurturing and educating the next generation, ensuring a smooth transition of wealth and responsibilities. This approach helps sustain the family's legacy over generations. Decision-making processes and cultural or generational differences can greatly affect the availability of funds when investors start asking for returns, like now. Understanding these differences can help family offices make better investment decisions and ensure long-term success. How is your family office handling these challenges? Feel free to share your thoughts or experiences below! #familyoffice #advisor
