Global Family Office Priorities in 2025: What the Data Reveals

Sixty-eight percent of family offices worldwide plan to increase their allocations to private markets over the next 24 months, according to Ocorian's 2025 Global Family Office Report — a finding that carries direct implications for principals managing multigenerational capital across Asia-Pacific. The report, drawn from a structured survey of senior family office decision-makers globally, maps the dominant themes of governance reform, succession risk, alternative allocations, and regulatory adaptation that are reshaping how sophisticated family offices operate. For principals in Singapore, Hong Kong, and Dubai, the convergence of these pressures is arriving precisely as regulators tighten oversight frameworks and next-generation beneficiaries begin asserting influence over investment mandates.

Why does this matter personally to a family office principal in Asia? Because the structural choices being made right now — on governance architecture, jurisdiction selection, and asset class exposure — will define the operational and tax efficiency of the office for the next decade. The 2025 data makes clear that family offices which delay formalising governance and diversifying beyond public markets are increasingly out of step with global peers. Regional principals who benchmark against this data have a concrete basis for board-level conversations about strategic repositioning.

Private Markets Allocation: The 68% Consensus and What Drives It

The headline figure from Ocorian's report — 68% of family offices intending to grow private markets exposure — reflects a structural reallocation rather than a cyclical trade. Respondents cited private equity, private credit, and real assets as the three preferred sub-asset classes, with private credit attracting particular interest given its yield advantage over investment-grade fixed income in a normalised rate environment. The average target allocation to alternatives among surveyed offices already stands at 37% of total AUM, a figure that has risen from approximately 28% three years ago.

For Asia-Pacific offices, this trend intersects with a maturing regional private equity. Southeast Asian growth equity, Japanese buyouts, and Indian infrastructure debt are now accessible through institutional-quality fund structures that were unavailable to regional family offices a decade ago. Principals who have historically concentrated in listed equities and direct real estate are facing a genuine opportunity cost relative to peers who entered private markets earlier. The Ocorian data suggests that co-investment alongside lead sponsors is the preferred access route, cited by 54% of respondents as their primary method of gaining private markets exposure — a model that reduces fee drag while preserving deal selectivity.

"54% of family offices globally prefer co-investment alongside lead sponsors as their primary route into private markets — a model that cuts fee drag while preserving deal selectivity." — Ocorian 2025 Global Family Office Report

The shift also has implications for operational infrastructure. Co-investment programmes require robust deal sourcing networks, legal capacity to review term sheets on compressed timelines, and risk management frameworks capable of handling illiquid positions. Family offices that lack dedicated investment professionals for private markets due diligence are increasingly partnering with multi-family office platforms or outsourcing the function to specialist advisers. This structural response is itself a finding of the report, with 41% of respondents indicating they had expanded their use of external investment managers in the past 18 months specifically to access private market deal flow.

Governance and Succession: The 43% Risk That Principals Cannot Ignore

Ocorian's report identifies succession planning as the single most frequently cited governance risk, with 43% of respondents describing their current succession framework as either incomplete or under active revision. This figure is consistent with broader industry surveys but takes on heightened significance in the Asia-Pacific context, where first-generation wealth creators are reaching transition age at an accelerating rate. The report notes that family offices with formalised family constitutions and independent board structures report materially higher confidence in succession outcomes — yet fewer than one in three offices surveyed had a fully documented family governance charter in place.

The regulatory environment in key Asian jurisdictions is beginning to reflect this governance imperative. The Monetary Authority of Singapore (MAS) has progressively tightened the conditions attached to its Section 13O and Section 13U tax incentive schemes for single family offices, with the 2023 revisions requiring minimum AUM thresholds of S$10 million and S$50 million respectively, alongside mandatory local investment conditions and a requirement to employ at least one investment professional who is a Singapore resident. These conditions effectively enforce a baseline of operational seriousness that incidentally strengthens governance discipline. Offices that structure under the Variable Capital Company (VCC) framework in Singapore gain additional flexibility for multi-strategy deployment while satisfying MAS's substance requirements.

In Hong Kong, the Open-ended Fund Company (OFC) structure offers a comparable vehicle for family offices seeking a regulated but flexible wrapper for multi-asset portfolios, with the Securities and Futures Commission (SFC) overseeing compliance. The DIFC in Dubai has similarly positioned itself as a governance-friendly domicile through its Family Wealth Centre, which provides bespoke structuring support and access to DIFC Courts for dispute resolution — a meaningful consideration for families with cross-border assets and multiple citizenship profiles. The Ocorian data shows that 29% of respondents maintain structures across more than two jurisdictions, a figure that rises to 47% among offices managing AUM above US$500 million.

Next-Generation Influence and the ESG Allocation Shift

One of the more nuanced findings in the Ocorian report concerns the accelerating influence of next-generation family members on investment policy. Among offices where the primary decision-maker is under 45 years old, ESG-integrated mandates account for an average of 31% of the total portfolio — compared with 14% in offices led by principals over 60. This generational divergence is not simply a values story; it reflects a genuine belief among younger principals that ESG integration improves risk-adjusted returns over a 10-to-20-year horizon, particularly in sectors exposed to climate transition risk and social licence pressures.

The data suggests that family offices which treat ESG as a compliance overlay rather than an investment lens are likely to face internal governance friction as generational transitions occur. The Ocorian report recommends that offices develop a formal investment policy statement that explicitly addresses ESG criteria, impact thresholds, and exclusion lists — a document that can serve as a reference point for both current and future generations. In Asia, this is particularly relevant given the growing regulatory push from MAS and the SFC toward mandatory climate-related financial disclosures for large asset managers and institutional investors.

Philanthropy is a related dimension. The report finds that 62% of family offices with AUM above US$250 million have a structured philanthropic vehicle — a private foundation, donor-advised fund, or charitable trust — compared with just 34% of smaller offices. Principals who integrate philanthropy into the family office structure, rather than managing it separately, report stronger next-generation engagement and clearer alignment on the family's long-term values framework. This integration also creates tax planning opportunities in jurisdictions such as Singapore and Hong Kong that offer concessional treatment for qualifying charitable donations made through recognised vehicles.

Talent, Technology, and the Operating Model Under Pressure

The Ocorian report dedicates significant attention to the operational pressures bearing on family office management teams. Talent acquisition is cited as a top-three operational challenge by 57% of respondents — a figure that reflects both the scarcity of experienced family office professionals and the compensation competition from private banks and asset managers. In Singapore and Hong Kong, where the family office sector has expanded rapidly following MAS and SFC incentive programmes, the demand for qualified chief investment officers, risk managers, and compliance officers has outpaced supply.

Technology investment is the primary mitigation strategy. The report finds that 49% of family offices are actively implementing or evaluating portfolio management systems with consolidated reporting capability, while 33% are investing in cybersecurity infrastructure following a rise in targeted phishing and social engineering attacks against high-net-worth families. The shift toward digital infrastructure is not optional; it is a prerequisite for the governance standards that regulators and sophisticated counterparties now expect. Offices that continue to rely on spreadsheet-based reporting and fragmented custodian statements are exposed to both operational risk and reputational risk in due diligence processes.

Strategic Takeaways for Asia-Pacific Family Office Principals

1. Benchmark private markets allocation against the 37% global average and develop a written investment policy that addresses illiquidity budgeting, co-investment governance, and manager selection criteria.
2. Review succession documentation against MAS, SFC, or DIFC requirements for your primary jurisdiction; a family constitution and independent board are increasingly baseline expectations, not best practice aspirations.
3. Assess VCC or OFC structuring if your office manages multiple strategies or anticipates onboarding additional family branches — both vehicles offer flexibility that traditional trust structures cannot replicate.
4. Formalise ESG policy before the next generational transition, not after; the Ocorian data shows that offices which develop this framework proactively avoid costly governance disputes later.
5. Audit technology infrastructure against the 49% of peers actively upgrading consolidated reporting — fragmented data is both an operational and a regulatory risk.
6. Address talent gaps structurally, either through dedicated hiring, outsourced CIO arrangements, or multi-family office partnerships, rather than asking generalist staff to absorb specialist functions.

What to Watch: Forward-Looking Indicators for 2025–2026

Several regulatory and market developments will materially affect family office strategy in the near term. MAS is expected to publish updated guidance on the Section 13U scheme's local investment conditions in the second half of 2025, with particular attention to how digital assets and private credit vehicles qualify under the eligible investment categories. The SFC in Hong Kong is progressing its family office regulatory framework, with consultation papers expected to address governance standards and reporting obligations for offices managing assets on behalf of multiple family branches — a move that will affect multi-family office operators in particular.

In Dubai, the DIFC Family Wealth Centre is expanding its dispute resolution infrastructure, and the UAE's introduction of a 9% corporate tax rate from June 2023 has prompted a review of holding structures among families with significant UAE-based operating assets. Principals with cross-border structures spanning Singapore, Hong Kong, and Dubai should conduct a jurisdiction review in light of these concurrent regulatory changes before the end of 2025. The Ocorian report's finding that 47% of large family offices already maintain multi-jurisdictional structures suggests that regulatory arbitrage is being replaced by a more nuanced approach to jurisdiction selection based on substance, governance quality, and long-term political stability.

Frequently Asked Questions

What does the Ocorian 2025 Global Family Office Report say about private markets allocation?

The report finds that 68% of family offices globally intend to increase private markets allocations over the next 24 months, with the average current allocation to alternatives already at 37% of total AUM. Private equity, private credit, and real assets are the preferred sub-classes, and 54% of respondents favour co-investment alongside lead sponsors as their primary access route.

How do MAS requirements affect Singapore family office structuring in 2025?

The Monetary Authority of Singapore's Section 13O and 13U tax incentive schemes require minimum AUM of S$10 million and S$50 million respectively, with mandatory local investment conditions and at least one Singapore-resident investment professional. The Variable Capital Company (VCC) structure offers additional flexibility for multi-strategy deployment while satisfying MAS substance requirements.

What governance steps should a family office take before a generational transition?

The Ocorian report recommends formalising a family constitution, establishing an independent board, and developing a written investment policy statement that addresses ESG criteria and exclusion lists. Fewer than one in three offices surveyed had a fully documented family governance charter, despite it being the most cited risk factor in succession planning.

How are next-generation principals changing family office investment mandates?

In offices led by principals under 45, ESG-integrated mandates account for an average of 31% of the total portfolio, compared with 14% in offices led by principals over 60. The report recommends proactively developing a formal ESG policy to prevent governance friction during generational transitions.

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