In your view, what will be the main growth driver for alternative investments by 2030?
This transition is being led not by pension funds alone, but increasingly by private wealth – ultra‑high‑net‑worth individuals (UHNWIs), family offices, and wealth‑management platforms. According to widely cited industry forecasts, global alternatives assets under management (AUM) are expected to grow toward USD 32 trillion by 2030, representing a profound change in how portfolios are constructed and governed.
This shift reflects the erosion of the traditional portfolio model, the limited forward‑looking return potential of public markets, and the growing ability of private market structures to deliver long‑term returns, income, and inflation protection.
Alternatives are therefore becoming core portfolio allocations, not marginal satellites, reinforcing their long‑term growth trajectory.
Large families are increasingly investing in alternative assets. What are their main motivations?
“Large families are investing in alternative assets not because they are fashionable, but because they align far more closely with the way long‑term, multi‑generational capital is owned, governed, and deployed. Their motivations are structural rather than cyclical and can be summarised as follows:
• return quality over headline returns: families prioritise durable, cash‑generative and inflation‑resilient outcomes over short‑term performance optics;
• ownership, influence and control over delegation: direct investments, co‑investments and club deals allow families to shape outcomes, exercise governance rights and deepen conviction;
• resilience and capital preservation over volatility management: alternatives offer diversification across assets, time horizons and economic regimes, supporting wealth continuity across generations;
• alignment with generational objectives rather than benchmarks: capital is allocated according to family values, legacy goals and risk tolerance – not quarterly comparisons;
• nextgen engagement and capability building.
Alternative assets provide a natural platform for next‑generation members to engage meaningfully through:
• entrepreneurship, venture capital and innovation ecosystems;
• sustainability, impact and thematic strategies (energy transition, health, technology);
• direct operating exposure that builds skills, stewardship and long‑term accountability;
• for many families, alternatives are also a tool for intergenerational alignment – connecting financial performance with purpose, learning and continuity.
As a result, alternative assets are increasingly becoming core allocations rather than peripheral ones in large family portfolios, reflecting both financial discipline and generational strategy.
There has been a marked increase in their allocation to alternative assets. What explains this trend and their ability to deploy capital more quickly than other institutional investors?
“Large families and family offices have become one of the fastest‑growing and most influential sources of capital in alternative investments. Their surge in allocations is driven by structural portfolio needs – return quality, control, and long‑term capital preservation – rather than cyclical market timing. At the same time, they can deploy capital more quickly than pension funds, insurers, or endowments because they operate with permanent capital, simplified governance, and fewer regulatory and liquidity constraints. This combination makes them particularly well positioned to capitalise on private‑market opportunities when others are constrained.”
