BlackRock Research Finds Generational Divide Among Family Offices amid $124 Trillion Wealth Transfer

BlackRock survey of more than 200 single-family offices, conducted with Preqin, finds more than half adjusting portfolios as market risks shift.

Private markets remain a priority, but newer and established family offices are taking different approaches to where and how they invest.

Governance now ranks ahead of investment returns as a top challenge, while family offices grapple with succession, globalization and the growing role of AI.

As an estimated $124 trillion passes to heirs and charities between 2024 and 2048 ¹ , new BlackRock research finds a generational divide emerging among family offices, changing how some of the world's wealthiest families invest, manage risk and plan for succession.

BlackRock surveyed more than 200 single-family offices across the Americas, representing nearly $500 billion in investable assets, and found clear differences between newer and established offices in how they approach investing, liquidity, risk and governance.

Nearly four in ten family offices say the next generation is more willing to take investment risk, while only one fifth say younger family members are more conservative. Established family offices are more focused on market downturns, leverage and manager selection, while newer offices place greater emphasis on fees, transparency and illiquidity.

Governance and decision-making are now the most frequently cited challenge, with nearly 30% of family offices ranking them a top concern, ahead of investment returns. The finding points to a wealth transfer that is changing both portfolios and how families make investment decisions.

"As new family offices emerge and wealth changes hands, we're seeing a shift not only in appetite for risk, but in how families evaluate it," said Armando Senra, Head of the Americas Institutional Business at BlackRock. "Newer offices are approaching private markets and liquidity differently than their more established peers, reinforcing the importance of balancing investment opportunities with each family's unique cash-flow needs, constraints and long-term objectives."

Family Offices Are Divided on Liquidity, United on Private Markets

Private markets remain a priority for family offices, but newer and more established offices differ in where and how they invest.

Infrastructure stands out as an area of growing interest, with nearly three in ten family offices planning to increase allocations over the next 12 months and just over 5% planning to reduce exposure. Interest is strongest among newer family offices, nearly 40% of which plan to increase allocations, compared with just over 15% of established offices.

Private equity also remains a significant allocation, with more than half of family offices allocating over 15% of their alternative holdings to the asset class and over 30% planning to increase exposure over the next year. How they invest differs as 45% of newer offices favor secondaries, compared with just under 30% of established offices, while established offices show a stronger preference for co-investments (75% versus 60%).

At the same time, more than three-quarters of respondents cite the exit environment as a concern for returns.

Family offices also differ in how they view private credit. Established offices are more likely to see it as a source of income (nearly 35%) or diversification (just over 30%), while newer offices place greater emphasis on absolute risk-adjusted returns.

Approaches to liquidity vary widely – more than 25% of respondents target less than 30% of their portfolios in liquid assets, while nearly 25% target more than 60%. The range reflects the different ways families balance long-term opportunities, concentrated holdings and liquidity needs.

More than half of respondents are adjusting their portfolios as markets shift, most commonly by increasing diversification (35%). Just 10% are targeting higher returns, while fewer than 10% are reducing exposure to risk assets.

Governance and Succession Are Growing Priorities

More than four in ten family offices say the growing geographic dispersion of family members is creating new challenges. Among them, more than 70% cite tax and regulatory considerations and nearly 40% point to cross-border estate and succession planning.

More than half of respondents say AI is either increasingly important or core to their operations, particularly for research and productivity. Yet fewer than 10% say it is extensively integrated into investment decision making.

"Governance has overtaken investment returns as the top challenge facing family offices, yet nearly two-thirds report limited or no next-generation involvement in investment decisions," said Jessica Bulen, Head of U.S. Family Capital, Endowments, Foundations and Healthcare at BlackRock. "As wealth moves across generations, bridging that gap will be critical to ensuring governance, succession planning and investment decision-making evolve alongside increasingly complex portfolios over time."

About the Survey

BlackRock's 2026 Family Office Survey, conducted with Preqin, examines the investment priorities, portfolio construction approaches and operating challenges of more than 200 single-family offices across the Americas, representing nearly $500 billion in investable assets.

About BlackRock

BlackRock's purpose is to help more and more people experience financial well-being. As a fiduciary to investors and a leading provider of financial technology, we help millions of people build savings that serve them throughout their lives by making investing easier and more affordable. For additional information on BlackRock, please visit www.blackrock.com/corporate | X: @BlackRock | LinkedIn: www.linkedin.com/company/blackrock

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