What is Direct Investment?
Direct investment involves investing directly in assets such as real estate or companies, without using intermediaries like mutual funds or ETFs. This approach allows investors, such as family offices, to have greater control over their investments and potentially achieve higher returns by eliminating management fees and other intermediary costs.
Benefits of Direct Investment for Family Offices
Family offices often prefer direct investments due to the ability to tailor investments to specific family goals, gain deeper insights into the assets, and build long-term relationships with businesses. This strategy can also provide opportunities for active involvement in the management and strategic direction of the invested companies or assets.
