In a continuing series of reports about panel discussions at the recent Family Wealth Report Family Office Investment Forum, this panel looked at the rapid growth of private markets, and how they should be considered.
The speakers at the panel were Claire Champy, vice president at Atlas Innovate; Gareth Lewis, founder and CEO at Delio, and Mrinalini Lhila, founder and managing principal, 360 Capital Advisors. The panel was moderated by Maxime Seguineau, founder and managing partner at Raido Capital Advisors.
Introduction
As private capital markets continue their rapid evolution, the ability to access, evaluate, and deploy capital with precision is becoming the true differentiator between success and stagnation.
The panel delivered actionable insights into how family offices and private investors are sharpening their approach across the full investment lifecycle.
Private markets at an inflection point
Public markets have shrunk dramatically over the past two decades: fewer than 15 per cent of companies generating over $100 million in revenue are publicly listed today. Meanwhile, individuals and families control nearly half of global wealth, but still account for only 16 per cent of assets managed by alternative investment funds.
At the same time, private capital markets have swollen to $13 trillion in AuM, with forecasts projecting growth to $20 trillion – or even $30 trillion – by the end of the decade. Family offices are stepping in: the average family office now allocates around 22 per cent of its portfolio to private equity, and 57 per cent expect to increase their private market exposure in the next two years.
Discovery: Sourcing in a crowded market
Sourcing differentiated deal flow is becoming harder, not easier. Claire Champy emphasized that even family offices with dedicated internal teams rarely match the sourcing reach of established private equity sponsors.
The solution? Collaboration. Rather than attempting to compete across all sectors, family offices are better served by forming trusted partnerships with a select few specialized sponsors, each offering depth in a particular industry or strategy.
Mrinalini Lhila reinforced this view: “It’s not about volume anymore – it's about fit, alignment, and bringing forward opportunities that truly match the family’s thesis.”
While private equity deal volume rebounded in 2024 – with global buyout activity up 37 per cent by value – dry powder remains abundant, heightening competition and making sourcing discipline even more critical.
Diligence: Precision matters more than ever
As competition for deals intensifies, diligence has evolved from standard checklists to a much more dynamic, granular process. Gareth Lewis highlighted that the rise of wealth technology platforms is enabling faster, more transparent pre-close diligence.
“In private markets, opacity used to be accepted. Today, investors demand clarity on operational execution, valuation assumptions, and reporting practices – before they commit a dollar,” Lewis said.
Technology is also transforming the diligence process itself, with AI-assisted evaluation becoming a standard practice across leading investment firms.
Delivery: Where trust Is cemented
Investors are increasingly scrutinizing what happens after the capital is deployed. Delivery – meaning administration, reporting, and ultimately exits – is now viewed as an extension of brand trust.
Gareth Lewis emphasized, “Delivery is no longer just an operational task – it's the final proof of your promise to investors.”
This focus is especially critical amid a backdrop of longer holding periods. Clear reporting, proactive communication, and aligned expectations are no longer optional – they are mandatory.
Family Offices: Flexibility Is an edge – if paired with discipline
Family offices possess a structural advantage in their direct mandates over institutional investors: flexibility. Unlike LPs wholly locked into closed-end fund cycles, family offices can move opportunistically during periods of market dislocation – and often extract better valuations and terms when others step back due to timing or rigid processes.
However, this advantage only translates into superior returns if paired with discipline and rigorous diligence. Flexibility without structure invites risk. Flexibility with discipline unlocks premium returns.
Closing insight: Execution is the differentiator
In today's private markets, access is abundant. Execution is the differentiator. As Maxime Seguineau summarized: “Discovery is a network. Diligence is a discipline. Delivery is a promise. And in today’s market, the firms that win are those that can keep all three aligned at scale.”
About Raido Capital Partners
Raido Capital Partners is an independent sponsor investing in technology companies powering the financial domain. With an investor base consisting predominantly of family offices and UHNWIs, it sources and structures deals from its proprietary network and provides operational augmentation post-investment. The firm’s general partners bring a wealth of experience as executives in investment management and enterprise software, as well as founders who have built and successfully exited technology businesses.