Our Blog | FINTRX

May '23 Family Office & RIA Monthly Data Report

Written by Renae Hatcher | Jun 23, 2023 6:38:53 PM

In an effort to shine a light on the private wealth ecosystem, FINTRX Family Office & RIA Database provider has compiled the following data report to provide a high-level synopsis of the private wealth landscape for May 2023. This report offers an inside look at all FINTRX platform updates and additions made throughout the last month with metrics such as assets under management (AUM), alternatives utilized, fee structures, geographic breakdowns, separately managed accounts, family office direct transactions, RIA services provided and much more. 

May '23 FINTRX Private Wealth Data Report

 

Download the Report

Family Office Platform Additions

Throughout May, the FINTRX Data & Research team added 61 new family offices, 350 family office contacts and 420 newly tracked investments to our Family Office Dataset

  • - New Family Offices: 61
  • - New Family Office Contacts: 350
  • - Newly Tracked Family Office Investments: 420

 

 

Updated Family Office Entities

In addition to 830+ platform additions, the FINTRX made 4,515+ family office updates including 470+ family office firm updates and over 4,030+ family office contact updates. 

  • - Updated Family Offices: 478
  • - Updated Family Office Contacts: 4,037

 

 

Asset Class Interest Breakdown

When it comes to the asset class interest of newly added family offices, FINTRX saw a majority of firms allocating to real estate, via direct investments into private companies and private equity.

  • - Real Estate: 67%
  • - Direct Investments: 61%
  • - Private Equity: 59% 
  • - Long Only: 31%
  • - Venture Capital: 31%
  • - Debt: 26%
  • - Hedge Funds: 25%
  • - Fund of Funds: 3%

 

 

Single-Family Offices vs. Multi-Family Offices

Throughout May, 52% of newly added firms are single family offices (SFOs) while 48% are multi-family offices (MFOs).

  • - New Single Family Office Additions: 52%
  • - New Multi-Family Office Additions: 48%

 

 

Assets Under Management (AUM) Breakdown

A majority (39%) of newly added firms (that disclosed their AUM) have assets between $100M and $400M

- $50M-$100M: 4%
- $100M-$400M: 39%
- $400M-$1B: 26%
- $1B-$1.5B: 9%
- $1.5B-$2B: 9%
- $2B-$5B: 9%
- $5B+: 4%

 

 

Family Office Geographical Breakdown

A majority of newly added firms are headquartered in North America, accounting for 44%, while Europe is home to 36% of the new additions.

  • - North America: 44%
  • - Europe: 36%
  • - Asia: 10%
  • - Latin America/Caribbean: 5%
  • - Oceania: 3%
  • - Middle East: 2%

 

 

Newly Tracked Family Office Investments

Top 10 Sectors of Interest

A significant portion of newly added family offices showed direct investment activity in the technology sector with nearly 130 investments made. Other sectors attracting attention included healthcare & biotechnology, financial services, consumer goods and manufacturing.

  • - Technology: 30%
  • - Healthcare & Biotech: 13%
  • - Financial Services: 10%
  • Consumer Goods: 9%
  • - Manufacturing: 9%
  • - Real Estate & Construction: 7%
  • - Business Services: 5%
  • - Media & Entertainment: 2%
  • - Energy & Utilities: 2%
  • - Agriculture: 2%
  • - Other Sectors: 38%

May '23 Registered Investment Advisor (RIA) Data

 

RIA Data Highlights: May Platform Additions

  • - Total Registered Entities (including Dually Registered): 169
  • - Total Registered Contacts: 3,700+
  • - Total Accounts: 690+
  • - Firms Using Alternatives: 124 or 73%
  • - Assets Under Management: $14.5B+

 

 

Accounts Breakdown

  • - Total Accounts: 690+

The FINTRX RIA dataset saw a significant addition of discretionary accounts to our dataset in May, making up 99% of new accounts added.

 

 

Contact Breakdown by Rep Type

A majority (74%) of newly added RIA representatives are registered as broker-dealers. Smaller segments included those registered as investment advisors at 10% while owner-only and dually registered contacts each made up 8% respectively. 

  • - Broker-Dealers: 2,700+
  • - Investment Advisors: 360+
  • - Owner-Only Contacts: 300+
  • Dually Registered: 310+

 

 

RIA Client Base Breakdown

The newly added RIA firms added to FINTRX in May reveal that 74% of their RIA clientele are institutional, while individual and family clients account for 26%.

  • - Institutional Clients: 74%
  • - Individual & Family: 26%

 

 

Firm Size by Assets Under Management (AUM)

The size of an RIA firm can be measured by its assets under management (AUM), or the total value of assets the firm oversees on behalf of its clients. A majority (56%) of newly added RIA firms in May are considered 'Mid-Size' groups, with AUM between $100M and $500M. 

  • - Micro ($1-$25M): 18%
  • - Small ($25M-$100M): 4%
  • - Mid-Size ($100M-$500M): 56%
  • - Large ($500M-$5B): 18%
  • - Jumbo ($5B+): 4%

 

 

Rep Gender Breakdown

The gender breakdown of RIA representatives refers to the proportion of male and female advisors working in the RIA industry. As you can see below, 69% of RIA firms added to the FINTRX RIA dataset in May are male reps while 31% are female reps. 

  • - Male Reps: 800+ or 69%
  • Female Reps: 1,840 or 31%

 

 

RIA Services Provided

Of the new RIA firms incorporated into the FINTRX dataset, 69% offer portfolio management for individuals and small businesses, while 48% provide financial planning services. Additional investment advisory services provided include portfolio management for businesses and institutions, selection of other advisors, pension consulting services and educational seminars, among several others. It's important to note, RIA firms can and often have more than one service offered.

 

Top RIA Services Provided:
  1. 1. Portfolio Management for Individuals/Small Businesses: 69%
  2. 2. Financial Planning Services: 48%
  3. 3. Portfolio Management for Businesses/Institutions: 27% 
  4. 4. Selection of other Advisors: 23%
  5. 5. Pension Consulting Services: 20%
  6. 6. Educational Seminars/Workshops: 18%
  7. 7. Portfolio Management for Pooled Investment Vehicles: 9%
  8. 8. Publication of Periodicals/Newsletters: 2%
  9. 9. Portfolio Management for Investment Companies: 1%

 

 

Alternative Investments Utilized

Firm Level

The utilization of alternative investments by RIA firms varies, with some firms having a significant portion of their assets invested in alternatives, while others may have a more limited exposure. 74% of newly added RIA firms displayed some allocation to real estate within their investment portfolios. A smaller fraction displayed interest in hedge funds, private placements and private equity, among a variety of other alternatives. 

  • - Real Estate: 74%
  • - Hedge Funds: 41%
  • - Private Placements: 34%
  • - Private Equity: 31%
  • - REITs: 25%
  • - Commodities: 23%
  • - Venture Capital: 23%
  • - Oil & Gas: 22%
  • - Corporate Debt: 14%
  • - Fund of Funds: 8%
  • - Collateralized Debt: 8%
  • - Digital Currency: 7%
  • - Private Debt: 5%
  • - Managed Futures: 2%

FINTRX Overview

FINTRX is a unified data & research platform providing comprehensive data intelligence on 850,000+ family office & investment advisor records, each designed to help asset-raising professionals identify, access & map the global private wealth ecosystem. FINTRX data intelligence covers 3,700+ family offices, nearly 20,000 family office contacts, 40,000+ registered investment advisor entities, and 746,000+ registered reps. Data is sourced from 10+ public & private sources.

Equipped with 375+ search filters and numerous customization options, FINTRX allows you to seamlessly track where family office & investment advisor capital is flowing, uncover allocation trends, break down investments by sector & size, understand future investment plans and much more.