Citi Wealth has released its 2026 Global Family Office Report, highlighting that family offices in the Asia-Pacific region achieved the strongest investment performance worldwide. Notably, 26% of APAC respondents reported year-to-date returns exceeding 15%, while 22% set annual return targets above 15%, a proportion nearly double the global average.

The survey, conducted from June to July, polled over 350 family offices across 41 countries, with 22% of participants hailing from the Asia-Pacific region. Results showed that 89% of APAC family offices recorded positive year-to-date investment returns.

Where APAC leads globally

APAC family offices outperformed their global counterparts, with 26% of regional respondents achieving year-to-date returns above 15%. This compares favorably to 10% of respondents in Europe, the Middle East and Africa, 5% in Latin America, and 11% in North America reporting returns exceeding 15% during the period.

APAC family offices also set the most ambitious return targets, with 22% expecting annual returns above 15%, nearly twice the global average. The report attributes this partly to robust performance in regional public equity markets, noting the Nikkei 225 Index climbed approximately 30% by mid-June.

Sophisticated risk management and direct investing

APAC family offices emerged as the most proactive region in navigating market volatility, with 62% adopting active investment management strategies and 49% utilizing hedging instruments, both significantly above global averages. Citi Wealth stated these findings reflect maturing risk management capabilities in the region, as family offices no longer view risk management merely as a defensive measure but employ active management and tactical portfolio adjustments to respond effectively to market changes while maintaining overall strategic direction.

The report also showed APAC leads globally in direct investment participation, with 79% of regional respondents engaging in direct investments. Additionally, 77% primarily source direct investment opportunities through internal teams, the highest proportion worldwide, indicating growing professionalism in investment expertise and deal sourcing capabilities.

AI tops APAC investment focus

Artificial intelligence has become the most prominent direct investment area for APAC family offices, with 80% of regional respondents listing AI as a priority investment focus, the highest rate globally. Beyond AI, healthcare, robotics, and software-related opportunities also garnered significant attention.

APAC family offices demonstrated the highest receptiveness to digital assets, with half of respondents indicating no significant barriers to adoption.

Bernard Wai, Citi Wealth's Head of Global Family Office Integrated Client Solutions for Asia-Pacific, commented that this year's survey demonstrates the APAC family office ecosystem is maturing, showcasing distinct entrepreneurial spirit, institutional-grade investment capabilities, and strong demand for global market connectivity. APAC family offices are becoming increasingly professional and sophisticated, with operating models, talent deployment, and governance structures evolving toward sovereign wealth fund investment thinking.

Outlook remains cautiously optimistic

Despite ongoing macroeconomic and geopolitical shifts, nearly 90% of all respondents across the over 350 family offices reported positive year-to-date portfolio returns, while 41% maintained annual return targets of 7% to 10%. Respondents expressed optimism about the outlook but remain mindful of risks including inflation, interest rates, and financial system stability.

Family offices are progressively integrating AI into investment analysis, information management, report generation, workflow automation, and decision support. They generally prioritize leveraging AI to enhance operational efficiency before exploring applications to improve investment performance, with final investment decisions remaining in the hands of experienced professionals.