Adopt an investment strategy similar to the wealthiest families
Summary
Written transcription
So the second reason to invest in Altaroc is very simple. It's what the world's wealthiest families do. There's a very interesting graph here, and you can see the exposure. This is what we call family offices. In the US, these are families whose liquid assets exceed $200 million. So, you might say, Frédéric, we don't each have $200 million. No, but it does give you an interesting idea of what the world's wealthiest families do with their capital. When you have that kind of money, whether you send your kids to university or not, it won't change your life, it won't change your investment strategy. Buying a second home won't change your plans either. And these families have no regulatory constraints, they're totally free in what they do. What do they do with their assets? As you can see here today, over 30% of their total assets are invested in Private Equity. Ten years ago, they were about 10% less exposed to Private Equity. Clearly, Private Equity represents an asset class in which these families are investing more and more.
And for two simple reasons, it outperforms. Compared to listed markets, it's less volatile and perhaps more uncorrelated, so it's a major diversification tool. So where do we stand in France today? To put it simply, in France today, there are around 1,000 billion in high-end savings, 100 billion with CGPs, around 100,120 billion with CGPs and around 900 billion with private banks. This represents less than 1% of French wealth, less than 10 billion. Personally, I think it's much less than 1%, because when it comes to statistics, people fight. Is it 0.5? Is it between 0.5 and 1% of private clients' wealth invested in Private Equity? Very, very little. That's why I created Altaroc. Why weren't private clients invested at the time? Because there was no international offer of world-class quality. That's why we created Altaroc. So today, we're starting from an anecdotal rate of exposure of French private clients to Private Equity, while the wealthiest families are, as you can see here, very well equipped with more than 33% of their assets in Private Equity.
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