Five Ways to Raise Capital From Family Offices
At a private equity summit in Singapore, Richard C. Wilson presents advice for fund managers seeking capital from family offices.
Richard C. Wilson speaks about practical ways fund managers can raise capital from family offices. He draws on his work with fund managers and family offices, and on interviews with family offices for a book, to explain how managers can earn attention and build relationships.
In this video: Richard C. Wilson (Capital raiser and presenter)
What they said
- Richard on investor focus. Richard says pursuing several investor types at once can slow a small team down. He recommends narrowing the target so managers can hear investors' needs and adjust their approach.
- Richard on expert status. Richard advises managers to become known for a specific investment niche. He says books, research and speaking can help show that a team is committed to its area.
- Richard on long-term fund practices. Richard says family offices look for fund managers with strong reporting, well-built teams and multi-year incentives. He says his firm looks for these qualities when working with managers.
- Richard on referral relationships. Richard suggests starting by helping accountants, advisers, consultants or investment bankers build their networks. He says these relationships may lead to introductions to family offices.
- Richard on the capital raising funnel. Richard describes a path from articles, interviews, white papers, books and speeches to meetings and capital. He says people can move through the steps slowly, quickly or skip some.
In their words
"the more we share our knowledge, the more relationships and the more opportunities are coming to us"
"They don't want to be ignored by a large fund that's too good for their $10 million or their $50 million investment."
Why it matters if you are building or preserving great wealth
Richard says a hedge fund contact received his Singapore family office white paper through three different sources. That example suggests managers can learn whether their research is reaching investor teams by listening for how it gets passed along.
From Richard's exclusive Billionaires.com interviews
Lessons from Richard C. Wilson's one-on-one interviews, as published on each interview page.
- Anu Aga: Focus on one main cause. Her family found its giving more satisfying and impactful once it chose primary education for the underprivileged in India.
- Binod K. Chaudhary: Never chase a deal out of desperation. Stay cool and look at every part of the deal. Have your advisers and your finance team review it critically. Your counsel should review it too.
- Larry Connor: Learn from every mistake. Larry's team owns its failures and makes no excuses. They learn, change quickly, and keep getting better.
See the data
Frequently asked questions
Who is the presentation aimed at?
Richard says it is geared toward private equity funds, though he says the approaches can also apply to other types of fund management firms.
What did Richard include in his family office research?
Richard says he interviewed family offices around the world, including large single family offices and midsize multifamily offices.
How does the need for portfolio income differ by family office size?
Richard says single family offices far over a hundred million in assets typically have less short-term need for income. He says smaller family offices might need a stronger income component in their portfolios.
Sources
Quotes are copied from the video captions and checked against the transcript. Timestamps link to the moment in the video. General information only, not legal, tax or investment advice.