Family Offices Increased Exposure to Chinese Markets
More global investors are boosting their Chinese holdings as concerns over US-China geopolitical tensions decline.
Updated on Sept. 22, 2026 in Investing
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A recent Citigroup survey of 351 global family offices found that 29% of those in Europe, the Middle East, and Africa now plan to increase their exposure to China. This shift occurs as fewer institutional investors view US-China tensions as a top concern compared to the previous year.
Why it matters
Family offices are adjusting their portfolio allocations to seek greater diversification, moving capital into markets perceived to have less political uncertainty. This pivot comes alongside significant trade growth between China, the European Union, and Africa reported during the first eight months of 2026.
In 2026, 22% of surveyed family offices cited US-China tensions as a top concern, a significant decline from 43% in 2025. Meanwhile, trade between China and the European Union rose by 12.4%, and trade with Africa grew by 23.3% during the first eight months of the year.
The players
Citigroup
A global banking institution that provides investment research and financial services to institutional and ultra-wealthy private clients.
The details
Family offices, which manage private wealth for ultra-high-net-worth households, use regular surveys to calibrate their investment strategies and asset allocations. By shifting capital toward China, these firms aim to hedge against broader economic instability, such as inflation, which 63% of respondents identified as a primary concern. The move reflects a broader attempt to tap into specific growth sectors and market opportunities that differ from domestic or North American holdings.
Timeline
2025: US-China tensions were a top concern for 43% of surveyed firms.
January to August 2026: Trade between China, the EU, and Africa grew by 12.4% and 23.3% respectively.
September 22, 2026: Citigroup published the Global Family Office Report.
Money Landscape
The shifting allocation toward China marks a change in global investment sentiment relative to the 2026 Citigroup Global Family Office Report findings. This pivot follows a year where inflation and geopolitical tensions dominated institutional planning cycles.
While these shifts reflect the actions of large family offices, they highlight the importance of reviewing your own portfolio's geographic diversification and exposure to international volatility. Investors should speak with a qualified financial professional to determine if their current asset allocation aligns with their risk tolerance.
The takeaway
Large-scale institutional investors are currently prioritizing diversification to mitigate the impacts of inflation and geopolitical friction. For personal finance, consider reviewing your own global market exposure with a professional to ensure your risk management strategy remains current.
Further reading
For more on how shifts in global sentiment impact portfolio construction, visit our Investing section.
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