Family Offices Face Liquidity Risks From Concentrated Passion-Asset Portfolios

For many affluent families, a family office has become an indispensable ally in preserving and growing wealth and managing financial complexities. More than 4,500 family offices (triple the number in 2019) together manage some $6 trillion in assets. 1 Yet even as they advise on investments ranging from private equity to real estate and mineral rights, family offices may not fully account for the implications of another kind of asset: art collections. “A significant collection may affect a family’s larger financial picture, from liquidity and credit to risk management and wealth transfer,” says Elizabeth Thiessen, head of Family Office Solutions at Bank of America Private Bank. “It’s vital to bring a similar level of planning and strategy to art and collectibles as you do for other asset classes.” It’s vital to bring a similar level of planning and strategy to art and collectibles as you do for other asset classes. Of course, a painting is not a share of stock. “Most collectors invest for personal pleasure and buy what they love,” says Rosemary Ringwald, Head of Art Planning, Planning Center of Excellence, Bank of America Private Bank. The emotional component makes a potential acquisition more nuanced and subjective than, say, buying into a hedge fund. Moreover, the art market can be complex, opaque and mystifying to outsiders. For all their expertise in portio

Aug 12, 2026 The hidden balance sheet: Finding more liquidity opportunities Policy uncertainty, trade risks, and changing interest rate predictions have made portfolio resilience more important than ever. Portfolio resilience enables you to stay fully invested in the market during turbulent times, assured that your portfolio is positioned to meet your wealth goals under a wide range of economic and market outcomes. But what if you also need liquidity—especially on short notice? Selling securities risks disrupting the positioning that ensures portfolio resilience. Being out of the market, even for a short period of time, increases the risk of missing out on significant returns. A resilient portfolio doesn’t happen by chance. It’s the product of proactive management, customization, and discipline, allowing you to build resilience over a portfolio’s lifetime. If each asset in your portfolio reacts in concert with external forces or market events, the effects of those events will be magnified. That’s why it’s important to consider alternative assets that are not correlated with public market stocks and bonds. Core real estate — high quality buildings with stable cash flows and established tenants — and infrastructure such as toll roads, airports, power and transportation networks, are negatively correlated with public assets and positively correlated with inflation. That makes them

If we have selected the wrong experience for you, please change it above. We were delighted to announce that the 17th Deloitte Private Art & Finance Conference took place on Tuesday, 4 November 2025 , at Citi Global Headquarters in New York City. During the event, we presented the results of our 2025 Art & Finance Report (9th edition) and heard from panellists who discussed top-of-mind topics for wealth management professionals. The Great Wealth Transfer is well underway. As assets shift from one generation to the next, family offices are asked to meet the needs and preferences of this next generation of investors. They are different from their predecessors, and several questions can be asked: Will they see art as a viable investment vehicle? How will art be used for philanthropic and social impact? From art-secured lending trends and tax considerations to fractional investment and collection management, we explored the many innovations taking shape at the intersection of finance, culture, and business. Download your copy of the 2025 Art & Finance Report Click here A wealth of innovation: Bridging art and wealth management in 2025 John Psaila, CEO & Managing Partner, Deloitte Luxembourg Roger Arrieux, New York Managing Partner, Deloitte LLP Adriano Picinati di Torcello, Global Art & Finance Coordinator, Deloitte Luxembourg Christopher Bleuher, Senior Manager, Deloitte US Art &

The Art Basel and UBS Global Art Market Report 2026 , authored by Dr. Clare McAndrew of Arts Economics has just been released and it is signalling a cautiously optimistic turn for the art trade. The global art market grew by 4% year-on-year to an estimated USD 59.6 billion, after two challenging years. Whereas weakness at the top end had dragged global values down in 2024, the 2025 uptick was led by renewed activity at the high end and a rebound in public auction sales. The report also noted strong auction results, an increase in art fair sales, and greater gender parity in gallery representation. However, performance across regions and segments was uneven, as the art market navigated trade policy unpredictability associated with US tariffs and global inflation. Online sales, a promising new channel in recent times for dealers and auction houses alike, were also found to be losing momentum as transactions migrated back to in-person channels. Here are seven takeaways. The Art Basel and UBS Global Art Market Report 2026 can be downloaded for free here . 1. The global art market returned to growth amid ongoing recalibration Sales in the global art market increased by 4% year-on-year to an estimated USD 59.6 billion. While this marked a welcome shift in the direction of the market following two consecutive years of declining values, the recovery was moderate, leaving the market bel

Wealth Planning Receive a multigenerational wealth plan with personalized strategies and guidance. Investing Experience a holistic approach to investing, centered on your goals and priorities. Lending Unlock liquidity with a variety of customized lending products, strategies and solutions. Banking Access a variety of banking products and services tailored to your needs. Family Wealth Access a suite of family wealth services to help you navigate the distinct opportunities and challenges of family wealth. Sharpen your knowledge with the latest wealth engagement news, market commentary and planning education. Family Wealth Institute Access educational resources designed to help build and preserve your family legacy. Access educational resources designed to help build and preserve your family legacy. Discover our approach, digital tools and community initiatives. Join our team See how we support our elite advisors. Transferring wealth is an act of benevolence, but you shouldn’t do it without considering the type of transaction a gift represents. Wise givers will take into account the needs and wants of the recipient as they decide how to give and how much. The details of a gift, including how much to give and in what form, will impact the taxes you have to pay and how the recipient will be able to use the funds. Head of Family Dynamics for J.P. Morgan Wealth Management Wealth struc

Collector and CEO of Global Street Art, Lee Bofkin believes the value of collecting lies not in money, but in taste, knowledge and time. His London studio contains more than 100,000 objects – fragments of advertising history, packaging, postcards, badges and ephemera spanning more than a century, assembled over decades of collecting. When asked which piece matters most, Bofkin chooses a small Limoges brooch he recovered while mudlarking on the banks of the River Thames. “You can see this has been in the Thames for more than 100 years,” he says, “It represents the time, effort, care, curation and skill that’s gone into this whole project.” Enthusiasm for collecting continues, but it’s shifted towards more esoteric objects whose value lies in knowledge, rarity and personal meaning. For Bofkin, there is an important difference between accumulating and collecting: while the former displays wealth, the latter signals something more culturally important. “Collecting is not conspicuous consumption – it’s conspicuous taste,” he says. “People want to demonstrate luxury as a sense of taste.” Collecting is ultimately an act of preservation. “The reason this stuff is so valuable is that money can’t buy it,” Bofkin adds. “Only time can.” We asked a panel of market specialists for their picks of the assets gaining traction. Investment-grade fashion is going mainstream. The category also brin