At The Family Office, we believe that artificial intelligence (AI) is a promising investment theme. We are however concerned about investors focusing on a single stock to determine their fate, which might negatively impact their investment portfolios. We recommend broadening their horizons.
Consumer confidence is currently improving, but there is a slowdown in the economy and the Federal Reserve (the “Fed”) is likely to cut interest rates in the September meeting. Therefore, it’s no longer possible to achieve total returns in the bond market. Instead, investors can receive dividends.
Interest rate cuts by the Fed support private equity investments, as private equity deals in the secondary market experienced steady growth of over 60% in the first half of 2024. With companies seeking growth amid the economic slowdown, they have no choice but to resort to inorganic growth strategies in the private equity sector.
Watch the full interview above.