Wealthy Families Grow Cautious on Geopolitics but Shun AI, Crypto, and Gold

Geopolitical tensions—cited as the top risk by **64%** of global family offices in J.P. Morgan Private Bank’s 2026 Global Family Office Report—are driving ultra-wealthy investors toward caution and capital preservation rather than aggressive bets.

Surveying 333 single-family offices (average net worth $1.6 billion) across 30 countries, the report shows rising concerns over conflicts, trade disputes, tariffs, and fragmentation. Yet, instead of piling into traditional hedges, many favor stability-focused assets: cash/short-term bonds, high-quality dividend equities, real estate in politically stable regions, private credit, and infrastructure for reliable cash flow.

**AI** emerges as the leading theme—**65%** plan to prioritize it (ahead of healthcare, infrastructure)—for its transformative potential, though actual exposure remains limited (many lack venture/growth equity or AI-enabling infrastructure allocations).

In contrast, **crypto** and **gold** see broad avoidance: **89%** hold **no cryptocurrencies** (average allocation ~0.4%; only 17% prioritize digital assets), viewing them as volatile and regulatory-risky. **72%** have **zero gold exposure**, preferring income-generating alternatives over non-yielding safe havens amid speculation-driven fluctuations.

Geographic diversification grows, spreading portfolios across North America, Europe, and stable Asia to reduce single-country reliance. Some boost defense and supply chain investments anticipating prolonged competition.

This cautious stance—emphasizing resilience, governance, and long-term income over short-term trends—highlights a divide: ultra-wealthy investors prioritize proven, cash-flow assets during uncertainty, unlike retail pursuits of hype-driven themes like crypto or speculative AI plays. While geopolitics weighs heavily, family offices build shock-resistant portfolios focused on preservation and steady returns rather than crisis hedges.