Privately run investment firms managing the wealth of ultra-wealthy families are reducing their exposure to U.S. assets and dollar-denominated holdings [1].
This shift indicates a growing lack of confidence in the stability of the North American market as a primary wealth preserve. By reallocating capital to other regions, these family offices are attempting to hedge against specific geopolitical and economic risks that threaten the long-term value of the U.S. dollar.
According to the 2025 Global Family Office Report from UBS, ultra-wealthy clients are actively cutting their U.S. exposure [2]. Data indicates that more than 25% of surveyed UBS family offices have already minimized or plan to cut their holdings in dollar assets [3].
Investors are moving capital toward other markets, with China emerging as a notable destination for these reallocations [1]. This movement represents a strategic pivot away from the traditional dominance of North American portfolios, a trend that has been reiterated in news coverage throughout this month [2].
Family office managers said several drivers led to this decision. Trade-war concerns and broader macroeconomic uncertainty have led these firms to prioritize diversification [1]. The goal is to reduce reliance on a single currency and a single national economy to protect family legacies from volatility [4].
Family offices operate as private vehicles for the world's wealthiest individuals, often managing billions of dollars in diversified portfolios. Because they operate with longer time horizons than traditional hedge funds, their movement away from U.S. assets suggests a structural shift in how the global elite perceive the risk profile of the American economy [1].
UBS said it continues to track these portfolio strategy shifts as a record transition in how global family offices approach wealth preservation [1].
“More than 25% of surveyed UBS family offices have minimized or plan to cut holdings in dollar assets.”
The reallocation of capital by family offices reflects a strategic pivot toward a multipolar financial world. When the ultra-wealthy reduce dollar-denominated holdings, it suggests a belief that the U.S. dollar's role as the sole global reserve asset is facing headwinds from geopolitical tensions and trade instability. This trend could signal a broader long-term decline in the perceived safety of U.S. markets compared to emerging opportunities in Asia.
