SUMMARY
Rather than solely focussing on wealth preservation, family offices are now actively seeking returns on their investments: Padaki
In the last three years, the favourite bets of family offices have been seed stage startups, mushrooming from fintech, ecommerce and enterprise tech sectors
The number of family offices actively taking part on an annual basis in startup investments will likely increase 5x to 735 by 2030 from 123 in 2023
In recent years, family offices have emerged as prominent players in the startup investment landscape within the country. According to Catamaran Ventures’ Deepak Padaki, this growing prominence can be attributed to a significant shift in the mindset of family offices.
Rather than solely focussing on wealth preservation, family offices are now actively seeking returns on their investments, he notes.
Padaki said this while speaking on “Elevating Investment Potential: Unleashing The Power Of Family Offices In Startups” at Inc42’s MoneyX conclave on July 20 (Thursday).
The panel also included Dr Aarti Gupta, CIO, DBR Ventures & Family Office DM Gupta and Munish Randev, founder & CEO of CERVIN Family Office. The session was hosted by Nitai Utkarsh, single family office lead, Hero MotoCorp.
“In the bay area, family offices are focussed on philanthropy or moonshots. In India, family offices have been investing in angel or around the business of family where they are comfortable. But now they are looking at series A and beyond for investing,” he added.
Apart from talking about the challenges that family offices face across areas such as portfolio management and deal flow, the panelists discussed in detail key pointers around family offices’ wealth allocation strategies, factors driving the rising startup investments from family offices and finding the right pathway for exits at the right time.
According to Inc42 Media’s latest Investor Landscape Report 2023, India currently has 300 family offices. Between January 2014 and June 2023, this investor class has invested in approximately 200 startups.
In the last three years, their favourite bets have been seed stage startups, mushrooming from fintech, ecommerce and enterprise tech sectors. Further, our estimates show that the number of family offices actively taking part, on an annual basis, in startup investments will likely increase 5x to 735 by 2030, from 123 in 2023.
Presented in partnership with Peak XV Partners, supported by Venture Catalysts, JSA, Samsung, IVCA Associates, Indian Angel Network, JIIF and Marwari Catalysts, MoneyX is aimed at bringing the driving forces of the Indian startup ecosystem under a single roof.
