Faced with the challenge of addressing the high local and global volatility and uncertainty of recent months, originating in the world’s largest economy, and successfully managing the assets under management of many attendees, the fourth edition of the Family Office & Investor Summit is being held in Mexico City.
Mexico, immersed in a world of uncertainty but with opportunities
At the start of the session, Raúl Martínez, CEO of Black Bull Investors Club, highlighted the achievement of bringing together specialists in topics related to Family Offices and their environment, providing valuable information for attendees, especially in complex times like the ones the world is experiencing.
Carlos Serrano, chief economist for BBVA Mexico, opened the conference and detailed what he considers to be the pros and cons for the Mexican economy in the coming months.
– Mexico will end with less protectionism than currently observed in the United States.
– This will reactivate nearshoring.
– The country has a new administration that is much more open to private investment in infrastructure, especially in the energy sector.
– However, there are two major risks: security in the country and the judicial system.
Carlos Serrano said there is no longer any doubt that Mexico is experiencing a sharp slowdown in both growth and domestic consumption, which will inevitably lead to a deterioration in GDP.
However, in the end, when the new protectionist policy from the United States is finally accommodated, for better or worse, the country will be in a much better position. It will not lose its current role as a major partner of the world’s largest power, and investments will be reactivated. It is also important to remember that structural changes must also occur to boost the country’s growth, as this indicator is one of its major challenges.
Technology and strategies for wealth management
Managing a Family Office increasingly requires technological skills to achieve objectives ranging from capital preservation and taking advantage of investment opportunities to addressing challenges related to cybercrime.
Furthermore, investment strategies in the volatile Mexican and global markets must also adapt; diversifying at this time could become a matter of life or death for Family Offices.
Bonds, stocks, cryptocurrencies?: Investments in infrastructure and energy in Mexico stood out as one of the most important alternatives, especially with a government favorable to public and private investment in this sector.
The next generation is already here
The first day of the Family Office & Investor Summit concluded with a topic dedicated to reflecting on the role of the so-called “next generations,” who are actually already fully present both in the administration of Family Offices and even in senior management, as several of the new representatives have begun to take wealth management into their own hands.
The training that its members must have in various topics, their awareness to successfully manage the wealth they often inherit as the fourth or fifth generation, as well as the challenge of growing it, are no small feat, especially since there is no concrete recipe in a world as changing and full of challenges as the one we face today.
Source: fundssociety
