TLDR:
- A Singapore family office, Golden Vision Capital, prefers private equity investments over private credit for growth.
- Private equity allows for active involvement in business operations and valuable education.
A Singapore-based single-family office, Golden Vision Capital, has expressed a preference for private equity investments over private credit despite the latter’s solid performance in recent years. The managing director of the family office, Riady Gozali, highlighted the advantages of private equity in providing growth opportunities and aligning well with the entrepreneurial nature of families seeking growth. The family office focuses on investments in Southeast Asia and the US through buyout funds, growth funds, and venture capital funds globally in the private equity space. The UBS Family Office Report 2024 also supports this preference for private equity over private credit by family offices, showing a higher asset allocation to private equity.
While private credit investments focus on underwriting governance and the ability to pay, private equity investments offer the family a foundation of understanding business operations and common principles. Gozali pointed out the intangible benefits of active involvement in the business world through private equity investments, providing valuable education and experience to younger family members.
Golden Vision Capital is sector-agnostic but has identified technology, health, and consumer segments as areas with growth potential. The family office is also studying sustainability-related sectors like the green economy. They are investing in companies beyond the early stage and looking for growth capital, such as Series B and beyond. Gozali recommended collaborating with fund managers specializing in preferred sectors to address knowledge gaps and make more informed investment decisions in private equity.
Overall, Golden Vision Capital’s focus on private equity investments reflects their preference for growth opportunities and active involvement in business operations, aligning well with the entrepreneurial nature of family offices seeking growth over stability.
