Ultra-wealthy investors' three top concerns in 2015

GOING by conversations with our clients, super-wealthy investors appear to have three key concerns going into 2015. The first concern is evergreen. Ultra-high-net-worth (UHNW) individuals or their families have typically made their fortunes in specific industries and regions. Their wealth tends to be disproportionately concentrated in those areas. They need to diversify away from those holdings without completely exiting their traditional core business.

In Asia and certain other regions, however, these concerns have recently become more acute. As emerging markets slow and European growth falters, the average value of listed businesses in those regions has risen slower than, say, in the United States. Diversifying portfolios globally has become more urgent.

The second concern is particular to the past six years: how to find an acceptable home for investors' cash. Developed market interest rates have remained at historic lows since the financial crisis, meaning yields on hard currency have remained at record lows too. Moreover, these super-low rates have failed to prevent fearful investors from accumulating massive cash piles.