Henry Bregstein, global co-chair of the Financial Services practice, was quoted in Private Equity Legal & Compliance Digest on trends in family offices making more direct investments instead of in private equity. Henry stated, "I continue to see family offices making significant direct investments. If the person who has a family office comes out of a particular industry—for example, hospitality—the family office may stay narrowly focused on investments in that area. Family offices of asset managers or former asset managers tend to invest in a broad spectrum of direct investments." He noted that investment strategies do vary. "It really depends on the family office, because some will make a majority of their investments directly, and only a small percentage will be made through a third-party fund. There is a different investment strategy in every family office, so it's hard to really identify a trend, but I certainly see family offices who make significant direct investments." Another trend Henry noted was in family offices partnering together to make investments as a small group. Direct investing can pose challenges to family offices. He added, "Managers also have a great deal of expertise that can't be discounted and that family offices don't have access to when making investments directly. You may get a certain level of expertise and deal sourcing through in-house personnel or from another family office, but sometimes it isn't on the same level as an experienced and successful manager." ("More Family Offices Sidestepping Private Equity Allocations to Achieve Greater Control and Lower Fees Through Direct Investments," May 12, 2017)