According to a survey by Citigroup Private Bank, family office clients increased their allocation to stocks and hedge funds in the second quarter, while their interest in fixed income assets slightly rebounded and further reduced their holdings in cash. In terms of the stock market, clients in the previous quarter preferred large cap stocks in mature markets, with a slight decrease in allocation to mid and small cap stocks (excluding North America), while investments in emerging market stocks decreased or remained flat. In terms of stock allocation based on equal weight benchmarks, the Asia Pacific family offices had the highest allocation at 40.4%; North America at 36.3%; Latin America at 34.4%; and Europe, the Middle East, and Africa had the lowest allocation at only 30.5%. Regarding Asia Pacific family office clients, Citigroup Private Bank mentioned that there was a net inflow in fixed income assets in the second quarter, which was almost twice the inflow in the first quarter. Diversified fixed income assets also saw net inflows, with levels similar to investment grade bonds in mature markets and sovereign bonds. In terms of capital weighting, the allocation to high yield corporate bonds in mature markets increased. Purchases included bonds in sectors such as finance, energy, and real estate, while sales mainly involved sustainable bonds in certain areas of the finance industry. In terms of stocks, Citigroup Private Bank noted that there were net inflows for the third consecutive quarter, reflecting an increase in stock allocation by family offices. Large cap stocks in mature markets were the main drivers of net inflows in US dollars, with the inflow speed in the second quarter about double that of the first quarter. The trading of US technology stocks and ETFs contributed to the net inflows, while several Japanese stocks were also favored. Intra-quarter, net outflows were recorded for mid and small cap stocks in mature markets, with trading activities spread across various industries and regions. Emerging market stocks saw net outflows in the second quarter, with buying activities spread across various industries, while selling activities were mainly concentrated in information technology, non-essential consumer goods, and communication services. As for emerging market bonds, there were net outflows mainly due to bond maturity.