The ultra-rich haven't lost faith in AI and health care—yet deal-making is slowing to a crawl.
Wall Street may be showing early signs of a rebound, but the private investment world of billionaire family offices is still treading cautiously. The numbers tell the story: in September, they made just 54 direct investments—a staggering 46% drop compared to the same month last year, according to exclusive data from private wealth platform Fintrx.
But here's where it gets intriguing: even as overall activity cools, the big names are still throwing serious money behind bold, potentially transformative ventures. Take Jeff Bezos, Amazon's legendary founder, and Eric Schmidt, former Google CEO. In September, their family offices joined forces to pump $300 million into Periodic Labs—a startup powered by ex-OpenAI and DeepMind scientists aiming to reinvent how scientific research is conducted. Their vision? AI-driven robotics running experiments in the lab, potentially accelerating breakthroughs by orders of magnitude.
Health care and biotech remain hot territory too. Harbor Health, which runs a network of primary-care clinics, secured $130 million from investors including Michael Dell’s DFO Management, Breyer Capital, and Martin Ventures. Harbor’s plans for the cash are ambitious—expanding insurance offerings and opening more clinics. Its chief medical officer, Dr. Clay Johnston, previously led Dell’s namesake medical school at the University of Texas at Austin.
A slowdown in private equity is also creating space for family offices to swoop in and make opportunistic plays. Case in point: the Mitchell Family Office, based in Birmingham, Michigan, snapped up luxury beauty retailer Cos Bar for an undisclosed sum. Principal Mark Mitchell said his deal was accepted in under a month—fast by acquisition standards. Cos Bar, previously owned by private equity for nine years, was the final asset in that fund.
Mitchell's path to building MFO began in 2015, after selling a majority stake in his home health-care firm U.S. Medical Management to Centene for a total payout of $325 million. Given these roots, it’s no surprise that he still leans heavily into health-related investments—everything from psychiatric hospitals for adolescents to cutting-edge bone marrow harvesting technology.
Yet, Mitchell is diversifying. His decision to buy Cos Bar wasn’t just about beauty retail—it was strategic. The stores will showcase AI-powered smart mirrors from his wife Colby’s startup, Swan Beauty. At $695 apiece, these devices scan skin tone to recommend products and allow for virtual makeup trials, merging luxury retail with cutting-edge tech.
Interestingly, Mitchell says recent investments aren’t solely driven by his preferences anymore—they reflect the ambitions of the next generation. His five children, aged 6 to 30, are deeply involved in the family’s ventures. His oldest son operates an automotive business, while his daughter runs her own clothing line. Both grind tirelessly—his son is first in the office and last to leave, exploring new real estate opportunities; his daughter works 14-hour days managing her brand. Mitchell notes that this level of hustle is rare for adult children in wealthy families and hopes it sets the tone for the younger siblings.
In April, he added a surprising new asset to the portfolio—a women’s soccer team, AFC Toronto. What began as a personal hobby is now a family passion project. His daughter is considering acquiring her own team, his younger boys have taken up soccer, and the entire family attends matches. For Mitchell, it’s more than just sport—it’s a bonding force, a multigenerational interest with tangible shared experiences.
The big question for the audience: Are billionaire family offices acting wisely by narrowing their deal-making yet doubling down on AI and health care, or are they risking too much by chasing experimental tech and niche industries during a slowdown? Should legacy wealth lean into next-generation ideas, even if they disrupt traditional investment strategies? Let’s hear your thoughts.
