<p>The old adage about the three phases of investing in an asset is very pertinent to how family offices think of themselves when it comes to investing. Briefly, the adage goes something like this - the sophisticated investor buys into the asset early and makes the most money, then institutional investors pile in and make beta-like returns, followed lastly by the retail investor, who gets burnt and loses money. The cycle repeats itself with every new asset class.</p>