What is family office?

A family office is a private company or firm that manages investment and wealth management exclusively for a very wealthy family, typically one with $50 million or more in investable assets. Its goal is to effectively grow, preserve, and transfer wealth across generations. Beyond investment management, family offices often handle a broad range of services including tax and estate planning, philanthropy coordination, managing household staff, travel arrangements, legal affairs, family governance, and succession planning.

There are different types of family offices:
• A single-family office serves one ultra-wealthy family with a customized, comprehensive suite of services.
• A multi-family office serves multiple families, offering similar services but with cost-sharing benefits.
• An outsourced family office is a network of professionals coordinated to manage a family’s wealth and related needs.
Family offices often operate like private companies, employing experts such as financial advisors, tax specialists, estate planners, and accountants dedicated to the family’s interests without conflicts of interest from outside financial firms. Their financial capital is the family’s own wealth, and they may invest in private equity, venture capital, hedge funds, real estate, and more.

Overall, family offices provide a highly personalized, all-encompassing approach to managing and sustaining the financial and personal affairs of ultra-high-net-worth families over the long term