Family offices are arguably the fastest-growing investment vehicles in the world today, as families with substantial wealth are increasingly seeing the value of establishing a centralized function to manage their family wealth and business interests. There is no obligatory product or structure. The term refers more to a concept encapsulating a variety of structures established to manage family wealth, and in each case, a bespoke solution should be applied.
The core activities of a family office arrangement involve the centralized management of wealth derived from one or more families. Nuances arise with distinctions in the decision making hierarchy and how influence is distributed throughout the family structure. Often these family structures will have a broad range of business interests, with management responsibilities and ownership entitlement spread across multiple family members, which can make them complex.