Family wealth is a very specific and complex form of wealth in terms of governance. This refers not only to the business itself, but also to maintaining liquidity metrics, investing in private capital, debt structures, investing in stock portfolios, and even privately used assets. You can also know more about a family office by visiting UBS global family office-return & impact.
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Therefore, a very specific approach is needed. The family office is a special instrument for supporting families.
There are a few reasons why families should consider starting a family office:
The most important reason is that it is personal. Family offices are custom made and – unlike other service providers – only work for one customer, the family.
It is also used for confidentiality. Family offices support families to keep all private data in a safe area and only available to a limited number of characters. Therefore, the family office can serve as a guardian and protector of family privacy.
Prosperity is the third reason. Since family wealth is shared among several family members of different generations with different needs, there will always be a balance between the accumulation of wealth on the one hand and the financial needs of family members on the other.
Eternity. Family wealth usually has a specific purpose. The family office can help families to set clear family goals and thereby support them in building an intergenerational legacy.