Recent Research
Protecting the Future: Managing Threats and Opportunities through Effective Risk Planning
Q4 2009
Conducted in partnership with Harris myCFO, this is the third publication in a series of FOX Thought Leaders Programs, and the second study to examine how families with generational wealth can effectively identify, prioritize and manage family risks.
Prompted in part by reactions to the recent financial crisis, this publication examines how successful families handle known risks in a proactive manner and even capitalize on unanticipated opportunities that result from a changing environment.
While no one can guarantee the future, achieving long-term goals and sustaining wealth over multiple generations requires action. This study outlines the best strategies and techniques for managing downside risk while emphasizing the importance of capturing upside risk for wealth enhancement. It also identifies a management process for families that ensures thoughtful deliberation during times of crisis or uncertainty.
Global Family Office Primer: Purposeful Management of Family Wealth
Q1 2009
Families with wealth are often surprised by the challenges and complexities of managing their wealth – a business like no other. Family members are the stakeholders in their shared financial future and the board members for their own wealth management business. The work requires in-depth, technical knowledge of the financial services (investment, tax and wealth transfer planning and philanthropy) needed to grow the family’s financial capital, combined with the leadership skills and emotional intelligence required to cultivate the family’s greatest resources – their sons, daughters, cousins and grandchildren.
While there is no single set of rules for success, one distinguishing factor of the most successful wealth-owning families has been their commitment and desire to remain engaged – both with each other and with like-minded peers from whom they can learn. These families recognize the benefits of collaboration and rely on a network of insightful advisors to guide their strategic discussions as a family.
The goal of this primer is to document the complexity of today’s wealth management process and provide an understanding of the role and work of today’s family office. This look inside the global family office incorporates data from FOX’s 2008 Family Office Benchmarking survey of 75 family offices worldwide.
Pricing for Profitability: Pricing Practices in an Evolving Ultra-Wealth Marketplace
January 2009
This in-depth study of the private wealth market offers a comprehensive review of pricing strategies and practices that leading multi-family offices, private banks and other wealth advisors employ to realize full value from their relationships with ultra-wealthy clients.
In addition to an overview of current pricing practices, this study profiles cases of innovative approaches to pricing and pricing communications. The lessons from these case studies speak to broader themes in revenue mix and revenue management.
A Family Case Study: Selecting the Right Wealth Advisor
Q4 2008
Selecting the right organization as a partner in the management and oversight of a family enterprise is one of the most important decisions a family will make. Success in this endeavor requires a significant investment of the family’s time, talent and resources to ensure a thorough and disciplined due diligence process. Thoughtful consideration of the service needs of the entire family group, consistent communication and family involvement in the selection process are short-term investments by family members that return long-term benefits for all. This case study of the Wilson family (pseudonym) profiles one family’s thoughtful and diligent search for the right MFO to support their financial goals and to manage their family enterprise.
February 2008
Separating the management of personal financial affairs from company affairs is an essential best practice for all business-owning families. This white paper from FOX outlines the significant benefits that families gain when they establish a separate family office or partner with a wealth management firm that is independent of the operating company. Taking such measures not only provides immediate and long-term tangible value but also protects the family from unnecessary legal and privacy risks. Importantly, this paper also outlines the key steps involved in the separation process to provide families with a road map for successfully managing the transition.
Family Office Exchange provides its members with insights and solutions to complex issues that surround families and private investors who create and preserve wealth through extensive research conducted on a variety of topics.