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The different types of “real” Family Offices

Single Family Office (SFO)

In its purest sense, a single family office is private company that manages the financial affairs of a single family. Typically, a fully functional SFO will engage in all, or part of the investments, fiduciary, trusts and estate management of a family; many will also have concierge function.

Multy Family Office (MFO)

A multi-family office will manage the financial affairs of multiple families, who are not necessarily connected to each other. Like a single family office, an MFO might also manage the fiduciary, trust and estate business of multiple families, as well as their investments. Some will also provide concierge services. Most MFOs are commercial as they sell their services to other families. A very few are private MFOs, whereby they are exclusive to a few families – like us -, but not open to others. Over time , SFOs often become MFOs. This transition is often due to the success of the SFO, prompting other families to push for access. Economies of scale are also often easier to achieve through an MFO structure, promoting some families to accept others into their family office structure.

Virtual Family Office (VFO)

Families looking to achieve the benefits of a family office managing their financial and other affairs, but who do not wish to set up an actual company to do so, can opt for a virtual family office. This can be achieved through outsourcing all services to external providers of services by consultants.

Let me know if you feel something is missing.

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