Family Office Services – Advisory
At the heart of any family office is investment management. However, a fully developed family office can provide a number of other services, which range from training and education to ensuring that best practices are followed in family governance. Let´s have a look at Advisory:
Risk Management and Insurance Services
This is a service that has assumed a more important role in recent years because of the financial crisis of 2008/09 and the subsequent fallout. It will be a crucial service for family offices in the future as well. These services include:
- Risk analysis, measurement and reporting.
- Assessment of insurance requirements, policy acquisition and monitoring.
- Evaluation of existing policies and titling of assets.
- Evaluation of security options for clients and property.
- Formulation of disaster recovery options and plans.
- Protection of assets, which could involve the use of offshore accounts.
- Development of strategies to ensure hedging of concentrated investment positions.
- Physical security of the family.
- Data security and confidentiality.
- Review of social media policy and the development of a reputation management strategy.
Compliance and Regulatory Assistance
Family offices nedd to ensure strict compliance with regulations pertaining to investments, assets and business operations. Necessary services may include:
- Providing auditing services for internal issues.
- Establishing a corporate governance mechanism.
- Ensuring a high level of staff hiring.
- Group performance monitoring and compliance.
- Offering recommendations on independent and board advisory formation.
- Strengtening the regulatory investment process.
Tax and Legal Advisory
Tax, in particular, has become a much more important issue for family offices in recent years and as such has assumed a larger role among the functions of a family office. Legal matters are also important. A family office will typically employ a general counsel and/ or chartered accountant, or several accountants and tax experts. These professionals may be able to provide the following services:
- Construct a tax plan to best suit the family.
- Design investment and estate planning strategies that take into account both investment and non-investment income sources and their tax implications.
- Ensure that all parts of the family office are tax compliant.
For further information please contact us directly!