Strong growth predicted in the family office sector and an increased focus on alternatives

Many family offices have had large parts of their portfolios in cash as they looked to protect assets from volatile markets, Ocorian says. There is a growing focus on active investment, succession planning and philanthropy.

Ocorian, the specialist global provider of services to financial institutions, asset managers, corporates and high net worth individuals that works with more than 60 family offices around the world, says over the past 18 months many have had large parts of their investment portfolios in cash as they have looked to protect their assets from volatile markets.

However, it says many are now ready to reinvest, and there is a growing focus on alternative asset classes as family offices look to diversify their portfolios with family offices increasingly expecting the preferential terms and conditions that larger institutional investors currently receive.
 
In terms of other trends Ocorian is seeing in the family office space, it cites a significant increase in the number of family offices being set up due to the growing population of younger, sophisticated ultra-high net worth individuals, especially from sectors such as technology.

Ocorian’s award winning dedicated family office team provides a seamless and holistic approach to the challenges and opportunities families face. Its service is built on long-term personal relationships that are founded on a deep understanding of what matters to family office clients. Its global presence means Ocorian can provide bespoke structures and services for international families no matter where they live.

Ocorian reports that it is seeing many family offices wanting to take a more active role in the investments they make, especially in entrepreneurial businesses that they feel they can relate to and share their knowledge and experience. A key driver of this is entrepreneurial family members taking a more active role in the managing of assets.

With many family offices managing significant wealth, there is a growing realisation that more needs to be done around governance and succession planning, and Ocorian has also seen an increase in levels of philanthropy from many families.

Amy Collins, Head of Family Office at Ocorian, said: “The family office sector is thriving. We are seeing more family offices being established, and more family members wanting to play an active role in managing assets. As many see their wealth grow, there is also an increasing focus on succession planning and philanthropy.”

“We have been supporting family offices for over 50 years, and with dedicated teams in several key jurisdictions, we are well positioned to support this growing market.”

Ocorian’s family office team offers tailored, practical solutions that are flexible enough to adapt to changing family circumstances. They can act as an outsourced family office or multi-family office, providing support around issues such as managing investments, running family homes and philanthropy. It has dedicated family office teams in key jurisdictions including Jersey, Guernsey, London, Singapore, the UAE and Mauritius.

Areas they provide support for include:

• Administration of liquid and illiquid investments and banking relationships
• Consolidated asset and liability reporting
• Management of ownership structures
• Luxury assets
• Family homes
• Philanthropy
• Personal financial management
• Family governance