Source: KKR 2023 Family Capital Survey
REPORT
2024 RSM FAMILY OFFICE OPERATIONAL EXCELLENCE REPORT (USA & CANADA)
Highlights include:
- 62% find it hard to get the best in-class technology in-house.
- 83% mentioned cyberattacks/data breaches as biggest operational risk.
- 97% have used external service providers in the past 12 months.
- 21% of operating budget goes to account and billing, followed by investment (17%), administration (15%), and tax planning and compliance (13%).
REPORT
PREQIN: FUNDRAISING FROM FAMILY OFFICES
Highlights include:
- Number of family offices has increased by over three in the last four years: from 1285 in 2019 to 4592 in 2023.
- A high proportion of family offices have exposure to alternatives across North America (57%), Europe (69%), Asia (74%), and ROW (74%).
- Distribution of AUM for family offices is weighted toward North America (54%), followed by Europe (30%), Asia (8%), and ROW (8%).
INSIGHTS
HOW FAMILY OFFICES CAN MAXIMISE TECH BENEFITS & MINIMISE RISK
Family offices must prioritise cybersecurity while establishing an overarching strategy for technology management. Implementing internal controls and thoroughly vetting software vendors are essential steps to mitigate cybersecurity risks effectively. (EY)
INSIGHTS
PRACTICAL DIGITAL ASSET INSIGHTS FOR FAMILY OFFICES
Family offices should define motivations for digital asset investments, diversify exposure routes, choose trustworthy partners with expertise, adopt a global approach while considering local compliance requirements, understand digital asset technology to manage risk, and recognise the early stage of the industry with its potential for growth and evolution. These insights highlight the complexity and opportunities in the digital assets market for family offices. (Francois Botha for Forbes)
VIDEO
FAMILY OFFICES GO ‘RISK ON’
Positive sentiment towards private market allocations – private equity, private credit, and real assets see active allocations. There’s an increase in capital allocation in private credit due to high returns in a higher rate environment. Region-wise, USA is a big area of allocation and Europe for private equity. (Robert Mullane, Goldman Sachs WM, EMEA with Bloomberg)
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