Notes

How wealth management firms can prepare for turbulent times [Farnoush Farsiar]
Generational change. Global mobility. Technology transformation. Farnoush Farsiar of EU Today notes these are only a few of the major changes that affect family offices, and ultimately impacting their practices and operations.

Family offices cater to an increasingly tech-savvy, younger and mobile generation more often. All clients, regardless of their age, are more interested in investing through trading online. This has resulted in a greater enthusiasm for personal investments. Customers do not want to be left out of the process of deciding on discretionary portfolio mandates.

These changes happen at a time of extreme economic and political turmoil. If offices try to maintain their current strategies and methods, they could discover that the people they were set up to assist will not be able to keep them. They need to be flexible and innovative in managing investments so that they can provide UHNWIs with a genuine value proposition.

Family offices vary greatly in size and scale, but regardless of this, they should focus on agility and streamlining their service, rather than striving to be specialists in all things. Clients will benefit from a smaller amount of advisors capable of quickly implementing new technologies and calling in specialists whenever needed. Because the lines between family and private banking are blurring The best banks will have a small team of advisors who are able to quickly implement new technology and bring on board external specialists when necessary. This will enable the firm to offer a more valuable service to clients.

The success will come from the ability to capitalize on more traditional, reputation-based and network-based methods of deal sourcing while also employing online strategies to identify deals and opportunities. Private offices and wealth managers that can manage large numbers of deals online are superior to banks with a cumbersome structure. Dealmakers have access to and can evaluate large numbers of deals simultaneously and this can be a substantial time and money saving.

Other online services which have changed how family offices interact with their clients include dashboards, like Wealthica that automatically consolidates investments from a range of sources, bringing customers to daily interaction with their investments - a far cry from the days of wealth managers who gave periodic updates on the progress of their customers' investments.

They aren't the only way that wealth managers can increase effectiveness and speed up their processes. The strategy that underpins their investments is , in the end, the most crucial factor. The benefit will be combining traditional and new strategies. Keep searching for opportunities in the field of real estate, but also look into investing in areas previously unknown for example, the effects of climate change and food security. Impact investing has definitely "arrived" within the world of family offices. According to the UBS Global Family Office Report 2018 one-third of family-owned businesses are involved in impact investment, with most expecting to increase the amount of involvement they have in the coming years. While there are undoubtedly problems in this field, including difficulty in monitoring impact and executing due diligence, the coming generation of HNWIs as well as UHNWIs are likely to anticipate family offices to be able determine and secure these kinds of investments. Plato Capital is a boutique bank that offers investment advice. http://uayf.sellerplacer.com/belc is based on the experience of its founders who have worked in big banks, family offices and in the tech industry to offer entrepreneurial investment advice. Our clients are able to manage risk and get the most value for their investment due to our local network.

All types of wealth managers can succeed during turbulent times, by mixing old with the new while experimenting and taking risks with their structures and techniques.
Read More: https://timebusinessnews.com/brexit-benefited-uk-financial-market-says-farnoush-farsiar/