Notes

How wealth management companies can be prepared for turbulent times? [Farnoush Farsiar]
Generational change. Global mobility. Technological innovations. Farnoush Farsiar , EU Today writes that these are only one of the many major changes that have impacted family offices and fundamentally impacted their structures and methods.

Family offices serve a younger, tech-savvy, and mobile-savvy generation more frequently. https://eutoday.net/news/business-economy/2019/how-wealth-management-firms-can-prepare-for-turbulent-times , no matter their age, are more interested in investing through online trading. This has led to a greater enthusiasm for personal investments. Clients no longer want to be left out of the decision-making process for the discretionary portfolios they are required to make.

The changes are occurring at a moment of unprecedented political and financial instability. If offices try to keep their current practices however, they might find that the very individuals they were created to advise will abandon them. They must change their approach to become more entrepreneurial and create a value proposition for UHNWIs.

Family offices differ in dimensions and their scope. But, they must be able to focus on efficiency and streamlining their offerings, not trying to be experts in each field. The best service for clients will be offered by a smaller group of advisors who are able to quickly implement new technologies and engage external experts when required. This will mean the blurring between family office and private banking. Successful firms will maintain the trust and loyalty of family offices and stay ahead of the curve with the adoption of technology and purchasing deals.

Success will be born of the ability to capitalize on more traditional, traditional, network- and reputation-based methods of deal sourcing whilst also using online methods to identify deals and opportunities. Deal sourcing platforms on the internet are easily installed by wealth managers and agile private office, as opposed to big banks, which are weighed down by bureaucracy. The platform lets dealmakers easily review and access a range of deals at once and save time and money.

Wealthica and other services on the internet have also changed the way family offices interact with their clients. They automate the consolidation of investment portfolios across various sources and bring clients into daily contact with the investments. This is a way from the days when wealth managers were able to give periodic updates to their clients' investments.

These tools aren't just tools they're the method for wealth managers to increase their effectiveness and speed. The way they invest matters most. It is important to combine the old and the new. For instance keep searching for deals in real estate and also look into investments in new areas like food security or climate science. Impact investing has certainly 'arrived within the family office sector. According to the UBS Global Family Office Report 2018 showed that one third of family officers are involved in impact investing. A lot of people are planning to take part in the coming years. There are a few issues regarding the field like difficulties in measuring the impact of investments as well as due diligence the HNWIs and UHNWIs of the future will expect family members to be able to locate the right opportunities. Plato Capital, my own boutique investment bank, draws from the experience of its founders from large banks and the technology industry to provide investment advice that is entrepreneurial the focus. Our clients are able to achieve maximum returns and reduce risk with our personal network.

Wealth managers can thrive during turbulent times through blending past with the present, adapting to the needs of the young generation and making a risk in their own frameworks.
Read More: https://www.cbetta.com/director/ahmad-reza-farsiar-2