Notes

How wealth management firms can prepare for turbulent times [Farnoush Farsiar]
Generational changes Global mobility. Technology innovation. Farnoush Farsiar of EU Today writes that these are but a few of the major changes that are affecting family offices, and fundamentally challenging their business practices and operations.

Family offices cater to a growing number of younger, mobile and tech-savvy generation. Every client, no matter their age, have become more concerned, regardless of financial situation, in managing their own investment portfolios. Farnoush Farsiar This means they seek out more involvement and information, not just the services of a portfolio manager.

These changes occur during a time of political and economic turmoil. If an office attempts to keep its old ways of doing business, they will find it abandoned by the very people they meant to advise. They need to be flexible and creative when managing investments to offer UHNWIs with a genuine value proposition.

Although the scope and size of family offices are varied, it is important that they prioritize efficiency and speed rather than being experts in all things. Customers will enjoy better service if they have less advisors who can quickly implement new technologies and bring in external specialists whenever required. As the boundaries between family and private banking have been blurred The best banks will have a smaller team of advisors who can quickly implement new technology and bring on board external specialists when necessary. This will allow them to provide an enhanced service to clients.

It is a good idea if you are able to leverage traditional, network- and reputation-based approaches to dealsourcing while also making use of online tools to identify deals and opportunities. Private offices and wealth managers that can manage large numbers of deals online are far more efficient than cumbersome banks. These platforms allow dealmakers to assess several deals at once and reduce time and effort.

Wealthica is another online service that has revolutionized the way family offices communicate with clients. Wealthica's dashboard services automatically consolidate investments from various sources. Customers can be in constant contact with their investments. This is much superior to the past where wealth management would only provide occasional updates on the status and location of the money they had earned for their clients.

These tools can be used to assist wealth managers in improving their efficiency and speed. Their investment strategy is the primary aspect. In the end, the advantage is in bringing together the traditional and the new - continuing to scout out deals in real estate and other areas, whilst also exploring investments in fields that were previously unexplored, such as climate science or food security. Farnoush Farsiar Impact investing has certainly "arrived" in 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 grow their involvement in the near future. Farnoush Farsiar There are definitely challenges in this area, such as difficulty in monitoring impact and executing due diligence, the coming generation of HNWIs as well as UHNWIs are likely to expect family offices to be able to identify and secure these kinds of investments. Farnoush Farsiar Plato Capital, my own boutique investment bank, is based on the expertise of its founders, who are from large banks as well as the technology industry to offer investment advice that is entrepreneurial in focus. Our clients are able to make maximum returns and manage risk with our personal network.

Wealth managers can flourish in turbulent times by mixing the past with the present and adapting to the demands of the younger generation, and making a risk with their own structures. Farnoush Farsiar
Website: https://www.crunchbase.com/person/farnoush-farsiar