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How wealth management firms can be prepared for turbulent times? [Farnoush Farsiar]
Generational changes Global mobility. Technological transformation. Farnoush Farsiar of EU Today writes these are just some of the significant changes that affect family offices, and ultimately threatening their operations and practices.

Family offices cater to technologically advanced, mobile and younger generations. Everyone, regardless of age, are becoming more attracted, regardless of their financial situation in managing their personal investment portfolios. This means that they are looking for more information and involvement and not just an investment manager to manage.

Farnoush Farsiar These shifts, which happen at a time of unparalleled economic and political turmoil are a sign of the demise of the family office model that is based on fees. If a business tries to maintain its old practices, they will find it abandoned by those they supposed to help. Farnoush Farsiar They need to adapt to a more entrepreneurial approach in investment management to offer UHNWIs an authentic value proposition.

Family offices vary greatly in size and scope, however irrespective of this they should be focusing on agility and improving their services rather than trying to be experts at everything. Customers will appreciate a smaller group of advisors that can quickly implementing new technologies as well as the hiring of external experts when required. Because the lines 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 experts when needed. This allows the firm to offer a more valuable service to customers.

You will succeed if you are able to use traditional methods, such as reputation and network-based approaches to dealsourcing while also employing online methods to find opportunities and deals. Private offices and wealth managers that have a highly skilled staff can implement online deal sources platforms. It is in stark contrast to the cumbersome banks that are in bureaucracy. These platforms allow for dealmakers to evaluate multiple deals simultaneously and make it easier to save time and energy.

Wealthica is another online platform that has revolutionized the way family offices communicate with clients. Wealthica's dashboards will automatically combine investments from different sources. Clients can be in constant contact with their investments. This is far more efficient than when wealth management provided only occasional updates on the progress and whereabouts of the client's money.

These tools do exactly thatthey enable wealth managers to increase their efficiency and speed. Farnoush Farsiar The method they use to make investments is ultimately the most important factor. The most effective strategy is to combine the old and the new. Farnoush Farsiar This means that you will continue to search for deals on real estate however, you should also explore investments in areas such as food security or climate science. Impact investing has definitely "arrived" within the world of family offices. According to the UBS Global Family Office Report 2018 one-third of family businesses are currently engaged in impact investing with the majority expecting to expand the amount of involvement they have in the coming years. Farnoush Farsiar There are many hurdles in this area including the measurement of the impact of investments and conducting due diligence, younger generation of HNWIs and UHNWIs will expect their family offices to determine and secure these kinds of investments. Plato Capital is my boutique investment bank. Plato Capital draws from the experience of its founders who have been employed in major banks and the technology industry. Farnoush Farsiar Plato Capital provides investment advice that focuses on the entrepreneurial. Our local experience and network allows us to assist our clients control risk while maximising their capital returns.

Wealth managers of every type can continue to thrive during turbulent times when they blend the old and modern and are open to the changing needs of the market and are willing to take risks with their own structure.
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