How wealth management businesses can be prepared for turbulent times? [Farnoush Farsiar]

Generational changes. Global mobility. Technological revolution. Farnoush Farsiar writes for EU Today that these are just some of the major changes that will affect family offices and could fundamentally alter their operating structures.

Family offices cater to the more mobile, tech-savvy and younger generations. The financial crisis, along with the increasing accessibility of trading online and its democratisation have led to clients becoming more keen on their investments. They seek greater control and understanding and don't are they looking for discretionary portfolios that are managed within reach.

These changes come at a time when there an unprecedented level of economic and political instability.  https://www.privatebankerinternational.com/author/farnoushfarsiar/ These changes also signal the end to the family office model that is fee-based. If they attempt to continue with the old ways in place, they'll soon be rejected by the very people they were designed to serve.  https://fr-fr.facebook.com/pages/Farnoush-Farsiar/163318870439653 They must adapt to a more entrepreneurial style in investment management to offer UHNWIs a true value proposition.

Family offices differ greatly in terms of size and scope, however regardless of this, they should prioritise agility as well as streamlining their service, rather than trying to be experts in all things. Customers will enjoy better service if they are able to employ fewer advisors who can implement new technologies quickly and also bring in specialists from outside as required. These changes will require the blurring of family offices and private banking.  Farnoush Farsiar The most successful firms will keep the trust and loyalty of family offices while staying ahead of the curve in the adoption of technology and the sourcing of deals.

Success will be born of an ability to capitalise on more traditional, reputation-based and network-based strategies for deal sourcing whilst also using online methods to identify deals and opportunities. Wealth managers and private offices that have a highly skilled staff can implement online deal platform for sourcing. It is in stark contrast to cumbersome banks that are ensconced in bureaucracy.  Farnoush Farsiar Dealmakers can use these platforms to review and access a range of deals, which results in substantial savings of time and money.

Wealthica is another online platform that has revolutionized the way family offices communicate with clients. Wealthica's dashboards automatically consolidate investments from various sources. Customers can have daily contact with their investments. This is far more efficient than when wealth management provided only periodic updates about the status and location of their clients money.

These tools are able to help wealth managers improve efficiency and speed. The strategy which underpins their investments is , in the end, the most important factor.  https://suite.endole.co.uk/insight/people/23756008-ms-farnoush-farsiar The secret to success is to combine traditional and new.  https://timebusinessnews.com/brexit-benefited-uk-financial-market-says-farnoush-farsiar/ It is likely that you will continue to seek out deals in real property, and also explore investments that were previously not explored such as food security and climate science. The UBS Global Family Office Report 2018 found that impact investing is becoming a mainstream topic in family offices. A third of family offices are involved in the type of investing that they are involved in and many anticipate getting involved more in the future. There are many challenges in this field including the difficulty of measuring impact and doing due diligence. But, the next generation UHNWIs and HNWIs will be expecting family offices to identify and secure such investments. Plato Capital is a boutique bank that provides advice on investing. It draws upon the experience of its founders from large family offices, banks and the tech industry to provide entrepreneurs with investment guidance. Our clients are able to successfully manage risk and get the best returns on their capital thanks to our local network.

Wealth managers of all kinds will continue to flourish during turbulent times if they mix both the traditional and the contemporary and are willing to adjust to new demands and take risk with their own structures.