The Benefits of Private Banking Advisory for Family Offices
As the wealth management needs of multigenerational families grow increasingly complex, many family offices are turning to private banking advisory services to augment their in-house capabilities. This specialized support can provide a valuable layer of expertise.
FAMILY OFFICE
As the wealth management needs of multigenerational families grow increasingly complex, many family offices are turning to private banking advisory services to augment their in-house capabilities. This specialized support can provide a valuable layer of expertise.
The Family Office Landscape The roles and responsibilities of modern family offices continue to expand rapidly to encompass activities like:
Managing liquid and illiquid investments across asset classes
Tax, estate, and philanthropic planning
Trust and corporate entity structuring
Family governance and wealth transfer preparations
Business oversight and direct investments
According to the Global Family Office Report 2022 by Campden Research:
74% of family offices now have allocations to direct investments
43% provide concierge services outside of investing
40% actively manage operating businesses
Delivering seamless execution requires a diverse set of specialized skills often beyond a single family office's core competencies.
The Value of Private Banking Partners
This is where partnering with a dedicated private banking group can provide significant value-add through tailored solutions, resources and product offerings. Key benefits include:
Comprehensive Wealth Planning
Coordinated advisory covering investments, trusts, taxes, and generational planning
Facilitation of complex situations like business exits or liquidity events
Access to advanced planning tools and analytics
Elevated Banking Capabilities
Customized credit facilities, deposit products, and cash management
Robust capabilities for global payments, foreign exchange, and custody services
White-glove service delivery experience
Direct Investment Support
Deal sourcing and capital raising assistance
Introductions to investment banking and corporate finance advisory
Enhanced due diligence resources and strategic advisory
Selecting a Private Bank Partner
When evaluating private banking partners, key criteria for family offices should include:
Understanding of complex family dynamics and multigenerational needs
Robust open architecture platform with extensive investment capabilities
Proven track record working with ultra-high net worth clients
Reputation for exceptional service quality and privacy
Global reach and capabilities aligned with family footprints
As one family office principal remarked, "Our private bank allows us to focus on strategy and governance knowing world-class execution is in place."
For family offices navigating the intricacies of substantial wealth, the right private banking partner can provide an invaluable force-multiplier across all their endeavors.