Nature of Single Family Offices (SFOs)

An SFO is set up to the needs of a single family. An often-integral function of the family office is to manage the assets of the family in order to fund the needs of the family.

Considerations when setting up a Family Office
Depending on the amount of assets of the family and the needs of the family, the set-up of every family office is usually different.

Some considerations when considering whether and what to include in a single-family office set-up include (non-exhaustive):

• Types of assets – whether they are listed or private companies, or whether the assets need maintenance
• Tax needs and planning of the assets and family members/beneficiaries
• Immigration needs of family members
• Needs of the family, e.g whether they need medical support services
• Overall investment strategy
• What expertise is needed and whether the professionals need to be in-house
• Oversight of the running of the family office
• Whether generational transfer considerations are needed
• Whether a governance charter is needed

*Running a family office typically costs 1% to 2% of a family's total active assets (e.g. investment portfolios and trust assets), or more.