TFOA Update | November 2024
About TFOA
The Family Office Association is a global peer network that serves as the world’s leading single family office community. Our group is for education, networking, selective co-investment, and a resource for single family offices to share ideas, deal flow and best practices. Members are not actively marketing products or services to other members and no contact information or email lists will ever be shared. Since our founding in 2007, TFOA has led the global single family office community by delivering world-class educational content, unique networking opportunities, and exceptional thought leadership to our highly curated network of the world’s largest and wealthiest families. If you’d like to access our free library of whitepapers or receive event updates and more timely information please visit: www.tfoa.info
Please check your spam folder to be sure my email marc@tfoa.me is on your safe senders list. I suspect you might find a few past emails from me there!
ABSTRACT: This paper examines risk management practices for single family offices (SFOs). It argues comprehensive risk monitoring is a critical SFO function. Risks include consolidated reporting with complex assets, tax compliance across multiple jurisdictions, estate planning with intricate structures, investment risks like fraud and illiquidity, asset protection against lawsuits, reputation management especially for prominent families, and insider threats from staff and advisors. Mitigation strategies involve financial controls, due diligence, governance procedures, audits, insurance, legal asset structuring, background checks, and protocols for reputation and emergency incidents. The paper contends SFOs must implement layered risk management across investments, operations, taxes, legal issues, and personnel. Robust oversight by an integrated SFO team reduces siloed risks and provides families with centralized protection. The paper outlines key risks SFOs face and practices to safeguard multi-generational wealth.
If you would like to comment on this whitepaper please visit the following link and let us know what you think: Family Office Risk Management
Monthly Update
Please find below this month’s Economic Update which includes a wealth of data and exhibits on the USA economy and selected States. You will also find market returns, 10-Year expected asset class returns, private equity price and leverage multiples, GP commitment data by sector, and the current economic release calendar for your convenience. We hope you will find this report helpful.
Marc J. Sharpe is the founder and chairman of The Family Office Association ("TFOA"), a peer network of single family offices founded in 2007. In addition, he is an Operating Partner with Satori Capital, LLC, a multi-strategy investment firm founded upon the principles of conscious capitalism, a business approach that emphasizes extraordinary long-term outcomes for all stakeholders. He also teaches an MBA class on “The Entrepreneurial Family Office” as an Adjunct Professor at SMU Cox School of Business. Marc holds an M.A. from Cambridge University, a M.Phil. from Oxford University, and an MBA from Harvard Business School.
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