In this article, we discuss the concept of a family office, its
role and benefits in the Indian context, important considerations
relevant in setting up a family office, disclosure obligations in
case of succession planning structures set up outside India and
important precautions to be taken in the context of general
anti-avoidance rules, which are slated to come into effect from
April 2017.
A family office generally refers to an organisation which
provides private wealth management advice, fiduciary services (like
acting as trustees) and services related to handling club
memberships, family holidays, etc., to High Net-worth Individuals
(HNIs) and their families. The modern day concept of family offices
started in the 19th century with wealthy businessmen such as J.P.
Morgan setting up offices to take care of their family assets.
