Jan van Bueren and Thomas Ming discuss the
increasing diversity of multi-family office providers, and the
potential pitfalls for wealthy families that come along with
it.
Wealthy business owners and families that have sold their
businesses are increasingly considering setting up a single-family
office (SFO), or using multi-family office (MFO) services. As an
SFO is not economically feasible for most families they often end
up deciding to opt for MFO services.
As the demand for MFO services increases, it could easily be
concluded that the growth of the MFO industry is the result;
however, the supply side of this development should not be
underestimated. Due to, amongst other things, regulatory
developments, the consolidation of the private banking industry,
cost pressures and the "hype" of MFO services over the
last few years, quite a few providers are entering or have already
entered the MFO market with the aim of getting in on the action. So
it is not only demand
