We’re now in an age where wealth is being managed across three, if not four, generations. And with differing views, values and ideas amongst family members, there is a definite need for a “family office” style system for those of high net worth, without the operational costs of the traditional model.
Having everything centralised so that all generations can be involved in discussions and decisions, as well as the education element for future generations, is a key success factor for many families in this situation.
The solution is the emerging trend of a Virtual Family Office, and this is a service that we offer at Paxton Bridge.
Who is it for?
The Virtual Family Office is for anyone who has created a level of wealth that has evolved over time, and needs help managing the further activation of that wealth and transfer to future generations.
How does it work?
Whilst there is no office space, as in the traditional model, there is still the team of experts chosen by you. In the Paxton Bridge model, we are the primary contact and collaborate with your current advisors. Alternatively, if you don’t have an advisor for a certain area (tax planning, legal counsel etc), or you would like to change advisors, there is a network of people that we can introduce who would best suit your needs.
The strategy developed by your chosen team of advisors constantly has the “bigger picture” for your family in mind and provides a clear pathway for decision making, growth and wealth transfer.
Every family is different, so in the set up you will have the opportunity to determine who from the family is involved and how, plus the rules that will govern the Virtual Family Office. For example, a funds distribution strategy – who will receive how much and how often? The other scenario might be common expenses amongst the family. What is taken care of through the Virtual Family Office and what will be left for each individual to consider?
The benefits?
Peace of mind that your wealth is being activated by a team of experts who will provide a strategy for you and your family to grow, share and protect the money and assets you have accumulated.
Additionally, having one point of contact for any family member to call if the unexpected happens allows you the comfort of knowing that your loved ones will be supported by your team of advisors.
Finally, the educational component available for future generations means you needn’t worry about them making poor decisions that will diminish the wealth, and allows you to be present and contribute to their understanding of making good financial decisions.
Let’s talk.
If you think you and your family would benefit from a Virtual Family Office, click here to email David Murdoch and set up a time to talk through your requirements.