Multi Family Office

A multi- family office (multi-client family office ) is usually an independent organization that supports several families in the management of large fortune. In Europe, there are a total of 4,250 family offices, of which approximately 1,920 call as multi-family offices.

Definition

A multi- family office ( MFO ) is a company that manages investments and trusts for more wealthy families. Multi Family Offices usually offer a variety of services including tax and estate planning, risk management, financial consulting, fiduciary, lifestyle management, coordination of professionals, investment advisory services, and trust management. Some multi-family offices also offer personal services such as managing personnel and budget or / and travel planning. Since the individual achievements of family offices respectively to the customer to meet the family and for this reason are more expensive, has a family usually have a minimum size of about 50 million euros.

The term family office and multi- family office are not protected. Consequently occur in many different providers on the market with a family office services. A key point is the complete independence of (financial ) services company. This ensures an objective and customer-oriented consulting.

History

Family offices have their roots in the 6th century, when the house Meier (or majordomo ) was responsible for the administration of the royal family wealth. Later in the 6th century the aristocracy these services began to occupy the house Meier also. Thus, the concept of stewardship, which still exists today in its basic form was created.

The modern concept of family offices was developed in the 19th century. In 1838, the family of the financier and art collector JP Morgan founded the House of Morgan, in which the assets of the family were managed. In 1882, the Rockefellers established their own family office until today (May 2010) endures.

Many family offices were at first a so-called single family office. In this case, the family is the owner of the organization and claims services exclusively for themselves. Thus, the quite high operating cost of a single family offices need not be carried by a single family, the families often decided to offer their services to third parties.