We need banks to protect our assets and valuables. Perhaps each of us has a bank account somewhere where we keep cash, bonds, and perhaps valuables like jewelry. These bank safes and lockers are used to protect assets.
They are also a safety net for us. We can access it when we need money to buy something.
Likewise, wealthy families retain wealth, albeit on a much larger scale. Families acquire wealth from generation to generation. You have to pass it on to the younger generation, for whom there must be a plan. For more information about family offices in Hong Kong, you can visit ubs.com/global/en/global-family-office/home.html.
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Simple guidelines for safes and lockers do not apply here. Families need to set up a trust to ensure that funds can be transferred to the beneficiary by a certain date.
There is an additional responsibility for maintaining real estate and property vis–vis creditors, as well as managing inheritance. A family must take care of taxes, insurance, and guardianship.
Lately, it has become a wealth management tool for super-rich families. Some family offices (FOs) may have two or three people doing day-to-day tasks. Some family offices (FOs), on the other hand, will have around 10 to 20 decision-makers in investment management.
Families can choose whether to use the services of an asset manager or a popular private bank. However, some European families choose not to turn to the services of a private asset management firm and instead set up their own investment offices.