13 Comments
Aug 15, 2022Liked by Frederik Gieschen

Great article Frederick. Working for a family business business is like trying to carry a cat by the tail.... it is a unique experience. 😑

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Aug 15, 2022Liked by Frederik Gieschen

If you don't know where you are going , any road will take you there. Is a family office a vehicle for more efficient and/or broader passive investment? Will it be entrepreneurial? Is it based around a central business to which a majority of the family is committed or is it an investment channel for a group of linked by familial bonds and/or shared values ? Is it big enough and does it have a diversified client base and professional management that it ultimately transcends its founding family?

This isn't just an investment issue . It is a question of the continuing appropriateness of a consolidated vehicle.

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Aug 15, 2022Liked by Frederik Gieschen

Great article

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Excellent article. You are a very good writer. And English is your second language!

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Enjoyed this so much. Reminded me of The Battle for WSJ and how the Bancroft family couldn’t unite on any front and give away the media empire to Murdoch.

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I have seen single FOs first hand and am currently working in a MFO. Most people tend to think that families with big portfolios (>$150mln) tend to be more rational, more sophisticated and better investors but I assure you that is a far-cry from where things stand. Also keep in mind that many families set-up single FO without really investing in the structure and that turns out to be a worse choice than working directly with one or two private banks. Finally I would suggest that, unless you are speaking of a very large single FO (above $1bn), it is very very hard to attract talent as these structures are simply not competitive in terms of compensation.

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