|
Komfie Manalo, Opalesque Asia: Consulting firm Deloitte & Touche has identified governance,
organizational structure, risk management, control and technology as the
key important issues that family offices (FOs) should focus in 2015. In
its 2015 Private Wealth Outlook, Deloitte said that this
year family offices will continue the trend of further
institutionalization.
Governance: Building a foundation for growth
A leading practice for family offices in 2015 will be to define or
refine precisely their mission and then build or improve the governance
structure around it. This may be a painful and challenging exercise and
might expose fault lines among family members. However, once identified,
the family can deal with these fault lines proactively, in a
constructive and healthy manner, rather than during a time of stress and
crisis.
Effective governance requires clearly defined roles, responsibilities,
goals, and accountability. The governance structure will often include
an independent board, corporate trustees, and the use of third-party
advisers. It is possible for a governance structure to be rolled out
over a period of years to facilitate implementation. In 2015, families
should consider creating a governance structure if they do not yet have
one or improving the structure that is alre...................... To view our full article Click here
|
|