For ultra-high-net-worth individuals (UHNWIs), the line between private banking and family offices can blur. Here's how to determine the best structure for managing generational wealth.
What Is a Family Office?
A family office is a private advisory firm that manages investments, taxes, succession, and even personal services for one (single-family office) or multiple families (multi-family office).
Key Differences
| Feature | Private Bank | Family Office |
|---|---|---|
| Control | Bank-led | Client-controlled |
| Cost | Bundled fees | Higher setup cost |
| Customization | Moderate | Highly personalized |
| Services | Investment-focused | Full-service (legal, lifestyle, tax) |
When to Consider a Family Office
- Assets exceed USD 25M+
- Need for privacy, control, and multi-generational planning
- Multiple businesses, properties, and heirs
FAQ:
Q1: Can a private bank work with a family office?
A: Yes. Many family offices allocate funds to private banks as part of a diversified strategy.
Q2: Are family offices regulated in Singapore?
A: Yes. MAS introduced licensing rules for certain structures since 2020.
User Comments:
“Moving to a multi-family office gave us total financial control.” — Elaine T.
“My private bank remains key to executing investment strategies within our office.” — Sean Y.
Editor’s Note:
If your wealth is growing in complexity, consider a hybrid approach: private bank for execution, family office for oversight.
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