Family offices in the Americas are observing growing differences in priorities and approaches between founders and the next generation, according to new research by Ocorian.
The study, conducted among family office professionals in the United States, Canada, Bermuda, and the Cayman Islands, who collectively manage around $32.8 billion in assets, found that 93% point to generational differences within their families, and 33% consider these differences to be significant.
The biggest area of difference, identified by 68% of respondents, is investment in digital assets, while 52% highlight differences in ESG and impact investing. Approximately half mention discrepancies in the approach to private markets, while asset allocation and investment strategy are controversial topics for 34%.
These differences in approaches and priorities are driving a greater focus on succession planning, with all executives surveyed stating that more work is needed in this area.
93% report that there is a natural succession of wealth and leadership in the family offices for which they work.
On the other hand, 92% highlight that ensuring proper governance to meet the needs and expectations of family members is the biggest challenge they face.
The research also revealed that 77% say their family offices have become more professional in terms of operations and structure over the past five years. The remaining 23% state that their family office was already professional.
One important area of professionalization highlighted in the study is the strengthening or introduction of a family constitution, noted by 62% of respondents. More than half (54%) indicated that increased support from external providers has helped professionalize their family offices.
Ocorian is a global provider specializing in services for high-net-worth individuals and family offices, financial institutions, asset managers, and corporations, with a dedicated team to support family offices.
