Finance

The investment vehicles of the top tech titans have billions under management – so what do the smartest brains on the planet sink their money into? 

Yet another hedge fund is to convert into a family office. Critics might complain that it is exploiting a loophole, but some good could come of this trend. 

The family office world is evolving, but how will they change in the coming years? For a start, there will be an awful lot more of them. 

They have huge holdings in many of the world’s biggest companies

A hedge fund that is unhappy with Bank of East Asia, the last family bank in Hong Kong, has a point but banking is so dysfunctional that family ownership is the least of its problems. 

They have proved a disappointment to many investors, but German firms’ need to spread the risk of their financing means that they will keep using the capital markets. 

The number of family offices has increased hugely over the past decade as families prefer to take more control of their assets rather than trust private bankers.

Most family offices would be better hiring a non-financial CEO to get the best results

Families can easily fall into the trap of making their wealth structures too complex. Transparency and simplicity are the best idea, says new Swiss research. 

When giving your money to banks you know you are taking a monetary risk, but the more damaging problem could be what dubious deals can do to your name.