Although multigenerational wealth preservation was never a simple thing, the list of challenges facing the profession has swelled in recent years to include COVID-19, talent acquisition struggles, and new asset classes, in addition to perennial forces like competition and regulation.
As in most cases, technology can provide powerful solutions. But to a great extent the family-office industry has fallen somewhat short when it comes to technology adoption. Although some offices have onboarded advanced software systems that reduce costs and improve compliance, many others remain wary, opting to continue operating as they have for years despite the extra labor that typically entails.
Such resistance is often a function of family preference or office culture (or both). Whatever the case, at Masttro we know one truth above all: Family offices that use wealth-management platforms wisely see improvements in performance, efficiency, employee and client satisfaction, and more.
The most significant benefit, in our experience: Technology allows for the elimination of time-intensive data aggregation and analytics processes, which clears the plates of the top financial minds (who are, ironically, often bogged down with basic tasks) at family offices. This allows them more time for high-level strategizing and opportunity seeking.
What’s more, the right technology can help with the trickiest of family-office tasks: presenting to clients an accurate, actionable, and complete picture of a complex multi-generational wealth ecosystem. This is accomplished through an intuitive interface that presents a holistic view of a client’s portfolio across asset classes, entities, locations and currencies. When clients can see visual representation of their portfolios, it’s easier for them to understand both challenges and opportunities. More efficient, productive and enjoyable conversations inevitably follow.
That’s especially so when clients are guided through these representations by thoughtful family office professionals. In helping our clients maximize Masttro’s patented estate-mapping tool, we’ve noticed that easy-to-understand reporting affords family offices the opportunity to more clearly digest each element of an estate, allowing them to drill down, explore, and scenario-plan.With the ability to access real-time data and reports through the platform, family offices are ideally positioned to recognize risks and opportunities immediately—and act swiftly on clients’ behalf.
With new and old challenges swirling, family offices need to act fast to meet the challenges of the hour. By adopting technology, family offices can not only skirt problems but reap major productivity benefits as well. Those that do are the ones who will thrive in this brave new world.