The family office used to be an institution that was, in some ways, insulated from the family, making financial decisions on the clients’ behalf without their consistent direct involvement. Now that model is rapidly evolving with the innovation with household technology; and, while this may be more apparent because of the pandemic and the resulting economic changes, it was actually in play long before “social distancing” and “super-spreader” became household terms.
Most likely, covid expedited the shifts that occur organically as the younger generations come of age to manage their family’s wealth – bringing with them their own priorities, both philosophical (i.e. a commitment to conscious capitalism) and substantive (taking a more hands-on approach rather than relying on experts to do it all for them). Moreover, there is an increase in multifamily offices, which can be more affordable but offer less individualized service that many families are accustomed to. Regardless, if you’re stepping into a more active role in the management of your family’s wealth, you’re likely already employing technology, just as you do with every area of your life. That said, all digital tools are not created equal, and when used together can actually decrease efficiency and increase mental fatigue. If you’re looking to up your game, it may be time to check out tailored household technology to help you streamline processes and jump on wealth-building opportunities faster than ever before.
Data is the lifeblood of our world today; however, it’s often only as good as the speed and clarity with which we share it. For example, if you are collaborating with your family office team to make time-sensitive investments, transparent real-communication with them is critical, especially if they are handling several families or are used to dealing with the less involved clients of yesteryear. Using the EstateSpace’s messaging app, everyone can more easily share and weigh in on information in one safe space, rather than combing through multiple text and email threads. The same goes for regular updates about investments, potential legal changes, and so on.
These benefits also apply to your home(s), whether you are overseeing things yourself, in conjunction with your family office, or with a separate estate management company. You and household staff can upload and share budgets, schedules, regular tasks and timelines, as well as information concerning larger projects such as renovations or events. Also, anyone with access can update these documents, so all parties are on the same page and clear about their roles and responsibilities.
Barring some frightening sci-fi scenario, technology will never take the place of human reasoning and the ability to balance it with emotional concerns, such as weighing your parents’ legacy with your own vision for the future. With each new advancement, though, it will better augment those skills so you can focus less on processes and more on what’s important to you. Right now, all-in-ones solutions are the best tools to help you digest, understand and act on large amounts of data without burning out.