In an increasingly complex environment, UHNW families in Asia seek bespoke wealth solutions
J.P. Morgan Private Bank’s global team addresses the growing complexities of multigenerational wealth with experience, resilience and adaptability
Family offices are traditionally set up to meet the needs of ultra-high-net-worth (UHNW) individuals and their families, ranging from tax planning and financial management to wealth preservation and succession planning.
In recent years, however, the family office sector has entered a period of rapid adjustment driven by changing family needs, technological advancements and the need to adapt to a global and increasingly complex financial landscape. J.P. Morgan Private Bank’s “2024 Global Family Office Report” provides valuable insights into how the preferences and priorities of affluent families have evolved, and the type of enhanced services and support they need through the holistic, forward-thinking approach offered by J.P. Morgan Private Bank.
According to the report, a broader selection of opportunities within the overall investment portfolio is a key concern of UHNW families. The shift towards diversified investment strategies is based on greater flexibility, which may translate as continuing to hold a strong position in areas like real estate while expanding investments in new technologies and emerging markets.
Another prominent trend the report highlights is a preference to outsource select wealth management services to finance professionals on a discretionary basis, while still maintaining regular consultations with family members and especially emerging family leaders.
The report also underlines additional ways family offices are evolving, including an increasing emphasis on strengthening family relationships, supporting philanthropic goals and the facilitation of intergenerational wealth transfer.
“There are multiple dimensions to consider, and that brings complexity,” says Harshika Patel, CEO at J.P. Morgan Private Bank in Asia. “In many cases, our clients are owners of large businesses, and people are shifting from a traditionally home-based approach to adopting a more globalised investment footprint. So, when planning, we often need to develop a globally diversified construct to manage their wealth and remind them that doing so on this scale is very complicated.”
