Survey Says: Family Office Boards

How common are family office boards? Deloitte Private’s Family Office Insights Series – Global Edition: Defining the Family Office Landscape, 2024, offers a look at which family offices are most likely to have boards, and who their members are.

Almost three-quarters — 73% — of family offices in the Deloitte survey have a formal board of directors. This includes 87% of offices serving G4 or later, and 71% of offices serving G1-3. The average board has four members, and boards have an average of 58% family members.

“Having a board can be very fruitful, very important for a family office and allows for robust decision making. Roughly half of the board tends to be family members,” says Rebecca Gooch, Global Head of Insights with Deloitte Private. “I’ve heard family offices tell me it’s really nice having that blend because the family really needs an outside perspective to help them make as strong decisions as possible.”

The survey offered a breakdown of the percentage of family offices in different regions that have boards:

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  • Europe: 86%
  • North America: 63%
  • Asia Pacific: 66%

It also looked at common backgrounds for board members:

  • Strategic planning: 64%
  • Finance, tax and legal services: 64%
  • Investment/asset management (58%)
  • Family management (54%)

Eric L. Johnson, Deloitte’s U.S. Family Office Tax Leader, says he sees governance as a top priority for many family offices, due to a convergence of several factors.

“There are a lot of offices transitioning from a G1 patriarch or matriarch, that kind of controlled everything, to the next generation, where ownership and control of assets is more distributed among a larger group,” Johnson says. “I also see with the increased institutionalization of family offices, the need for professional management. The governance structures are more sophisticated. The use of private trust companies or holding companies creates the need for a separate governance.”

About the Author

Margaret Steen

Margaret Steen is the editor of FO Pro, The Family Office Professional. Based in Silicon Valley, she has written for Family Business Magazine for more than 15 years.


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