Skip to main content

Suggested Ways a New Manager Should Approach a Family Office Who They Want To Do Business With

Reaching out to family offices in the hope of doing business together is something that people, including myself always wrestle with.   Some Family Offices are  easier to work with than others, and some have certain steps that they want you to take.  

This post is from 5 Family Office Representatives that list what they suggest is the best way for a new manager to approach a family office that they want to do business with: 

CEO - 
Single Family Office (SFO)

The approach really depends on if we have an interest in the strategy the manager is presenting.  With that being said we are always looking for great new managers.

PRESIDENT & CIO - 
Single Family Office (SFO)

Email / Call / Meeting.  Send Deck First!

CIO//SENIRO WEALTH ADVISER AND PORTFOLIO MANAGER- 
Multi Family Office (MFO)

The team should be first rate, experienced and trustworthy.  The investment thesis must accord with Team experience and fit current and future investment environment.  Executive summary should be 1-2 pages and very concisely set out with the opportunity.  first meeting should be educational and not sales-y.   Presentation should be data-dense and concise.  Investment  docs must be investor/LP friendly with European waterfall and NO underlying fees apart from management fee and incentive over a reasonable hurdle.  Patience as we don't move very fast.   And have to be good and interesting people.

MANAGING DIRECTOR - 
Multi Family Office (MFO)

Develop a relationship with one of the three principals first, before pitching a deal.   A lot easier to discuss a project if we have an existing relationship b/c some of the requisite due diligence will have been completed already (remember due diligence is in large part about the individual/sponsor.  Often times as much or more than the deal itself.)

ASSOCIATE DIRECTOR-
Multi Family Office (MFO)

The best way would be schedule a meeting with our investment team.  If the strategy is of interests, the terms are acceptable and we believe there would be client demand, then the manager would undergo our due diligence process.

Comments

Post a Comment

Popular posts from this blog

Are Attending Family Office Conferences Worth It?

Today I had the opportunity to attend the Wilson Single Family Office in NYC (which was a great conference).  Throughout the day I would take the time to meet others that had attended, and when I approached one of the attendees I asked where he was from and the reason for him attending.  His response was that he was there looking into the Family Office space as a possible section of the market to raise capital from.  It was then that I started to explain to him the nature of Family Office Conferences and what you will find in the Family Office space. Is the Family Office space a place to raise capital for your venture, project or opportunity?  Yes, however Family Offices do not move quickly and heavily rely on relationships.   They want to know you are here to stay and not just a "one and done participant"  so when they see you for the second or third time it makes an impression. DJ Van Keuren on the Panel of Real Estate Investing at the ...
Post a Comment
Read more

Embedded in CNBC’s Real Estate “Recovery Watch” data center is evidence that the US real estate cycle is in full swing

Embedded in CNBC’s Real Estate “Recovery Watch” data center is evidence that the US real estate cycle is in full swing.  You can access it  here . It shows that of the 141 main cities in the contiguous United States, only 5 saw price falls in the last12 months (and those prices fell by 1 per cent in those 5 cities). Expect general rise in prices to continue for a while. Akhil Patel, of US Family Real Estate, said the following: “It’s ironic that CNBC refers to its graphics as a “recovery” watch. The US real estate market recovered a long time ago. The data shows that the current real estate cycle is now in full swing. Expect to see continued house price appreciation across the United States as well as rising demand for housing, increase in construction and mortgages. The real estate cycle plays out over 18-20 years historically, and there is much further to go.” You can read more about the cycle by downloading our White Paper.
Post a Comment
Read more

Harvard's Endowment commits to a target investment range into real estate between 10% to 17% for 2016

Years ago, before the downturn I was paying very close attention to the investing allocation of my Alma Maters Endowments Investing Strategy HMC (Harvard Management Company), especially in the area of real estate.  I believe that not only was Harvard a great place to understand the importance of investment allocation strategies before the downturn but even more so since the downturn. In fact, investors who are looking to enhance the performance of their investment portfolios probably won’t find a better investment model than the one used by the $37.6 billion endowment for Harvard University. The entity in charge of managing the endowment, Harvard Management Company (HMC), has accrued an impressive investment track record across its 41-year history. As of fiscal year 2015, the endowment had produced an average annual return of 12.2% – 290 basis points higher than the average 9.3% return of a typical U.S. 60/40 stock and bond portfolio. The methodology behind HMC’s success i...
1 comment
Read more