{ "docId": "019dd923-5e88-73ef-bd58-d60590226592", "docSlug": "4dabb861968e8184", "documentTitle": "ey family office study client deck asia pacific", "authorId": "MorganStanley", "authorName": "EY", "documentKindSlug": "consulting-deck", "documentKindLabel": "Consulting deck", "sourceTypeSlug": "equity_research", "sourceTypeLabel": "Equity research", "presentationDate": null, "orientation": "portrait", "aspectRatio": 0.707, "pageNumber": 36, "pageCount": 64, "prevPage": 35, "nextPage": 37, "slideType": "other", "function": "summarize", "density": "overcrowded", "nDataPoints": 0, "notes": "This appears to be a page from a report or guide (EY Family Office Guide).", "elementsJson": [ "paragraph" ], "metadataConfidence": 0.9, "imagePath": null, "slideHref": "/slides/019dd923-5e88-73ef-bd58-d60590226592/36", "deckHref": "/decks/019dd923-5e88-73ef-bd58-d60590226592", "deckJsonHref": "/decks/019dd923-5e88-73ef-bd58-d60590226592.json", "deckAnchorHref": "/decks/019dd923-5e88-73ef-bd58-d60590226592#slide-36", "components": [ { "bbox": { "h": 0.02, "w": 0.4, "x": 0.05, "y": 0.95 }, "kind": "disclaimer", "text": "34 EY Family Office Guide Pathway to successful family and wealth management", "attrs": null, "subkind": null, "toolName": null, "toolSlug": null, "confidence": null, "componentId": "e319595a-d091-475f-ba3f-b3977de535cc", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.43, "x": 0.51, "y": 0.36 }, "kind": "paragraph", "text": "Examining prior investment styles and questionnaires can help to identify the family's tolerance to risk. In addition, scenario testing that illustrates and draws out important sensitivities to risk and portfolio drawdowns can be useful.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "0aa13b2c-7cb5-46e5-8fdc-947130188d89", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.43, "x": 0.51, "y": 0.58 }, "kind": "paragraph", "text": "Once the specific investment goals and the risk profile of the family office have been established, the next step is to structure an overall portfolio and then bring to bear the necessary investment tools to drive the investment process.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "309ae593-85c0-4439-b56a-27cf820cd6df", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.43, "x": 0.05, "y": 0.71 }, "kind": "paragraph", "text": "For most investment funds, whether they are sovereign wealth funds, endowments or family offices, the first step is to establish clear investment objectives and risk profiles.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "78cd9281-8574-4ab2-b811-72d28414179e", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.06, "w": 0.43, "x": 0.05, "y": 0.54 }, "kind": "paragraph", "text": "Credit Suisse's Family Business Survey 2012 suggests that most family businesses, even those at the third generation and older, do not yet have a family office.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "9256f558-a832-46d9-8033-f73891d25072", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.43, "x": 0.05, "y": 0.77 }, "kind": "paragraph", "text": "An important distinction can also be made at this stage between liquid assets, such as tradable securities, and illiquid assets, such as direct investments, private equity and real estate.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "94fe1a3f-b35f-4951-8d74-5c6443bb4df1", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.43, "x": 0.05, "y": 0.36 }, "kind": "paragraph", "text": "The crafting of an investment process is heavily dependent on legacy issues. In what economic sector has the family made its money, to what extent is the family still actively involved in the business and what is the background of the CIO of the family office?", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "a67c2aa6-e843-4e40-9e0c-294039330827", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.43, "x": 0.51, "y": 0.48 }, "kind": "paragraph", "text": "Once an asset allocation recommendation has been reviewed, understood and accepted, the family should formalize their investment plan in an investment policy statement.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "dce230a4-6bed-459b-82d2-86b0d76826e0", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.43, "x": 0.51, "y": 0.71 }, "kind": "paragraph", "text": "Selecting the most efficient combination of assets for the family requires an adjustment to portfolio optimization that takes into consideration the ultimate after-tax return that they would expect to receive.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "de256692-a4b6-4e8c-ad98-1306cefd5744", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.43, "x": 0.05, "y": 0.45 }, "kind": "paragraph", "text": "Another issue that is also important is the composition of the family. For example, a family office that is set up by a first-generation entrepreneur would probably be very different in its aims to one that is established by a large fourth generation family.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "f38372bf-5ed3-4f49-88e7-87a6bd791659", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.02, "w": 0.25, "x": 0.05, "y": 0.68 }, "kind": "title", "text": "Setting investment goals", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "2954d9e0-642f-4202-9af7-859b7364a28f", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.02, "w": 0.2, "x": 0.05, "y": 0.33 }, "kind": "title", "text": "Role of the family", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "d97fc84d-3f4b-420f-a2a5-eb44edd5334b", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.02, "w": 0.2, "x": 0.51, "y": 0.68 }, "kind": "title", "text": "Tax considerations", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "dce97668-f33b-4d3f-bff8-068d4de40c2c", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [], "arcBeats": [], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }