Family must take responsibility of their actions w.r.t. Wealth

Family members must take ownership of their decisions and not outsource family’s wealth management to advisors.

I had a few interactions in the last couple of months and it seems to me that some of the Family Offices outsource the investment process to advisors and in few cases, the sponsors take a casual approach to investing and wealth creation.

This view is coming from the fact, that when I asked a couple of sponsors, what would he do in case his view is different from the advisor’s view, he said he will rely completely on the advisor as he is not an expert investor, I am not sure if this is a good idea as an advisor does not have any impact in case of drawdown or losses. This approach of the sponsor is quite to the contrary when he is running a business despite lower stakes in businesses in some cases.

Sponsors may please rethink the investment/exit as they need to own up the outcomes of their decisions.

My very best, happy to get views and feedback.


– March 2019