Core Insights - The report by UBS highlights the perspectives of 317 single-family offices globally, with an average net worth of $2.7 billion and average assets under management of $1.1 billion [1] - A significant portion of family offices (79%) are involved in active business operations, primarily in real estate (14%), banking/financial services (9%), and consumer goods (9%) [1] Group 1: Recruitment and Staffing - Trust and personality are prioritized over education and qualifications in recruitment, with 73% of family offices emphasizing the importance of suitable personality traits [6] - The average number of employees in family offices is 12, with some larger offices employing over 50 staff members [13] - Operational costs are expected to remain high, with personnel costs constituting 66% of operational expenses in 2024 [13] Group 2: Risk Management - The global trade war is identified as the biggest risk for family offices in 2025, with 70% of respondents expressing concern [17] - Major geopolitical conflicts and global economic recession are also significant worries, with 61% and 53% of family offices respectively highlighting these risks [17] - Despite concerns, 59% of family offices plan to maintain the same level of investment risk in the next 12 to 18 months [18] Group 3: Investment Strategies - Family offices are increasingly focusing on diversification strategies, with 40% indicating a reliance on various asset classes to mitigate risks [21] - Active management is favored in stock investments, with over one-third (36%) of portfolios being passively managed, varying significantly by region [21] Group 4: Succession Planning - Only 53% of family offices have established wealth transfer plans, indicating a need for improved succession planning [23] - The lack of urgency among beneficiaries is a key reason for the absence of succession plans, with 29% of family offices noting this issue [25] - The complexity of family structures necessitates careful planning, especially for large and intricate family assets [23]