Roles of Family Members vs Professionals in Family Offices #
Successful family offices balance the participation of family members and external professionals in leadership, management, and oversight. The division of roles depends on the office’s scale, the family’s skills and involvement preferences, and the sophistication of their investments or operations.1
Core Roles and Governance Structure #
- Family Members:
- May serve as board members, founders, or senior executives (e.g., CEO, CIO, chair)
- Provide direction on family values, mission, philanthropy, and long-term vision
- Participate in family councils, investment committees, and education initiatives
- Professional Executives:
- Lead core management positions (CEO, CIO, CFO, COO, risk manager, legal counsel)
- Responsible for day-to-day operations, investment management, accounting, tax, reporting, and risk oversight
- Often bring specialist expertise and external perspective; hired under employment contracts but may be granted long-term incentives or board appointments
- Board Structure:
- Board typically blends family owners with independent professionals to strengthen governance, accountability, and strategy
- Advisory committees and panels support investment, philanthropy, or technology decisions
EY and Campden Wealth surveys find that clear delegation, formal governance and the engagement of professionals are associated with higher effectiveness and lower conflict.2 Succession plans often require periodic shifts in roles and structure. Some families favor lifelong involvement in management, while others prefer oversight roles only.
Best Practices for Staff and Governance #
- Clarify job descriptions and reporting lines with contracts or formal governance documents
- Use independent directors, especially in complex offices or multi-family settings
- Promote transparency, performance reviews, and ongoing education
- Establish regular communications, including board meetings and council sessions
- Align incentives for leadership—whether family or professional—with long-term goals
