As high-net-worth (HNW) and emerging wealth individuals and families continue to grow their financial footprints, family offices have become increasingly common. These entities provide centralized management for wealth, investments, governance, and operational control.
However, with greater wealth comes greater complexity and a heightened need for thoughtful planning across succession, compliance, governance, tax, technology, cybersecurity, talent, and social responsibility.
Key Risk Management Concerns
Family offices and HNW individuals face elevated exposure to a range of risks but often lack a comprehensive risk management infrastructure. Since 2020, many still operate without formal threat mitigation protocols, leaving them vulnerable to financial, digital, and personal security breaches.
Cybersecurity as a Priority
Cyber threats are one of the most pressing concerns. About 26% of family offices have suffered a cyberattack. Many do not have cybersecurity policies, underinvest in IT infrastructure, and store sensitive information with minimal protection. Best practices to address these risks include:
- Regular software updates
- Two-factor authentication
- Strong password hygiene
- Ongoing training for staff and family
- Penetration testing and risk evaluations
Physical Security & Home Protection
Home invasions and physical threats are becoming more sophisticated, with organized crime targeting the wealthy. Suggested security enhancements include 24/7 monitored systems, smart home tech, professional security staff, and secure transportation services.
Privacy & Social Media Awareness
Oversharing online is a growing risk. Family members should be trained to manage privacy settings, avoid revealing personal information, and regularly audit their digital footprints to minimize exposure.
Combatting Organized Crime
Organized crime syndicates increasingly target HNW families, using money laundering as a tool for concealment and further criminal enterprise. Countermeasures include:
- Rigorous risk assessments
- Enhanced financial monitoring
- Collaboration with law enforcement and financial institutions
A Multi-Layered Risk Strategy
Family offices should adopt a comprehensive framework that includes:
- Cultural Safeguards: Promoting ethical decision-making and responsible wealth stewardship.
- Structural Safeguards: Leveraging legal entities like trusts to limit liability.
- Legal Protections: Regularly updating legal documents and agreements.
- Risk Assessments: Evaluating vulnerabilities across the organization.
- Executive Protection: Utilizing professional personal security services when appropriate.
Staying proactive and adaptive is essential. With a well-rounded strategy and the support of trusted advisory, legal, investment, and banking professionals, HNW families can safeguard their wealth and legacy in an increasingly complex risk environment.
Seth Tuman is the Chief Administrative Officer at 2GO Advisory Group and co-leads the Family Office Practice Group. With more than 20 years of experience managing resources, budgets, and financials, he works with stakeholders and employees to establish and meet goals while fostering client relations. He supports the day-to-day operations and management of budgets, payroll, accounting systems, financing, and banking matters — including compliance and fraud protection for his clients.
Seth has established trusted relations with the companies listed below. Their teams of dedicated, experienced professionals can provide comprehensive Advisory, Legal, Investment, Banking and other related business support to HNW and Emerging Wealth individuals and entities.
The experienced attorneys at Hanson Bridgett LLP offer comprehensive legal services, counsel, and guidance to HNW individuals and families looking to setup and manage family office structures, private trusts, and foundations to meet their investment and philanthropic objectives. The multidisciplinary approach includes attorneys from a broad range of practice areas who have experience assisting HNW individuals and businesses achieve their goals throughout their entire enterprise cycle. Visit www.hansonbridgett.com or contact Eric Clarke, Partner, at (925) 746-8470.
Parallel Advisors services their family office clients in tax optimization, liquidity and exit planning, private investment access, trusts & estates, Philanthropy, lifestyle resources and concierge services. By forming Parallel Advisors as a team, with all principals as owners, the entire team is aligned to pursue the best interests of all Parallel Advisors’ clients. They work together toward the success of all, contributing our own unique talents in a culture and organizational design focused always on client outcomes first and foremost. Visit www.paralleladvisors.com or Ray Polin, Wealth Advisor, at (415) 728-9166.
The First Bank Center for Family-Owned Businesses (CFOB) was established to support family businesses through specialized resources, networking opportunities, and guidance tailored to their unique challenges. First Bank, a 4th generation, privately held, family-owned bank, has a long history of serving family-owned enterprises. In addition to the bank traditional lines of businesses, of lending and providing treasury management services, the CFOB offers services such as consulting, workshops, webinars, and an online Family Business Resource Center. Visit www.first.bank/ or Gene Seip, SVP – Relationship Manager, at (925) 787-9166.
Grobstein Teeple LLP is a full-service CPA and advisory firm serving businesses, nonprofits, and high-net-worth individuals. Their comprehensive offerings include cybersecurity (including forensics, risk management, and CISO services), transactional support (due diligence, QOE, financing), and assurance services (audits, reviews, IPO prep). They also provide tax planning and compliance, including trust and estate strategy and IRS representation. The firm offers litigation consulting, expert witness services, and turnaround support for financially distressed entities. Additionally, they advise on business transitions, succession planning, and internal controls—making them a trusted partner for complex challenges. Visit www.gtllp.com or contact Howard Grobstein, Managing Partner, at (818) 532-1020.
For your Talent needs in direct hire, full-time or part-time contract staffing, contact Executive Recruiter, Leesa Meintzer at leesa@2gorecruiting.com.
Leesa Meintzer is an executive recruiter with more than 20 years of experience in talent acquisition. She excels in partnering across various business functions and brings a comprehensive perspective to talent acquisition. She works with Engineering, Healthcare, Product, Finance, Accounting, Business Operations, Sales, Legal, Human Resources, Learning & Development, and Talent Acquisition for corporate and high-growth start-ups.
2GO Advisory Group™ is a San Francisco Bay Area-based pioneer of fractional C-suite services. We leverage our consulting partners and recruiting to customize solutions across executive functions. Business owners and executives value our expertise which spans dozens of industry sectors and practice disciplines. With more than 35 years at the forefront of fractional executive services, our flagship CFOs2GO® has evolved to include COOs2GO™, CHROs2GO™, CIOs2GO™, CROs2GO™, and Talent2GO™. Our multidisciplinary approach helps organizations navigate change, enhance executive leadership, execute business strategy, and operate in both the U.S. and internationally. We use technology and a network of C-Level consultants to provide local representation in virtually every metropolitan community in the U.S. We strive to evolve to meet the emerging needs of clients at every stage of their business. Discover more on www.2goadvisorygroup.com and follow us on Linkedin at 2GO Advisory Group, CFOs2GO, COOs2GO, CHROs2GO, CIOs2GO, CROs2GO, and CMOs2GO. Copyright