Family Office Security: What to Put in Place

A family office is a private company that manages a wealthy family’s affairs: its investments, property, staff, tax, philanthropy and often its day-to-day life. Because it sees everything, it is the natural place to own the family’s security. At a minimum, a family office should commission a risk assessment, control who has access to the family and its information, vet staff and suppliers, plan travel, secure the homes and agree what happens if something goes wrong.

This guide explains what a family office is and the security it should put in place. If you would like help setting that up, see how our security for family offices works alongside the people already in place.

The essentials:

Start with a risk assessment of the family, its homes and its profile.
Control access to the family, the homes and the information the office holds.
Vet everyone with access, from house staff to suppliers.
Protect information: routines, addresses, travel plans and finances.
Plan for the worst: who does what if there is an incident.

What Is a Family Office?

A family office manages and supports the organisation of a family’s wealth. It can handle administration, investment management, wealth transfer, tax, family meetings and even holidays and days out. There are two types:

A single-family office serves one family only. The family sets it up and recruits its own staff, so it carries the operational risk itself but has full control over what the office does.
A multi-family office provides family office services to more than one family, with its own staff. The family does not need to recruit anyone.

The title “family office” is not protected, so anyone can say they offer family office services. Some offer only asset management. It is worth checking that an office offers exactly what you need, and security is one of the things to ask about.

Why Security Belongs in the Family Office

Wealth brings risks that a family’s other advisers may not see: threats on the street and at home, fraud, obsessive attention, and intrusion on privacy. A family office already holds the information that matters: where the family lives, how it travels, who works for it and how money moves. That makes it both the best place to manage security and, if its own controls are weak, a source of risk.

Many family offices protect the family’s investments and data carefully but give less thought to the family members themselves. The safety of the family deserves the same regular review as any investment.

1. Start with a Risk Assessment

Before buying any security, the office should understand the risk. A personal and family risk assessment looks at who might take an interest in the family and why, how visible the family is, its routines, its homes, its travel and its online exposure. It may involve talking to staff and others close to the family, to build a true picture of daily life. Our guide to personal security risk assessments explains what one covers.

The assessment should be repeated whenever life changes: a business sale, a new home, a public role, a child starting school, or an incident.

2. People and Access

The people closest to the family know the most about it. The office should keep a clear record of who has access to the family, the homes and the information it holds, and review it whenever someone joins or leaves.

Vet before access. House staff, nannies, drivers, house managers and contractors should be checked before they start. Thorough staff vetting covers identity, history, references and the right to work.
Need to know. Staff should know only what they need for their role. A gardener does not need the travel diary.
Leavers. Collect keys and cards, change codes and remove system access on the day someone leaves.
Notice change. Unexplained changes in behaviour, money worries or new contacts are worth a quiet conversation.

Our article on insider threats explains why this matters.

3. Information and Digital Security

Much targeted crime now begins online. The office should:

keep addresses, routines and travel plans on a strict need-to-know basis;
protect email and payment approvals with strong authentication, and confirm any change to bank details by phone on a known number;
brief the family and staff on social media, especially posting plans or locations in real time;
review what can be found about the family online, and remove what can be removed.

Fraudsters often target the office rather than the family, posing as a family member, adviser or supplier to redirect a payment. A rule that no payment changes without a call-back stops most of these.

4. Travel and Movement

The office usually books the family’s travel, so it controls who knows the plans. It should share itineraries only with those who need them, check transport and accommodation for risk, and know who to call if something goes wrong abroad. For journeys or events where the risk is higher, it may arrange close protection for family members or a security driver for that period.

5. The Homes

Each home needs its own plan, matched to who lives there and how often. That covers locks, alarms and cameras, who lets visitors in, what happens when the house is empty, and whether a residential security team is needed. Our guide to home security for high-net-worth families covers the main measures.

6. A Plan for When Something Goes Wrong

The office should agree in advance who does what in an emergency: a medical incident, a break-in, a threat, a missing family member or a kidnap. The plan should say who takes charge, who talks to the family, who contacts the police and advisers, and how the rest of the family is kept safe. It should be short enough to use and practised often enough to work.

FAQs

What security should a family office provide?

At a minimum, a family office should arrange a risk assessment for the family, control and record who has access to the family and its information, vet staff and suppliers, protect payments and data, plan travel, make sure each home has a security plan, and agree what happens in an emergency. The detail depends on the family’s profile and the risks the assessment finds.

What is the difference between a single-family office and a multi-family office?

A single-family office serves one family, which sets it up and employs its own staff, so it has full control but carries the operational risk. A multi-family office provides the same kinds of services to several families with its own staff. Either can coordinate security, but a multi-family office should keep each family’s information strictly separate.

Should household staff be vetted by the family office?

Yes. The family office usually employs or manages household staff, so it is best placed to check them before they start and to keep checks up to date. Vetting should cover identity, employment history, references and the right to work. Staff should then be briefed on confidentiality and know only what their role needs.

How often should a family office review security?

At least once a year, and whenever something significant changes: a move, a business sale, a new public role, a new member of staff, a child starting school, or an incident. Security that suited the family two years ago may not suit it now, so treat the review like any other regular check on the family’s affairs.