Fractional Family Office (FFO)
A Fractional Family Office (FFO) is a cost-effective alternative to a traditional single-family office (SFO), designed to provide high-net-worth individuals (HNWIs), entrepreneurs, and business owners with customized wealth management and advisory services without the full-time overhead of a dedicated family office.
How It Differs from Other Family Office Models
Feature | Single-Family Office (SFO) | Multi-Family Office (MFO) | Fractional Family Office (FFO) |
---|---|---|---|
Cost | $$$$$ (High, full staff) | $$$$ (Medium-High) | $$ (Shared, flexible) |
Clients Served | One Family | Multiple Families | Multiple Families |
Customization | Highly Customized | Less Customization | Customized, On-Demand |
Independence | Fully Independent | May Have Conflicts | More Independent |
Ideal Net Worth | $100M+ | $25M+ | $10M – $100M |
In essence, a Fractional Family Office provides access to high-level financial expertise and strategic wealth management without the high costs and infrastructure requirements of a full-time family office. It’s an ideal solution for entrepreneurs and business owners looking to protect and grow their wealth while leveraging top-tier advisory services on a flexible basis.