For many family offices, the risks are no longer theoretical. Governance is informal, reporting delayed, and portfolios are growing more complex by the quarter. Yet many still rely on basic spreadsheets to track billions. According to Copia Wealth, citing KPMG data from 2025, more than 57% of global family offices continue to use general tools like Excel for core financial reporting.
That kind of infrastructure is ill-suited for managing cross-border real estate, private equity, digital assets, and heirs with different views on risk. It slows decisions and introduces avoidable errors. It also makes succession harder, not easier.
There is, however, a model of what adaptation looks like. Switzerland, long known for discretion and stability, is now becoming a reference point for modernisation.
What Swiss offices are getting right
Roughly 250 to 300 single-family offices are now based in Switzerland. Together they manage over CHF 600 billion. According to UBS’s 2025 Global Family Office Report, these offices maintain about 13% of their portfolios in cash, compared to a global average of 9%, reflecting a cautious yet flexible approach. Meanwhile, allocations to alternative assets such as private equity, hedge funds, real estate constitute roughly 44% of portfolios, underscoring growing strategic breadth. PwC’s 2025 report confirms Swiss offices are deepening exposure to direct and impact investments and expanding outbound deals to North America, which now represent 27% of their total transactions.
One CIO, quoted in UBS’s 2025 report, put it simply: “We keep liquidity for moments like this.” That comment, made in a climate of trade wars and inflation, reflects a view that strategy does not have to mean speculation.
Governance: cleaning up the operating model
Despite increasing asset size, many family offices remain loosely run. Campden Wealth’s 2024 European Family Office Report shows that only 26% have adopted modern portfolio systems. Nearly half still lack formal succession plans.
In France, one mid-sized multi-family office has tried to change that. Its CFO, Karoline Dupont, spoke publicly at the Geneva Global Wealth Forum this spring. “Judge me when I am transparent,” she said. Her office has added an advisory board with both family members and outside professionals. The goal is to bring structure to investment decisions without sacrificing flexibility. Dupont credits the shift with reducing internal disputes and helping the office focus more on long-term goals.
Technology moves from add-on to core system
Technology is no longer just a reporting layer. For many offices, it is what makes real strategy possible. A recent report by American software company FundCount found that some teams spend as much as 40% of their time assembling and checking reports. That is time spent maintaining a view of the past, not preparing for the future.
One office that confronted this early was ALBAPAZ, a Swiss multi-family office founded in 2022. From the start, the firm dealt with multiple banks, alternative assets, and a high volume of private holdings. Traditional systems could not keep up. Within months, the team turned to Altoo, a digital wealth platform that could consolidate all holdings in one interface.
The office’s CTO recalls the shift clearly: “Reports that took days now take minutes.” More than just saving time, the move allowed the firm to see real-time valuations, monitor risk exposure, and hold strategic discussions without waiting for data cleanup.
Altoo gave the team a single point of truth. Real estate, private equity, and even NFTs were brought under one system. The platform also allowed mobile access, which proved crucial for family members travelling or based abroad. For ALBAPAZ, it was not just automation, it was clarity.
Regional profiles: different markets, same direction
In the US, family offices are bigger but face many of the same challenges. Barron’s and BNY Mellon report that American offices allocate 54% to alternative assets, including 27% to private equity and 18% to real estate. Domestic bias is still strong, with 86% of holdings remaining in the US.
Succession planning has improved. UBS notes that 53% of US offices now have formal wills or estate plans, up from 47% the year before. Still, many have yet to adopt investment committees or bring in outside managers.
In Germany, the picture is changing. Several offices born out of Mittelstand wealth are now building professional boards. Firms such as Serafin (Munich), THI Investments (Stuttgart) and Wirtgen Invest (Windhagen) have emerged with advisory boards that include external expertise to guide expansion into sectors like AI and clean energy, according to industry profiles by FamCap and ListChampion.org.
French family offices, meanwhile, are increasing exposure to healthcare and climate innovation. Financière Agache, the Arnault family office, now oversees over €140 billion and has made strategic pivots toward luxury-aligned tech and sustainability.
Asset allocation trends: what the data shows
UBS data suggests a clear tilt across all regions toward private markets. Among global offices surveyed in 2025:
- 34% of assets are in public equities
- 13% in fixed income
- 44% in alternatives
- 5–13% held in cash, depending on geography
Swiss allocations are generally more conservative but still track this global pattern. In the US, higher returns from private equity continue to attract capital, despite signs of pricing pressure. Offices are also becoming more selective. Direct investments and co-investment vehicles are now preferred over blind pools.
Compliance: the quiet pressure mounts
MiFID II, DAC6, FATCA, ESG mandates… These regulations are evolving fast. Offices that span multiple jurisdictions need systems that can handle audit trails, document exchange, and secure identity controls. Platforms like Altoo provide automated compliance tagging and reporting archives. They also support multi-user access, which is key for offices with governance shared across continents or generations.
In Switzerland, these tools serve not just to meet Swiss standards, but to prepare for greater scrutiny abroad. Offices with family members living in the US, Singapore, or the UAE now face overlapping disclosures. A spreadsheet can not manage that kind of complexity.
ALBAPAZ revisited: culture change, not just a system swap
Before Altoo, the ALBAPAZ team spent too much time assembling performance reports and checking ownership records. After the switch, their internal rhythm changed. Strategy meetings became shorter and more focused. Family partners had access to live dashboards during investment discussions. Risk and ESG scores became part of everyday conversations, not quarterly afterthoughts.
What evolution actually looks like
The transition to Family Office 2.0 is not about hiring a CIO or downloading an app. It is a deeper shift: toward formal governance, better digital tools, clearer reporting lines, and global accountability.
In the most successful offices, decisions are backed by structure but informed by family values. Tech platforms replace fragility with continuity. Advisory boards bring outside perspective. Liquidity is held with intention, not by accident.
There is no single formula. But the traits are clear. Offices that lead are quietly rewiring how they operate. Those that do not are already slipping behind.
Read the original article here.
