A survey of single family offices reveals what worries them most.

The top worry of single family offices is investment theory and asset allocation strategies in order to preserve wealth, according to survey results obtained exclusively by Family Wealth Report. More than 80 SFOs were asked what worries them most at the Family Office Association’s summer summit and 70 cited this as their top concern.

SFOs cited endowment and tactical allocations models as the two they use most.

Following a close second is implementing these strategies with 63 saying this concerns them most. In terms of implementation the question on SFO’s minds is whether to go internal or external.

Internal management could mean hiring a chief investment officer, for example. β€œWe are seeing a surge of families doing in house,” Greg Coules managing director at New York-based recruiting firm Hunter Advisors told FWR.

Coules co-leads the hedge fund recruiting practice and leads the family office and endowment practice. He is also a board member of the Family Office Association and a senior advisor to the Gruss-Lipper Family Foundation.

External choices include large banks with private wealth management platforms, fund of hedge funds, using a consultant to choose investments or an external CIO model.     

About half surveyed said entrepreneurialism is on their minds – in particular getting younger generations to focus on converting SFOs into a moneymaking enterprise. Ways in which SFOs are looking to do this include investing or taking a controlling investment in small companies or angel investing.  

Based in Greenwich, Connecticut Family Office Association is a global membership organization for single family offices and families of wealth.