The Changing Landscape of Global Wealth
Jamie McLaughlin is a management consultant focused on firms who serve the UHNW and family office client segments.Listen in!Key Highlights: [00:01 - 19:06] How Multi-Family Office Platforms Grow RapidlyJamie discusses about the overall market There is a category of multifamily offices called "commercial multi-family office," which refers to firms that have never had a first family but serve higher, larger familiesThese firms have grown tremendously in the past few years, and many are now seeking larger, more complex clients[19:07 - 23:59] What to ask when interviewing a multifamily officePrivate equity firms typically rotate capital within a business unit for five to eight years, and there is a misalignment of interest between the capital sponsor and employees or clientsThe traditional 10-year term is problematic, and how younger principles are considering their own transition to commercial multi-family officesInterest rates on debt financing are more expensive, and this may take a tail off the aggressive nature of multiples[24:00 - 43:19] Characteristics of Great RIAsThe four types of investment firms are: commercial banks, trust companies, RIAs, and brokerage firmsThe culture of a RIA is often that of a "militant fiduciary"Why sales is seen as a bad word in the RIA culture, and acquiring new clients is often a condition of staying in business[43:20 - 47:20] Closing Segment Key Quotes: “Debt is sometimes a means of the financing structure in some of these deals. Debt may be in fact used by the firm, not in the deal itself, but in their capital structure.” - Jamie McLaughlin “It doesn't make any sense to have a relationship price. You really lose money on that. So pricing discipline is critical.“ - Jamie McLaughlinConnect with Jamie:LinkedIn: https://www.linkedin.com/in/jameshmclaughlinWebsite: www.jhmclaughlin.comConnect with me on LinkedIn! Hosted on Acast. See acast.com/privacy for more information.