Should You Use a Private Wealth Management Firm or a Family Office?

Should You Use a Private Wealth Management Firm or a Family Office

Are you a high-net-worth individual, or one who is responsible for making financial decisions for a high-net-worth family? Are you searching for an all-in-one financial advisory “solution” for financial planning to preserve and build your wealth along with the execution of that solution (not just a financial “plan” alone)? If you have answered yes to these questions, then this article is for you.

For most, the best solution may be found by engaging a private wealth management firm along with trusted specialist referrals as necessary. For some individuals and families, greater intergenerational wealth and planned business transitions lead to increased financial complexities which require more personalization. These individuals and/or families may benefit from a singularly committed family office.

But what differentiates a “Private Wealth Management Firm” from a “Family Office” and which is best for your financial circumstances? Read this article to learn more.

Private Wealth Management Firm

A private wealth management firm typically provides, at minimum, the personalized services to formulate comprehensive financial plans for private, high-net-worth individual and affluent family clients, and the execution of those financial plans on behalf of such clients.

Such planning and execution may be carried out by in-house experts or by contracting/referring to other trusted and more specialized firms employing professionals with the required expertise. These practice areas may include investment management, retirement and estate planning, philanthropic planning, business planning, tax planning, and insurance services, among others.

A private wealth management firm serves multiple clients on a fee-for-service or commission-fee compensation basis.

The Family Office

A dedicated family office or single-family office (SFO) exclusively manages the financial affairs of one family or a small group of related families. The employees of the SFO are compensated solely by the proprietary family or families, thereby eliminating the distractions of any external clients. Similar to private wealth management firms, they often hire external managers for some services such as investment management.

The cost of using a family office can be expensive. Families usually engage a dedicated family office when their assets have grown to such an amount that the benefits and attention of full-time financial management outweighs the cost.

Is a Private Wealth Management Firm or a Family Office Best for You?

At the end of the day, when deciding between a private wealth management firm or a family office for an all-in-one financial advisory “solution” to preserve and build wealth, along with the execution of that solution, your decision may come down to cost.

Some may feel the private wealth management firm that provides services to many and varied clients may be diluting its capabilities by trying to be all things to all clients and subsequently providing less than optimal customization; however, other than a very few ultra-high-net-worth families, most do not have the assets to justify the costs of establishing a dedicated family office.

A middle ground can be found with a private wealth management firm that can construct a comprehensive financial plan and also act as a point of contact for all external professionals who facilitate the implementation of the plan. Whether a private wealth management firm or a family office is chosen, both have the ability to hire external investment managers to ensure that a trusted best-in-class professional will be handling the execution and management of investments.

Your Personalized Wealth Management Solution with Bloom Investment Counsel, Inc.

Wealthy individuals and families, family offices, foundations, corporations, institutions and trusts come to Bloom Investment Counsel, Inc. for true private and personalized investment management services.

Established in 1985, Bloom Investment Counsel, Inc. is a Toronto-based independent, privately-owned boutique investment management firm with over 37 years of experience managing in excess of $2.5B in assets over the years.

We specialize in helping our clients generate a total return through capital appreciation and a steady stream of income with our actively managed, personalized dividend-paying investment portfolios. Each client receives the benefit of a dedicated portfolio and direct communication with our portfolio managers if clarification is needed on any aspect of the investing process.

We are long-term and long only managers, and our long-standing clients speak to our commitment and ability to protect, preserve and build their wealth throughout the test of time.

Learn more about our personalized investment management services by visiting our website at https://bloominvestmentcounsel.com/investment-management/ or get in touch with a senior member of our team today.

At Bloom Investment Counsel, Inc. we are happy to work with all your trusted partners to protect, preserve and build lasting wealth.


Bloom Investment Counsel, Inc. is a well-established Toronto-based independent, privately-owned boutique investment management firm providing actively managed, customized Canadian and U.S. dividend-paying portfolios for wealthy individuals, family offices, foundations, corporations, institutions and trusts.

Founded in 1985, Bloom has experience in managing in excess of $2.5B in assets over the years. We believe that generating independent cash flow is central to the success of our clients’ portfolios because it provides capital for the present day, if needed, while continuing to preserve and build wealth for the future.

Follow Bloom Investment Counsel, Inc. on LinkedIn to stay up to date on our most recent articles.

This content is provided for general informational purposes only and does not constitute financial, investment, tax, legal or accounting advice nor does it constitute an offer or solicitation to buy or sell any securities referred to. Individual circumstances and current events are critical to sound investment planning; anyone wishing to act on this content should consult with his or her financial partner or advisor.

Leave a Reply

Your email address will not be published. Required fields are marked *


© 2022 Bloom Investment Counsel, Inc. All rights reserved. E & O E.

Powered by W3Schools