How do Family Offices feel about Lockdown 2.0?

The UK will enter its second national lockdown tomorrow meaning all but essential services and schools remain open. But, while an end date provides a glimmer of hope, what do Family Offices think about it?

The second lockdown brings with it some distinct changes from the situation we found ourselves in in March. Educational institutions will remain open, we can meet one person from outside of our household in public outdoor spaces and MPs can vote on the lockdown ahead of its start date.

Perhaps most importantly, Thursday’s lockdown also has a legal end date of 2^nd December; exactly four weeks on from its introduction, but is this something to be optimistic about?

We asked leaders and employees of UK Family Offices if they agreed with the lockdown, how confident they felt with its end-date and how it has impacted both Q4 strategy and hiring efforts.

Overall, it seems Family Offices are not in favour of the lockdown nor do not believe the lockdown will end four weeks from tomorrow but remarkably, both strategy and hiring efforts remain largely unaffected.

Just 44% said they agreed with the lockdown and out of the 56% who did not, one fifth said re-entering a three-tiered system would be an ideal alternative.

A further 89% stated they were not at all confident with the lockdown ending on 2^nd December, but it seems opinions aside, Family Offices are largely unaffected.

More than half of those surveyed stated their Q4 strategy will go-ahead as planned and a further 78% will continue with their hiring efforts. 57% of those Family Offices continuing to interview candidates will do so via video conferencing or call.

So, is there a silver lining we can take from this second lockdown?

We asked Family Offices to list the positives they are taking from the second lockdown and there were plenty to share including the push to digitisation within Family Offices, the ability to work remotely and, the ability to minimise on office expenses such as rent.

The most cited silver lining was from an investment perspective and was the ability to purchase lucrative real estate such as student accommodation and hotels. We have also seen an increase in Family Offices looking to diversify their portfolios with more than £1BN raised in the biotech industry in Q3 alone.

So, it seems it really is business as usual for Family Offices with both business and people strategy set to go-ahead. The question that remains is, will we be out of lockdown on December 2^nd?