Agreus’ co-founders Paul Westall and Tayyab Mohamed were invited to the UBS On-Air: Conversations podcast for UHNW Client Solutions in August. They sat down with Mark Tepsich, Executive Director and Senior Strategist for Family Office Solutions at UBS to share their insights on Family Office staffing and compensation.

This topic is often at the forefront for Family Offices, especially as they look to retain key employees in a challenging economy. So, we’re sharing the highlights from the conversation and how you can listen to the full podcast.

The key insights include:

  • Importance of clear purposes and objectives
    Paul Westall suggested that purposes differ across Family Offices. There is a need to define clear purposes and objectives as it’s crucial for identifying the recruitment needs and the compensation structure of the Family Office. This will also be immensely helpful in achieving candidate alignments in the recruitment process.
  • The value of working with a Family Office recruiter
    Tayyab Mohamed pointed out that there is a nuance in hiring for a Family Office that Principals may not be aware of. A specialist recruiter can offer the Family Office access to a concentrated pool of highly relevant candidates. With their knowledge and experience, they will also be able to guide the clients throughout the entire recruitment process.
  • Hiring the right people for your Family Office
    Paul highlighted the importance of cultural fit in Family Office recruitment. Family Offices need to establish a clear understanding of the type of candidates that can work well in their culture. You can find out more about assessing cultural fit here.
  • Hiring challenges faced by Family Offices
    Tayyab discussed the hiring challenges faced by Family Offices. He advised that, as Family Offices are competing for high-calibre investment talents with top Private Equity firms, they must actively review their reward and retention strategy in order to attract and retain these professionals. He suggested that Long-Term Incentive Plans (LTIP) such as Carried Interest are very effective in retaining high level staff.
  • Importance of compensation structuring and professionalisation
    Both Paul and Tayyab emphasised the importance of professionalising the Family Office and an effective compensation structure. The lack of a clear and transparent compensation structure may cause resentment within the Family Office. So, they should familiarise themselves with the compensation benchmark and standard compensation practices, incorporating this with a formal review process for compensation, to avoid disputes with employees.
  • Unique nature of Family Office
    Paul and Tayyab noted that a role in a Family Office may not be for everyone. Due to the personal and unique nature of them, as Family Office professionals are required to work very closely with the family members. Therefore, they must possess interpersonal skills, a high level of emotional intelligence, and be ready to do work that is beyond their job remit to satisfy the family members.

People are the biggest assets of a Family Office. Here at Agreus, we provide tailored and dedicated services to our Family Office clients. We take time to understand the culture of the Family Office, the existing team members, and deduce what would be a perfect fit for that particular client. We work exclusively with Family Offices and cover various roles within a Family Office, from accounting and finance, investment, support and operational to executive staff. We understand the dynamics of a Family Office and can offer the perfect candidates as well as consultative advice on compensating your employees. For a more tailored conversation about hiring for your Family Office, please do not hesitate to get in touch.

If you wish to listen to the full podcast, this can be accessed via the link below or on Apple Podcast:

https://www.ubs.com/content/dam/podcasts/wma/on-air/conversations/230831%20-%20FOS%20Podcast.MP3

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