Wealth is surging globally, and so is the demand for discretion and loyalty. That’s why family offices are booming. But there’s a catch—they’re running into major roadblocks in hiring the experts needed to keep those empires running, and these are some of them.
Rapid Growth In Family Offices Is Outpacing Talent Supply
The number of family offices has more than tripled in recent years, escalating the demand for skilled professionals. According to Preqin’s 2023 report, the global count rose from 1,285 in 2019 to 4,592 in 2023. This rapid growth intensifies competition for experienced talent in finance and operations.
Competition With Private Equity And Tech
Top candidates often choose private equity and tech firms because of stock options and well-known brands. These industries offer clear career growth and public recognition. In comparison, smaller wealth management firms struggle to compete for attention and attract the same level of talent.
Lack Of Clear Career Paths
Clear advancement opportunities and formal job titles appeal to many finance professionals. Without structured promotion tracks, family offices may struggle to retain ambitious employees. The absence of upward mobility drives talent toward larger firms with well-defined and clearer growth prospects.
Hesitation To Outsource Key Functions
Maintaining control over investment, tax, and legal processes is important for many families. This preference leads to in-house management of critical tasks, requiring staff with diverse skill sets. Balancing privacy concerns with external expertise access remains a strategic consideration for them.
Confidentiality And Cultural Fit Concerns
Families hiring for their offices often prioritize trust over credentials. They want people who understand their values and can keep personal matters private. These soft requirements slow hiring, and many strong candidates never make it through the intensive and personal vetting process.
Limited Use Of Technology In Talent Strategy
Embracing technology-driven HR solutions could improve efficiency while maintaining privacy and discretion. Family office recruitment remains largely traditional and relies on referrals and personal networks rather than digital hiring tools. This limits access to broader talent pools and modern recruitment strategies.
Demanding Yet Low-Visibility Roles
Many professionals in family offices handle complex responsibilities behind the scenes. While their work significantly impacts family fortunes, it rarely gains public recognition. The lack of visibility can affect job appeal, especially for those motivated by external validation or industry prestige.
Legacy Staff And Succession Issues
Long-serving family office staff carry deep knowledge of family history and preferences. As they approach retirement, replacing them becomes a priority to preserve continuity. Thoughtful succession planning ensures that institutional memory and personalized service remain uninterrupted through leadership transitions.
Geographic Mismatch Of Talent And Offices
In most cases, family office hubs exist in less urbanized or resort areas, which contrasts sharply with the major cities where most finance professionals live. This geographic gap requires creative recruitment approaches and sometimes demands a willingness to relocate, which many candidates hesitate to embrace.
Blurred Lines Between Personal And Professional Roles
Staff in family offices are sometimes expected to handle both professional tasks and personal matters—sometimes without clear boundaries. This ambiguity can lead to burnout or blurred expectations. For many skilled professionals, this lack of role clarity is a major deterrent to joining or staying in the field.
