London-based Family Offices w/ Principal Investing Team?

Based on the most helpful WSO content, here are some insights regarding family offices with a strong PE-style investment platform/team:

1. Investment Team Structure:

   • Some family offices operate with very sophisticated structures, similar to medium-sized institutions.
   • They often have clear investment decision-making processes and dedicated teams for different asset classes, including private equity.

2. Leadership and Decision-Making:

   • It's important to consider who is leading the firm. Family offices that hire experienced teams, including known partners or senior investment professionals, tend to have stronger investment platforms.
   • Decision-making power can vary. In some family offices, the investment team is treated like an external private equity firm with true autonomy, while in others, the family retains significant control over decisions.

3. Investment Mandate and Flexibility:

   • Family offices typically have more flexible investment mandates compared to traditional PE funds. They can invest in a variety of sectors and types of investments (minority, majority, control).
   • They often have longer-term time horizons and can be less disruptive to businesses, which can be appealing to potential investment targets.

4. Lifestyle and Compensation:

   • Hours and lifestyle at family offices are generally better compared to traditional PE firms.
   • Compensation can vary widely depending on the specific family office, but base pay can be similar to traditional funds.

5. Deal Flow and Exposure:

   • Newly-formed family offices might struggle with deal flow initially. However, those with prior investing experience and a strong network can overcome this challenge.
   • The eagerness of the family office to do deals can impact the quality and quantity of deal flow.

6. Cultural Fit:

   • Fit and relationships are crucial in family offices. Teams are often small, and it's important to get along well with the investment director or CIO.
   • Interaction with ultra-high net worth individuals is common, and managing strong personalities can be part of the job.

These points should give you a good overview of what to look for in a London-based family office with a strong PE-style investment platform.

Sources: Family office Private Equity - help, Family Office Private Equity, https://www.wallstreetoasis.com/forum/private-equity/family-office-versus-traditional-pe-shop?customgpt=1, Are we in a new Family Office bubble?, Q&A: Head of PE at Asian SFO