Family Office: A Phygital Approach Serving Families and Future Generations

March 18, 2026

The family office represents a structural shift in wealth management. Long centered on investments, the field is evolving toward a more holistic approach, in which an understanding of family dynamics, governance, and the coordination of expertise have become central elements.

The academic literature reflects this transformation. It shows that the family office extends far beyond the scope of asset management to encompass family, organizational, and intergenerational dimensions. This perspective aligns with the approach of the ISFB Family Officer Certificate, which offers a structured and cross-functional view of the issues at hand, integrating family governance, investment strategy, wealth transfer, and stakeholder coordination.

The family office as a framework for family governance

In their 2017 article, Rivo-López et al. present the family office as a genuine mechanism of family governance. In its traditional sense, it is a structure that operates on behalf of a family, with the function of centralizing asset management while incorporating the specific needs of its members. The authors identify three main categories of activities: investments, family-related matters, and administrative functions. They also emphasize the absence of a standard model, as each family defines its own structure based on its values, culture, and objectives.

This lack of standardization is essential. It serves as a reminder that any effective wealth management strategy begins with a deep understanding of the family itself, its unique character, its intentions, and its long-term vision. It is on this foundation that governance can be structured, before investment decisions can truly take shape.

A diverse community, shaped by each family’s history

The article by Schickinger et al. (2023) provides further insight. Based on a study of 109 German-speaking families with a single family office, the authors highlight significant heterogeneity in these structures. Two dimensions appear to be decisive: whether or not the family still owns the original family business, and whether or not the founding generation is still present. These factors directly influence the objectives pursued, entrepreneurial investment behavior, and governance mechanisms.

This diversity is fully reflected in practice, where each family develops its own model based on its history, assets, and family dynamics. The family office thus becomes less of a rigid structure and more of an evolving framework capable of adapting over time.

This research confirms a reality on the ground: a family office cannot be understood through a purely technical lens. It lies at the intersection of several constantly evolving dimensions—family, wealth, business, and organizational.

In this context, their role is increasingly taking on a coordinating function. It involves bringing together a wide range of expertise—legal, tax, financial, real estate, and philanthropic—to create a coherent framework aligned with the family’s objectives.

This approach lies at the heart of the ISFB Family Officer Certificate. The program is based on a structured approach: starting with the family, organizing governance, and then structuring investments. It integrates both human aspects—such as family governance, intergenerational transfer, and relational dynamics—and financial aspects—such as wealth planning, asset governance, and private markets.

Technological advancements, particularly those related to artificial intelligence, naturally fit into this framework. They enhance analytical capabilities, facilitate data consolidation, and improve execution. Their value lies in their ability to support decision-making.

Technology amplifies decision-making. It does not determine it.

A family office approach thus tends toward a model that could be described as “phygital”—a combination of a human, family-centered perspective and digital capabilities that enhance investment decisions. In this model, the sequence remains essential: understanding comes before structuring, which in turn comes before the investment.

This trend also opens up new opportunities for private banks, which have a unique chance to evolve their value proposition toward a more comprehensive approach that integrates governance, advisory services, and investment solutions within a coherent and sustainable framework.

Taken together, the studies by Rivo-López et al. (2017) and Schickinger et al. (2023) point to a convergence. The family office emerges as an adaptable structure, designed to address the growing complexity of family and wealth management situations. It is not limited to a management function but serves as a framework for organization, coordination, and long-term planning.

The family office thus serves as a function dedicated to ensuring continuity. It is a function that provides clarity, structures the decision-making process, and supports families over the long term.

In an environment characterized by an abundance of information and rapid technological change, the ability to make sense of complexity, ask the right questions, and bring stakeholders together has become crucial.

And it is precisely this ability to align interests that ensures the continuity of families across generations. Wealth management remains a deeply human discipline. Technology merely enhances it.

References

Rivo-López, E., Villanueva-Villar, M., Vaquero-García, A., & Lago-Peñas, S. (2017). Family offices: What, why, and what for. Organizational Dynamics, 46(4), 262–270. https://doi.org/10.1016/j.orgdyn.2017.03.002

Schickinger, A., Bierl, P. A., Leitterstorf, M. P., & Kammerlander, N. (2023). Family-related goals, entrepreneurial investment behavior, and governance mechanisms of single family offices: An exploratory study. Journal of Family Business Strategy, 14(2), 100393. https://doi.org/10.1016/j.jfbs.2020.100393

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