Alexander Bove Jr. reports on the challenges of proper asset protection, particularly for married couples and families. Often times even the most brilliant and successful businessmen and women do little or nothing to protect their billions. The two most plausible explanations for this are that one, the advice from their family office on how to protect their funds was not taken, or two, that the office gave them faulty advice or no advice at all. In Mr. Bove’s experience, the latter is the more likely answer. Despite the increasing popularity and use of family offices, the advice of most family office manuals deals with everything except asset protection for the family members. Such a lack of specific planning not only leads to huge financial losses but, in some cases, to the loss of control over family businesses.
The key is that the asset protection plan must be designed for a particular family and its particular assets. Furthermore, such planning details should extend to the activities and interests of each of the family members, whether or not they are engaged in the family business. That would require an asset protection analysis for each member. Given the asset protection planning options available to family offices, and the threat to assets from outsiders, it is hard to understand why family office manuals don’t address these issues more.
See full post at: Crack In Your Assets? – Private Wealth
Posted by Jacqueline Groccia, Associate Editor, Wealth Strategies Journal.