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Many family offices face tax season stress due to last-minute data gathering and compliance checks, increasing error risks. With AtlasFive, they can streamline processes, enhance accuracy, and ensure year-round tax readiness.

Predictive AI and generative AI, including EtonGPT™, are revolutionising portfolio reporting for family offices by enabling real-time risk management, advanced scenario analysis, and data-driven investment strategies.

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By embracing AI-driven tools and integrated data-centric architectures, family offices can future-proof their operations, enhance decision-making, and ensure sustainable growth in an increasingly complex wealth management landscape.

Next-gen family offices are embracing emerging technologies like automation, AI, and serverless cloud systems to enhance operational efficiency, safeguard assets, and align with the progressive values of younger generations.

Simplify tax season with AtlasFive® by Eton Solutions. This all-in-one platform offers automated tax reporting, seamless data integration, and AI-powered assistance with EtonGPT™, ensuring accuracy and efficiency. With expert tax support and advanced K-1 processing, AtlasFive® transforms tax management into a streamlined, scalable experience for family offices.

In the intricate world of family offices managing high-net-worth portfolios, Artificial Intelligence (AI) emerges not as a replacement but as a robust ally.

"Good Enough AI” doesn't strive to eclipse human intelligence, but it excels in accomplishing specific tasks swiftly, economically, and effectively.

This transformative technology heralds a paradigm shift, turning every task, project, or challenge into an opportunity to shine.

The journey from alphabets to algorithms illustrates a fascinating trajectory of human innovation.

"Humans at Scale" encapsulates this profound change, where knowledge professionals harness the capabilities of Generative AI to efficiently produce bespoke content, augmenting human output similarly to the transition from manuscripts to printing in the 15th century.

What practical applications of generative AI will significantly impact family offices within the next five years?

Generative AI, which creates novel content by leveraging vast datasets, has ushered in a plethora of data privacy and copyright challenges. Central to these concerns is the determination of ownership: does the generated content belong to the AI, its developers, or the user?

K-1 processing presents significant challenges for family offices. The manual entry of data from K-1 forms, which are associated with partnerships, S corporations, estates, or trusts, is often labor-intensive, prone to errors, and resource-draining. These challenges demand a solution that not only streamlines the process but also reduces mistakes, scales with business growth, and integrates seamlessly with existing systems.

Psychologists define resilience as the process of adapting well in the face of adversity, trauma, tragedy, threats, or significant sources of risk. For family office’s, the need to adapt intensified with the pandemic and will be ongoing through a potential recession in 2023/2024.

All family offices rely on software to help run their operations. While many of these packages are routinely updated, they may no longer meet the needs of a modern office. What makes software obsolete? Gartner describes obsolete software as “an information system that may be based on outdated technologies, but is critical to day-to-day operations.”

Do family offices ever fail? Yes, they do. The reasons behind many failures involve family dynamics, in which generational and other differences create tensions and challenges. However, there is another major point of failure for family offices that is easier to correct—technology.

Along the technology journey toward automotive automation and self-driving cars, experts frequently talk about five levels of automation, ranging from no driving automation whatsoever (Level 1) to full driving automation (Level 5). Today’s family offices might think about a similar spectrum when considering where they are in harnessing the power of automation to improve the way they get from here to there.

When it comes to elevating the “customer experience” to improve client satisfaction and results, today’s family offices could learn a thing or two from Starbucks.

In business, it's all about the bottom line. There are several factors that affect that bottom line, and an effective business leader will monitor them all. One of the most important measures is what's called the operational efficiency ratio, also known as the indicator of the health of the business. The operating efficiency ratio compares the expenses to any revenue generated and obviously the goal is to have as low a ratio as possible—to be able to generate revenue in the most efficient way.

Back in the old days, when the holy grail of an integrated investment ledger and general ledger was just a dream, a family office had to cobble a system together with the tools available. Many offices relied on the combination of Microsoft Excel and QuickBooks, or they looked to a wide variety of point-based functional technology products that had been sold into the family office space – after being developed for fund managers, hedge funds, private equity firms, etc. Not a great solution, but options were limited.

More than a few economists are now predicting a recession in late 2022 or in 2023. Then again, others say a downturn will be averted. Either way, most people think that a family office is well protected and would not be affected much by a recession. History says otherwise.

Building, retaining, empowering, and optimizing teams is perhaps one of the biggest challenges facing any organization. Without good people who have the knowledge and tools to excel at their jobs, businesses cannot perform.

Across multiple surveys of family office software users, cybersecurity is consistently the single most important and commonly identified item of concern. The potential breach of the family office IT system and the loss of confidential data keep many family office personnel up at night.

The idea of machines overthrowing and displacing humans has long been feared. This fear dates to at least 1872 in Samuel Butler's literary work Erewhon. Then, machines were mere metal gears, yet this fear still festered. The fear was driven by comparing the rate of the evolution of machines vs. the pace of the evolution of humans. Butler states, "What I fear is the extraordinary rapidity with which they are becoming something very different to what they are at present. No class of beings have in any time past made so rapid a movement forward."

Islands can be ideal vacation destinations. However, data islands (or data silos) cause significant problems when managing a family office. Created by using the wrong tools and work processes, data islands result in work duplication, reporting delays and errors, and families wondering about the true status of their affairs.

If your family office is still using on-premises IT infrastructure, such as in-house servers running your applications, you probably are taking significant unnecessary security and compliance risks. You're also wasting precious time and resources that could be better spent adding value for your family.

"Tailor-made" is a popular expression that suggests a great fit for a given need or situation. A great fit can be fantastic if achieving that right fit doesn't require exorbitant amounts of time, inefficient manual processes, costly custom software development, and too many resources.

Since a single family office (SFO) is solely tasked with managing the money of one single family, the Securities Exchange Commission (SEC) has historically allowed them to operate under different regulations from traditional investment advisors. The 2008 financial crash first prompted regulators to reconsider this exemption. Although no changes were made at that time, the more recent collapse of Archegos Capital Management in March 2021 spurred lawmakers to introduce bill H.R. 4620, which would change how SFOs are regulated

Bill-pay in a family office—what does it look like?  The process starts when a product or service is purchased, and the office receives a vendor invoice for payment. That invoice is recorded, validated, approved for payment, and then paid. The process is time-consuming and error-prone for many family offices, involving manual, paper-intensive workflows, multiple point systems, and spreadsheets.

Aggregating data for reporting, planning, and performance tracking is one of the most essential requirements for any family office. Its importance continues to grow. As the hub for a wide range of information critical to the family or families it serves, the family office needs to quickly and accurately aggregate, analyze, and report on data from various sources.

The direct investing process for family offices is an ever-increasing “barbell” challenge. Initially there is the process of evaluation and due diligence around the proposed investment, and then once the investment is made the perils revolve around data and maintaining the investment “reality”: IRR, ownership, reporting, etc. Investment on one side and operations on the other — this can be a big-lift for a family office.