Technology is top of mind for family offices as we settle into the new year. One noteworthy is the evolution of artificial intelligence. Adriana Zalucka of MyFOTech believes AI can provide unprecedented insights into the world of private markets as well as a deeper understanding of a family’s portfolio exposure to various asset classes.
It’s January, so that means ski season is in full swing. We’ve rounded up the most exclusive places for the ultra-high-net-worth to hit the slopes across the United States and Europe — with one location stateside that might surprise you. Be sure to read on to see where the ‘it’ place is for this year as well as the classic go-to spots for the ultimate winter escape.
As always, we appreciate any comments, ideas and insights that would make this newsletter more useful. I look forward to growing this family office community with your help. Please email me at [email protected].
HANDPICKED: Top technology trends transforming family offices
By TYRONE TOWNSEND
Wealth management is undergoing a metamorphosis, driven by the rise of cutting-edge technologies. Family offices, entrusted with safeguarding multigenerational legacies, find themselves at a turning point. Embracing these emerging trends will not just optimize returns but reshape how they navigate the future.
Artificial intelligence
Traditionally, navigating the complex and dynamic financial landscape has been a solitary pursuit for family offices, requiring tireless efforts to decipher market labyrinths and identify hidden opportunities. However, the advent of artificial intelligence (AI) presents a paradigm shift, transforming the way family offices manage and optimize wealth for generations to come.
AI offers a unique arsenal of capabilities that empower family offices to:
- Unveil hidden patterns and trends: AI algorithms process vast amounts of data, unearthing subtle relationships and predicting market movements with remarkable accuracy. This foresight allows family offices to anticipate risks, capitalize on opportunities and craft bespoke investment strategies tailored to their specific goals and risk profiles.
- Craft personalized investment road maps: One-size-fits-all portfolios are a relic of the past. AI delves into the aspirations, risk appetites and time horizons of individual family members, building dynamic investment plans that maximize returns while aligning with long-term financial objectives.
- Optimize portfolio performance in real time: AI acts as a vigilant guardian, continuously monitoring assets and identifying underperforming investments. This proactive approach allows for swift adjustments and ensures your portfolio stays on track, constantly adapting to market shifts.
- Accelerate confident decision-making: Paralysis by analysis becomes a thing of the past. AI presents data-driven insights and potential outcomes, empowering family offices to make informed decisions with speed and confidence.
- Hyper-personalize wealth management: AI transcends mere numbers, understanding the nuances of human behavior. By analyzing family dynamics and preferences, it can personalize communication, tailor financial products and even anticipate future needs, strengthening the relationship between family and adviser.
“The use of artificial intelligence technologies provides seamless integration of all current and upcoming innovations for ongoing optimization, businesses and the future,” said Erika Lang, head of the Americas for Journee, a New York-based provider of AI-enhanced web services. “AI acts as a powerful tool, freeing human minds to focus on the big picture, ask new questions and focus on what matters most in their lives. This dynamic partnership between human and machine creativity holds the key to unlocking the most transformative innovations of the future."
"AI's potential goes far beyond just analyzing public markets," said Adriana Zalucka, founder of MyFOTech, a New York-based fintech company that provides technology strategies for family office needs. "By leveraging its powerful algorithms, family offices can gain unprecedented insights into the world of private markets. This includes understanding their portfolio's exposure to various asset classes, the influence of diverse economic and geopolitical factors, and the unique dynamics of specific market segments.
“This deeper understanding empowers family offices to make informed investment decisions, capitalize on hidden opportunities and optimize their risk management strategies, ultimately leading to a more resilient and prosperous portfolio."
Gartner's prediction that over 80% of businesses will leverage AI by 2026 is a powerful testament to its transformative potential. For family offices, embracing AI is not merely a competitive advantage; it is the key to unlocking a new era of financial security and prosperity, ensuring stability and continuity for generations to come.
Internet of Things and cyber resilience
The pervasive reach of the Internet of Things (IoT) offers family offices an opportunity to transcend geographical boundaries and optimize management of their diverse holdings. From sprawling estates to remote investment properties, family offices can now remotely monitor energy consumption, ensuring resource optimization and cost savings. Security systems seamlessly adapt and respond to potential threats, leveraging the vigilance of integrated sensors to provide proactive alerts and thwart unforeseen risks.
Cybersecurity Ventures, a Californian research organization, paints a stark picture, predicting global cybercrime costs to balloon to $10.5 trillion by 2025. The IoT equips family offices with cutting-edge cybersecurity services, leveraging sensor data to build an impenetrable digital shield to protect valuable assets and sensitive information.
Beyond operational prowess, the IoT unlocks a new frontier of personalized experiences. Imagine smart homes meticulously attuned to individual preferences, where temperature, lighting and even entertainment adapt to each family member's unique rhythms.
The implications of the IoT extend far beyond mere convenience. As family offices embrace this technology, they unlock a future brimming with possibilities. Virtual-reality tours of ancestral lands, remote inspections of global holdings and AI-powered asset management tools that adapt to market shifts in real time — these are but glimpses into the future powered by the interconnected genius of the IoT.
"Every family office must prioritize a robust cybersecurity program," said Tony Gebely, CEO of Annapurna Cybersecurity Advisors, a North Carolina-based firm specializing in safeguarding family assets and reputations in the face of evolving cyberthreats and privacy concerns. "This program should involve regular, independent cybersecurity audits and alignment with a well-established cybersecurity framework. Such frameworks, like NIST or ISO 27001, provide a structured approach to managing cyber risks and ensure that your program is built on best practices.
“Regular audits by qualified third parties offer valuable insights and hold your program accountable, while aligning with a framework strengthens your defenses and demonstrates a commitment to cyber hygiene. Ultimately, a strong program with regular audits and a well-defined incident response plan is the cornerstone of effective cyber protection for any family office."
Robotic process automation
Robotic Process Automation (RPA) presents an opportunity for family offices, shifting their attention from tedious tasks to strategic insights and empowering teams. Repetitive burdens like data entry, report generation and compliance checks are seamlessly handled by intelligent software bots, freeing people to delve into high-value activities that truly move the needle for your family's wealth and legacy.
RPA's impact transcends mere cost savings. It offers a multifaceted arsenal of benefits, poised to empower family offices in profound ways:
- Eliminating errors: Human error is an inevitable byproduct of repetitive tasks. RPA, however, introduces a new level of precision and accuracy. Imagine financial reports devoid of human inconsistencies, compliance checks conducted with flawless attention to detail and data management that operates with unwavering reliability. By minimizing the risk of error, RPA safeguards your family's wealth and ensures responsible stewardship for generations to come.
- Adaptability: Unlike rigid, inflexible solutions, RPA adapts to your family office's landscape. Its seamless integration with existing systems and processes allows for a tailored implementation that grows alongside your family's needs. Whether your portfolio expands or your priorities shift, RPA effortlessly adjusts, ensuring that your family office remains agile and prepared for the future.
- Scaling with your legacy: Family offices — like families — come in all shapes and sizes. The beauty of RPA lies in its inherent scalability. Whether you manage a complex portfolio or a more streamlined one, RPA adapts to your needs, providing the same level of automation and efficiency. This empowers family offices of all sizes to unlock the full potential of their people and focus on what truly matters — building a legacy that stands the test of time.
The rapidly growing RPA market, projected to reach $24 billion by 2030, speaks volumes about its potential. By embracing this technology, family offices can unlock a new era of efficiency, accuracy and agility.
Immersive learning
Imagine engaging next-generation family members in interactive virtual-reality simulations of family businesses, fostering financial literacy through gamified learning and preserving family history through virtual tours of past generations' legacies. This is the transformative power of immersive learning.
"Immersive technologies allow online experiences that inspire, elevate and empower individuals all over the world," said Hrish Lotlikar, CEO of SuperWorld, a California-based company that assists in investments in digital assets. "Our mission is to build the most impactful internet possible, one that inspires families to connect, learn, grow and express themselves in meaningful ways."
The immersive media market is projected to reach $178.7 billion by 2032, highlighting the immense potential of this technology. By embracing immersive learning, family offices can foster a sense of shared history, cultivate financial responsibility in younger generations and strengthen the bonds that bind families together.
This is just a glimpse into the technological revolution transforming family offices. By embracing these trends and tailoring them to their needs, families can future-proof their legacies, optimize their wealth management and cultivate meaningful connections across generations.
Technology is not a threat but an opportunity to empower families, navigate the complexities of the future and ensure their legacy thrives for generations to come.
The best ski destinations in the world right now
If you're thinking skiing, chances are you're thinking Colorado. And if so, you're likely thinking about Vail and what it offers on the slopes by day and in the resorts at night.
By SUSAN B. BARNES
Last year’s exceptional ski season saw hundreds of inches of fresh powder fall at ski resorts around North America. The National Ski Areas Association reports that average snow fall at ski areas during the 2022-23 season totaled 224 inches, while Utah saw a record-breaking 903 inches fall. If this season follows suit, skiers, snowboarders, shredders, snow bunnies and après-ski enthusiasts will be stoked. In fact, The 2024 Old Farmer’s Almanac reports that this season’s snowfall will be above normal.
To make the most of the snow, here’s a look at some of the most luxurious ski destinations in North America and Europe — not only to play in the snow but luxe spots to warm up, too.
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NORTH AMERICA
Alaska
When you think of skiing in North America, chances are you don’t think of Alaska, but that may change. Seven ski areas dotted throughout the vast state offer myriad opportunities for backcountry and heli-skiing. One of the most memorable backcountry skiing experiences, however, may be in the shadows of Mount Denali.
An exclusive, epic mountain experience awaits March through June at Sheldon Chalet, sitting all alone in the Don Sheldon Amphitheater of Mount Denali’s Ruth Glacier, just 10 miles from the summit. A stay at the all-inclusive five-bedroom, 2,000-square-foot chalet includes an inbound and outbound helicopter flightseeing tour, meals prepared by a world-class chef and a sauna for easing tired muscles. For the ultimate backcountry skiing experience, guests enjoy a private gear-fitting, custom backcountry skis and skins, and experienced guides who will help you make the most of the 35 square miles of untouched powder. You may even be rewarded with a private showing of the northern lights. Rates from $97,000 for up to four people, three-night minimum.
British Columbia
Travel the Sea to Sky Highway from Vancouver to Whistler and you’ll feel as if you’ve arrived at the top of the world. This part of British Columbia boasts more than 8,000 acres of skiable terrain, not to mention an immense backcountry, from powder-filled bowls to groomed corduroy to untouched snowfall just waiting for you. Backcountry tours range from skiing and snowboarding to ice climbing, snowshoeing and ski mountaineering — climbing a mountain before you ski down it. The region also offers heli-skiing and heli-boarding, cat skiing and boarding, bobsleigh and skeleton rides, snowmobiling and heli-ice-cave exploration.
All of this wintertime fun is sure to have you more than ready to return to your luxurious accommodations at the end of the day. After freshening up in your guest room at Four Seasons Resort and Residences Whistler, sink into a chair in the resort’s new speakeasy, The Library by The Macallan. The space, which opened in December, reimagines the refined charm of an authentic library, blended with the beauty of The Macallan Estate in Scotland, and serves five cocktails featuring Macallan Single Malt whisky.
Or opt for an exclusive stay at the new Wedge Mountain Lodge & Spa, which opened in November. The 12,000-square-foot lodge boasts 10 en-suite bedrooms that can accommodate up to 20 guests. Amenities within the lodge include a movie theater, curated wine cellar, poker and billiards room, bar, children’s area and access to a private chef. The private spa features a sauna, steam room, gym, massage rooms, hot tubs, refreshing pools and more. Full-service rates start at $12,500 a night.
Colorado
Think skiing in North America, and chances are the first place that pops into mind is Colorado — and with good reason: Colorado ski country boasts 26 world-class resorts and “a mountain for everyone,” not to mention its mild weather and 300 days of bluebird skies.
One of the most popular ski destinations in the state is Vail, with more than 4,200 acres of terrain boasting views of iconic peaks and access to seven legendary back bowls to conquer. About 90 miles west of Denver, there’s no shortage of luxurious stays in Vail, either — such as the Four Seasons Vail, with private retreats for extended stays; The Arrabelle at Vail Square, with 81 elegantly-designed guest rooms and private residences; and The Hythe, an Alpine haven in the Rocky Mountains.
Another option is Opus, a nine-bedroom, 15-bath house in Vail Village considered “the crown jewel of Vail” and surrounded by the natural mountain landscape found throughout Vail Valley. The décor inside is a blend of mountain-inspired custom art and luxury modern mountain living with state-of-the-art amenities. Two year-round outdoor heated swimming pools and hot tubs are the perfect place to soak muscles weary from days of winter play. Rates start at $24,950 a night.
About two hours from Vail is another popular destination when it comes to skiing in Colorado — Aspen. Long before it started attracting winter sports enthusiasts, Aspen was a silver-mining town that was booming in the late 1800s. Now people flock to Aspen in the wintertime for its four ski mountains that constitute the Aspen Snowmass Resort.
One place to stay in Aspen is The Little Nell, the mountain’s only ski-in/ski-out hotel. The pet-friendly five-star hotel elevates the ski experience with boot warming, equipment tuneup and storage services, and a ski concierge who can help arrange lessons, adventures and tours. At the end of the day, relax beside your in-room fireplace or indulge in a treatment at the new Spa at The Little Nell; it’s the only ski-in/ski-out spa in the area.
Utah
With an abundance of fresh powder already this season, Utah is a terrific skiing destination. That, and the slopes are easily accessible — seven are just 45 minutes or less away from Salt Lake City International Airport. From classic ski lodges in Alta to locals’ favorites Snowbird and Park City — the largest ski resort in the U.S. — and plenty of others, you’re rich for choices when it comes to having fun in the snow in Utah.
In and around Park City, you're rich for choices when it comes to lodging. Five-star properties include Montage Deer Valley, with stunning views from its perch atop Empire Pass; the ski-in/ski-out St. Regis Deer Valley, with a private ski valet; and Stein Eriksen Lodge Deer Valley, voted the nation's Best Ski Hotel 2023 by the World Ski Awards.
Another option in downtown Park City is the intimate Washington School House Hotel, built as a school in 1889. At this elegant boutique hotel with 12 rooms and suites, guests enjoy impeccable service and a quiet retreat right in the middle of all of the action.
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EUROPE
Italy
About three hours from Venice, 3½ hours from Milan and four hours from Munich are Italy’s Dolomites, a world-class ski destination in a protected UNESCO World Heritage Site. In fact, the Dolomiti Superski region is the world’s biggest ski destination, with 450 lifts in 12 resorts that make nearly 750 miles of slopes, ranging from long runs to gentle routes, easily accessible. Though it’s the world’s largest ski destination, you won’t find lift lines or crowds on the slopes; rather, perfect skiing conditions. And the region is perfect for experienced skiers along with first-timers.
In the Dolomites’ South Tyrol is the Hotel Chalet Mirabell, a 70-room wellness hotel with mountain villas that range from 1,722 to 3,261 square feet — perfect for an après-ski stay. This winter, the hotel is offering its Ski & Fun Winter Package through Jan. 20 and Feb. 25-March 29 — including a four-day ski pass for each guest, three-quarters gourmet board (breakfast, lunch, dinner), access to the 64,000-plus-square-foot adults-only spa, guided llama and alpaca hikes and more.
Another option in South Tyrol is Adler Spa Resort, a terrific choice for skiers who are also foodies. Here, head chef Martino Longo creates seasonal and authentic dishes that reflect the region’s heritage, while at the same time highlighting the best of Mediterranean cuisine. For example, tuck into a chanterelle strudel; Tyrolean dumplings with beetroot, radicchio and gorgonzola; and finish with an apple strudel or crème brulée with chocolate croquant.
At the other end of Northern Italy the “Wild Side of Mont Blanc” awaits in La Thuile and the Aosta Valley. Here powder enthusiasts will find nine ski areas, including the world-renowned Espace San Bernardo, with nearly 7,500 acres of terrain at an altitude of 4,000 to more than 9,000 feet.
The five-star Montana Lodge & Spa opened in La Thuile in December, making for a terrific après stay. The boutique retreat features 55 contemporary and innovative guest rooms, two restaurants, a stellar wine cellar and Erre Spa with an indoor heated pool, bio sauna, outdoor hot tub, Turkish bath and more.
An hour north of La Thuile is Courmayeur, one of the historic capitals of mountaineering and mountain hiking, not to mention a fantastic ski destination and the home of the world's first ski lift. The authentic Alpine village on Mont Blanc boasts more than 60 miles of pistes and, of course, the Funivia Monte Bianco or Mont Blanc Funicular.
Here you will want to make a reservation at the Grand Hotel Courmayeur Mont Blanc, a new five-star boutique retreat with 72 elegant guest rooms, a restaurant and bar, and an Erre Spa complete with indoor heated pool, sauna, Turkish bath and more.
Switzerland
A few hours’ drive from Zurich, the Jungfrau Region boasts world-class skiing on more than 130 miles of pristine ski trails at an altitude perfect for powder. The charming Alpine village of Grindelwald is an idyllic homebase from which to adventure out. One highlight in the region is Big Pintenfritz — one of the world's longest sledding runs, with more than nine miles of continuous downhill thrills.
When it comes time to après-ski in the Jungfrau Region, opt for a stay at the Boutique Hotel Glacier, a four-star hotel with impeccable dining; or the Bergwelt Grindelwald Alpine Design Resort, a 90-room hotel that opened in 2021 with a selection of restaurants and bars, not to mention the Fire & Ice Spa for real après relaxation.
About 2½ hours south of the Jungfrau Region is Crans-Montana, with views across the Valais valley — from the Swiss Matterhorn on the left to the French Mont Blanc on the right. Make the most of a stay in the Swiss Alps at Six Senses Crans-Montana, where winter adventure awaits. The resort began its first ski season in December with myriad opportunities, such as First Tracks ski passes, paragliding off the slopes at sunset and landing back at the resort, a concierge to help you make the most of the 87 miles of ski runs, and cheesemaking classes. Don’t overlook the resort’s ski spa program to aid in muscle recovery as well as the sauna for deeper relaxation.
LOOSE CHANGE
Athletes invest in golf league: A group that includes Formula 1 driver Alex Albon and Manchester City footballer John Stones will take part in events for the TGL indoor golf league, expected to start in 2025, and help expand the team’s fan base.
Global risk report points to disinformation, climate change, wars: The World Economic Forum report warned that such manipulation of information "may radically disrupt electoral processes in several economies over the next two years" — highlighting also that 2024 is a busy year for elections across the globe.
Four Seasons Resort Nevis unveils new dining experiences: Among the new offerings is the transformation of Kastawey Beach Bar, a toes-in-the-sand restaurant on the resort’s south shore, into a traditional seaside sushi haven.
Help us with a story: We’re working on a story about creating legacy lists for multi-generational families. If you have any comments on the topic, reach out to [email protected].