Global uncertainty prompts wealthy families to rethink their diversification strategy, TMF Group research finds
Wealthy families and family offices are considering a broader range of factors when choosing where to manage their wealth, according to new research by TMF Group, a global provider of private wealth and family office services.
31% of family offices cite being close to the markets they are investing in as their primary reason for choosing a jurisdiction, followed by political stability (23%) and economic stability (23%).
According to TMF Group’s latest white paper, titled 'Building a future-ready family wealth strategy', family offices are no longer looking at geographical diversification as a one-off response to uncertainty, but as an ongoing and long-term risk mitigation strategy.
Diversification is creating new layers of complexity
Rather than moving away from established bases, the white paper outlines that most family offices are taking a more strategic approach, expanding into additional jurisdictions as their operations and investment portfolios grow.
“Families are increasingly making strategic moves to diversify across geographies, protecting themselves against local volatility and accessing new opportunities,” said Tim Houghton, Global Head of Private Wealth and Family Offices at TMF Group. “But this creates a new challenge: diversification can reduce concentration risk, but it also means families must manage increasingly complex regulatory, reporting and governance requirements across borders.”
This increased complexity is visible in the contrasting profiles of the jurisdictions families often consider. According to the rankings of the 2026 Global Business Complexity Index (GBCI), Mexico, Brazil, France and Italy rank among the most complex jurisdictions worldwide, while Hong Kong and Jersey sit among the least complex ones.
Technology and AI are moving from experimentation to governance
The white paper also identifies a second shift: family offices are moving from asking whether they should use AI to considering how to use it without compromising privacy, security or decision-making standards.
AI is increasingly being explored for investment research, due diligence and operational workflows, but adoption is not uniform across generations.
“What’s interesting about AI in family offices right now isn’t really the technology. It’s the generational gap in how people feel about it,” said Houghton. “What we see is an increased concern about how to use AI while ensuring governance, cybersecurity and risk management.”
Generational differences are reshaping family office decision-making
The white paper also points to a shift in the sophistication of family offices. Professionalisation is prompting more offices to explore models such as multifamily arrangements and virtual family offices or outsource some functions.
On investment priorities, although interest in ESG considerations has eased in recent years, the white paper finds that it is expected to remain a key consideration in the long term as younger family members take on a larger role in decision-making.
“The defining characteristic of private wealth today is not simply mobility, but optionality,” said Houghton. “Families want to be able to access different markets, investment opportunities and wealth centres without becoming overexposed to any one jurisdiction.”
The full white paper is available here: Building a future-ready family wealth strategy
Media Contacts
Marina Llibre Martin, Global PR Manager
marina.llibremartin@tmf-group.com
