FA M I LY
O F F I C E S /
W E A LT H /
P H I L A N T H R O P Y /
RAISING AFFLUENT CHILDREN IN THE AGE OF GOOGLE
F I N E
A R T /
L U X U R Y /
M AGAZIN E
F O N
L I F E S T Y L E
THE RISE OF
FAMILY OFFICE INVESTMENT CLUBS
PILOBOLUS
DOLCE & GABBANA’S
MASTERS OF REINVENTION
ITALIAN VILLA LUXURY HOME FEATURE
ART BASEL A COLLECTOR’S UTOPIA
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Trusted Legal Advisor. Pepper focuses on assisting family offices in deploying and managing their investments, as well as assisting families in the creation and structuring of their family offices.
Berwyn Boston Detroit Harrisburg Los Angeles New York Orange County Philadelphia Pittsburgh Princeton Rochester Silicon Valley Washington Wilmington pepper.law
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ANDREW SCHNEIDER F O U N D E R /
P U B L I S H E R
from
The Publisher Tis the season. Happy Hanukah. Merry Christmas. Happy New Year.
“
As we enter 2020, our team at Family Office Networks is pleased to be celebrating six years in business. Since 2013, our network has continued to expand and explore new ways to work together to share ideas.
As we enter 2020, our team at Family Office Networks is pleased to be celebrating six years in business.
”
Much of what we do focuses on helping families grow and preserve wealth. This magazine, however, focuses on experiences that bring families closer together. During the holiday season, it’s important to realize that, in the words of Henry David Thoreau,“Wealth is the ability to fully experience life.” So, whether your family is passionate about travel, jewelry, yachting, jets, or other luxury opportunities, we hope this holiday issue will have some new ideas. As you contemplate the perfect holiday gifts for family and friends, conceptualize vacation ideas for the year ahead, and seek new ideas to make the holidays extra special, I implore you to do one more thing. Please remember those who are not as fortunate, embrace the idea that wealth is to be shared, and understand that charitable giving is the ultimate reward for your hard work.
organizations supporting children and youth globally. The foundation is developing new tools focused on enhancing how donors select, monitor and experience their impact. The vision is to disrupt the philanthropic industry by combining passion and expertise with game-changing technology and partnerships. Alexandre Mars, Founder & CEO of Epic Foundation, is a serial entrepreneur, expert in new technologies and engaged philanthropist. His team combines experience across the global development, technology, social and business sectors. Together, they are committed to supporting children and youth around the world. Luckily, philanthropy is enjoying a resurgence as younger generations realize the importance of making a difference. We all have a favorite cause and should do what we can to contribute time and money in support of its mission. Since we’ll be writing about philanthropy in future issues of FON Magazine, please take a few minutes to let us know your favorite non-profit organization. We’ll do all we can to help spread the word. Happy Holidays!
One of my favorite organizations is Epic Foundation, a non-profit that bridges the gap between a new generation of individual and corporate donors and FON MAGAZINE / HOLIDAY ISSUE 2019 / www.fonmagazine.com
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CHARLOTTE LUER E D I T O R - I N - C H I E F
from
The Editor In Chief
“
If you have suggestions for our 2020 editorial calendar, please let us know. We look forward to hearing from you and hope you enjoy the Holiday Issue.
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”
As art collectors worldwide gear up for another highly anticipated Art Basel there’s definitely excitement in the air. This year’s event promises to be bigger and better than ever – if that’s even possible. As the premier art fair of the Americas, Art Basel 2019 will welcome 269 leading galleries from around the globe, including modern and contemporary art galleries displaying works by 4,000+ artists, to Miami Beach. There’s truly something for everyone. The winter holiday season is definitely my favorite time of year. Family-time, amazing parties, great cuisine and surprise presents represent pure joy and a time to be thankful for our blessings. During the celebrations, however, don’t forget to take time out to help others, perform random acts of kindness, contemplate your legacy and remember what is most important in life. FON Magazine is just one of the many priority activities that provide family offices with the information and intelligence they require to enhance and preserve the family legacy over time. We’re fortunate to be partnered with leading brands and look forward to introducing more luxury, worldclass opportunities to our families via
FON MAGAZINE / HOLIDAY ISSUE 2019 / www.fonmagazine.com
exceptional custom content. These luxury experiences are among the ties that bind families closer together and lead to lasting memories. If you have suggestions for our 2020 editorial calendar, please let us know. We look forward to hearing from you and hope you enjoy the Holiday Issue. Happy Holidays and Happy 2020!
Charlotte Luer Editor-in-Chief charlotte@fonmagazine.com +1.239.404.6785
SUREJ (SUNMAN) KALATHIL A
R
T
D
I
R
E
C
T
O
R
from
The Art Director
“
It’s been a great pleasure to work with
included in our spring issue. Stay tuned!
Family Office Networks this past year to
Once again, many thanks for all of the
debut our new Luxury Magazine. I’m
kind words and favorable comments on
thrilled that it has been so well received
the magazine’s design.
and enjoyed seeing so many people enjoying reading it at our many events.
I’m hard at work on a new Surrealistic Photo Art series that will be included in our spring issue. Stay tuned!
”
I wish you all a Happy New Year!
In fact, I snapped a few photos of our readers that you can see in this issue’s Out and About pages. As Art Basel approaches and we make plans to distribute the magazine at the many related events, the topic of art is certainly at the top of my mind. At present, I’m hard at work on a new
Surej ( Sunman) Kalathil Art Director surej@fonmagazine.com +1.561.827.9072
Surrealistic Photo Art series that will be
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READY SET
FLY
We are corporate jet leasing, done right.
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Content Editorial FOUNDER/ PUBLISHER Andrew Schneider 561.906.1181 andrew@fonmagazine.com EDITOR-IN-CHIEF Charlotte Luer 239.404.6785 charlotte@fonmagazine.com
FA M I LY
O F F I C E S /
W E A LT H /
P H I L A N T H R O P Y /
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TIPS FOR RAISING AFFLUENT CHILDREN
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THE RISE OF FAMILY OFFICE INVESTMENT CLUBS
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FAMILY OFFICE PROFILE HOBAN FAMILY OFFICE
ART DIRECTOR Surej Kalathil (Sunman) 561.827.9072 surej@fonmagazine.com
The information in this issue of FON Magazine is for information purposes only. FON Magazine Inc. assumes no liability or responsibility for any inaccurate, delayed or incomplete information, nor for any actions taken in reliance thereon. The information contained about each individual, company, product or organization has been provided by such individual, company, product or organization without verification by us. The opinion expressed in each article is the opinion of its author and does not necessarily reflect the opinion of FON Magazine or Family Office Networks. Therefore, FON Magazine and Family Office Networks carry no responsibility for the opinion expressed thereon. Any form of reproduction of any content on this magazine without the written permission of the publisher is strictly prohibited. © 2019 FON Magazine. All rights reserved.
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HOLIDAY ISSUE LU X U R Y /
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FAMILY OFFICES INVESTING IN BROADWAY
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SNEAK PEEK AT THE NEW 2020 BENTLEY CONTINENT GTC CONVERTIBLE
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PILOBOLUS MASTERS OF REINVENTION
A VISIT TO DOLCE AND GABBANA’S ITALIAN VILLA FOUR SEASONS RESORT MAUI PERFECTS THE ULTIMATE LUXURY GETAWAY THE JOURNEY TO YACHT OWNERSHIP OUTDOOR GEAR FOR HOLIDAY FUN
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DREAM BIG AT ART BASEL
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Tips for Raising Affluent Children in the Age of Google BY PAUL & WES KARGER, CO-FOUNDERS AND MANAGING PARTNERS OF TWINFOCUS
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Provide Ongoing Financial Education By engaging in financial education early on, parents can help their children to understand the responsibilities of wealth so that they will one day be prepared to make decisions with a full and comprehensive understanding of more complicated balance sheets.
D
ecades ago, ultra-wealthy families could shroud their children from their net worth and could be much more discreet. Of course, children would know that their parents had material wealth based on the environment in which they were raised – the size of their home(s), make/model of cars in the driveway, lavish trips on a private jet, etc. – and would understand it more as they grew older. But they likely wouldn’t know the sheer level of family wealth nor annual income until having reached adulthood. And, oftentimes, they only gained insight into the true family fortune after receiving an inheritance Today, children can easily glean info into their family’s wealth as soon as they learn how to type a search into Google. Worse yet, there’s just as much of a chance that friends, casual acquaintances or even strangers could have done the Googling and brought it up with children first. This transparency can be intimidating for families, many of whom are understandably hesitant to have discussions around wealth and would prefer sharing information with their children at their own pace. However, regardless of a family’s preference, this opacity into the family fortune is inevitably impacting the way the ultra-wealthy parent their children, the financial strategies they leverage to manage wealth, and their efforts to instill the appropriate values into the next generations. So, here are a few tips to help navigate the challenges along the way.
Introducing new elements of wealth stewardship (i.e. basic saving, principals of compounding, charitable giving, capital market theory, alternative investing, etc.) to children annually is one effective strategy to consider. For example, when your children are young, you might start giving them an allowance with an understanding that a portion must be allocated to making a donation to a charity of their choosing. In future years, you can build on their knowledge and understanding of philanthropy by introducing them to the family foundation. As children get even older, the conversation might surround Roth IRAs and compounding interest, before diving into additional topics – which could be more sensitive, confrontational or confusing – such as prenups, wills and trusts. This education is a journey and will be different for each family. However, in our extensive experience, it’s certainly best to have these conversations earlier versus later to provide your children with a better long-term education and holistic view of what the family is trying to achieve. But don’t forget to set aside dedicated time each year to make sure these conversations take place. You can even consider holding them as part of a “retreat” or family vacation where you know there will be time to talk, connect and answer questions.
Communicate Openly from an Early Age It is crucial to have conversations with children to teach them about money as early as possible. When younger generations are brought up and taught to discuss the responsibilities of wealth with ease and confidence at an early age, they’re better equipped to handle the external variables beyond a parent’s control. And ultimately, this also lays the groundwork for managing a significant inheritance – which otherwise, and without the proper advice/advisors, can be extremely overwhelming. Additionally, with parents and older generations as role models to emulate, the younger generation will be more likely to manage and treat wealth in a way that aligns with family values. Generational upbringing and the values one learns from parents, we hope, often transcends generations. When it comes to having these discussions, remember to use the resources at your disposal. Pull in your family office manager or other financial professionals you work with to help have these conversations or prepare you for them. And try to stir them up in casual settings, like family BBQs or excursions, so that children will feel more at ease and be more receptive to learning. FON MAGAZINE / HOLIDAY ISSUE 2019 / www.fonmagazine.com
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