How should a multifamily office work alongside an existing registered investment adviser?
A multifamily office should complement the existing RIA by clarifying roles, sharing information with client permission, and coordinating decisions around the family’s full balance sheet. Start with a written scope of work, a secure reporting process, and regular joint meetings. Review fees, conflicts, and responsibilities before adding or changing services.
Define the roles in writing
Begin with a plain statement of who does what. The RIA may manage portfolios, provide financial planning, or advise on securities. The multifamily office may coordinate reporting, governance, philanthropy, estate work, insurance reviews, banking relationships, or manager selection. The exact division depends on the family’s priorities and each firm’s agreement.
Ask both firms to identify decision rights. Who approves trades? Who maintains the investment policy statement? Who tracks private investments and capital calls? Who communicates with outside attorneys and accountants? Put answers, deliverables, meeting frequency, and escalation steps in writing. This helps prevent duplicated work and gaps.
Create one information and meeting rhythm
With the family’s permission, establish a shared data process. Agree on the accounts, entities, documents, valuations, and performance periods each party will use. Set a regular meeting with a short agenda covering portfolio actions, liquidity needs, upcoming commitments, governance matters, and open decisions. Keep a decision log so family members can see what was agreed and who owns the next step.
A multifamily office can coordinate internal operations with outside providers, including investment advisers, attorneys, accountants, banks, and other specialists. Define how information moves between them and who reports to the family.
The direct investments in real estate should not be overseen by your wealth adviser that's something you need to develop for yourself.
Review conflicts, costs, and responsibilities together
Ask each provider how it is paid, which services are included, and whether it receives compensation from products, managers, custodians, or referrals. Request a clear view of total costs and confirm which firm is responsible for each recommendation, approval, and follow-up.
The multifamily office should respect the RIA’s fiduciary obligations and avoid introducing investments that conflict with those duties. The family should still require timely disclosure of material conflicts and confirm that recommendations fit the agreed mandate.
Use an annual review to confirm that the partnership still works. If responsibilities overlap, revise the scope. If communication breaks down, assign one family office contact to resolve issues quickly.
Related guides
- Family Governance With a Multifamily Office
- MFO vs SFO vs RIA vs Private Bank: Which Fits Your Family?
- Access to Alternatives Through an MFO: A Practical Guide for Families
Sources
- Family Office Club research: Build Family Office Structures Around Family Priorities
- Family Office Club research: Family Office Structures, Services, and Access
- Family Office Club research: Using outside providers and managing advisor fees
- Family Office Club research: Fiduciary duty limits private direct deal introductions