Key takeaways: A family office is a private wealth management unit consisting of investment professionals and a support team that is established by highly affluent families / UHNWI’s with a view to efficiently and in sync with the family’s objectives manage family wealth, and for estate planning, lifestyle needs. Dubai has become a global hub for family offices thanks to its tax advantages, strong financial infrastructure and strategic location, making it an ideal base for preserving and growing wealth across generations.
Understanding the concept of a family office
A family office is a private wealth management advisory firm created to serve the needs of high-net-worth individuals and families. Typically, these families have $30 million or more in investable assets and require a comprehensive approach to managing their wealth. The role of a family office varies significantly by family, a diversity so pronounced that it’s given rise to the industry adage: “If you’ve seen one family office, you’ve seen one family office.”
Unlike traditional wealth managers, a family office is designed to oversee nearly every aspect of a wealthy family’s financial and personal life. This may include:
- Private wealth management: Investment portfolios across asset classes like hedge funds, real estate and private equity
- Family governance: Establishing decision-making frameworks and shared values for long-term success
- Estate and tax planning: Ensuring wealth transfer strategies are efficient and legally sound
- Succession planning: Preparing the next generation to manage and grow family wealth
- Charitable giving: Structuring philanthropy to align with family values and create lasting impact
- Lifestyle management: Handling non-financial matters such as schooling, travel, concierge services, or managing yachts and private aircraft
At their core, family offices exist to preserve wealth, simplify financial arrangements for ultra-high-net-worth individuals (UHNWIs) and ensure that family assets continue to grow across future generations.
There are two main types of family offices:
- Single-family offices (SFOs): Established to serve a single wealthy family, offering dedicated and highly customised services
- Multi-family offices (MFOs): Serve several families, offering similar services with cost-sharing benefits and economies of scale
Why Dubai is a hotspot for family offices
Dubai has emerged as one of the world’s most attractive locations for setting up a family office. According to Knight Frank’s 2025 Wealth Report, it is currently the world’s foremost market for five-year growth. Several factors explain this trend:
- Growing base of wealth: The Middle East is home to a rising number of UHNW families. Dubai has become a particular magnet for this wealth, with 9,800 HNWIs expected to gain residency status in the UAE in 2025 (up from 6,700 in 2024)
- Financial infrastructure: Dubai International Financial Centre (DIFC) has positioned itself as a leading global hub for family offices. With dedicated regulatory frameworks such as the Family Arrangements Regulations, families can establish offices under clear and streamlined rules that support privacy and succession planning
- Attractive tax landscape: The UAE offers significant tax advantages, including no personal income tax, capital gains tax, or inheritance tax, making it a compelling choice for long-term wealth preservation
- Strategic location: Positioned between Europe and Asia, Dubai offers easy access to global investment hubs alongside world-class education, healthcare, infrastructure and quality of life
Services offered by a family office
Wealth and investment management
Private wealth management is at the core of most family offices, but it goes beyond traditional investment advice to cover needs like:
- Diversification across asset classes such as real estate, hedge funds and private equity
- Access to investments that align with family values
- Ongoing monitoring and reporting to adapt strategies as markets and regulations evolve, ensuring wealth continuity for generations
Estate planning, succession and governance
Family offices are also essential for long-term planning and protecting family legacies. Key areas include:
- Estate and tax planning: Setting up trusts, foundations and other vehicles to ensure efficient wealth transfer
- Succession planning: Preparing heirs to take on responsibility, whether for the family business or investment decisions
- Family governance: Documenting frameworks such as family constitutions, councils, or charters to build a shared vision
Philanthropy and charitable giving
For many wealthy families, charitable giving is a core priority. Family offices can design philanthropic strategies aligned with family values and structure foundations or charitable trusts for long-term impact.
Lifestyle and concierge services
Many family offices extend beyond financial concerns to simplify day-to-day family life. Depending on the family, the range of services might include:
- Oversight of real estate and luxury assets such as aircraft, yachts, or art collections
- Managing household staff, education planning and travel arrangements
- Arranging personal security services for peace of mind
Who needs a family office?
Families typically consider establishing a family office when their wealth becomes too complex for a traditional adviser. Common triggers include:
- Selling a family business, leaving significant assets to manage
- The need for greater control over investments
- Desire for smooth succession planning, preparing heirs to take a leadership role
- Situations where families need a centralised structure to prevent conflicting guidance from multiple advisers
In general, families with $30 million or more in investable assets benefit most from the customised support of a family office.
How IQ-EQ can help
IQ-EQ is a trusted local partner offering a holistic suite of services to family offices based in Dubai and worldwide, including family office establishment and administration, global structuring, legal and tax support, asset protection, risk management, and more.
Get in touch with our team to learn how we can support your family’s wealth preservation goals.
