With global wealth expected to reach $84 trillion by 2045, family offices are under pressure to modernise their operations. Wealth management software is no longer optional—it’s essential for efficiency and security.
As family offices and wealth managers navigate a world of increasing complexity, wealth management software is emerging as a crucial ally to streamline operations. From accounting to financial reporting and investment management, Excel spreadsheets are just not cutting it anymore. This article delves into the background, lays out the current landscape, and then notes the benefits of the wealth management software solutions available for family offices.
The background: why family offices need wealth management software
When Simple launched the family office software and technology report, it was in response to an overwhelming request of family offices seeking a good service provider. The findings were not quite simple. Since no family office is the same, the results were that no single-family office solution could suit all wealthy families. Rather, the best bet was to look for the best fit. Despite this, at a time when working remotely was mandated, it was quite clear that financial management practices could no longer rely on manual processes. Single and multi-family offices, alike, more than ever, needed better tech to serve their clients.
- 2010s: Family offices largely relied on Excel spreadsheets and legacy systems.
- 2020: The pandemic accelerated demand for digital transformation.
- 2025: AI, automation, and cybersecurity are driving next-gen wealth tech solutions.
Since the birth of the internet, financial institutions worldwide have been in a never-ending race to digitise. A recent McKinsey report shows that banks now spend over 20% of revenue on IT services, and technology costs continue to grow at an average of 5 – 10% every year. Likewise, family offices, responsible for managing and preserving family wealth, face similar pressures to digitise. Be it financial planning, monitoring asset allocation, or portfolio performance, a wealth management platform is essential for serving clients efficiently.