«Of course, the family office concept goes beyond that a little bit. It gets into governance of the family, the succession and things like that as well,» says Ashutosh Bishnoi, Director, Multi-Act.How do you see this entire family office kind of structure taking shape in India that you have also chosen this as your next innings?Yes, you are absolutely right. What has happened in the last about 20 odd years in India that a tremendous amount of wealth has been generated by successful business families.
It was there before but now many of them have turned to the route of establishing a professional setup. That setup then has spurts from investment markets who try to structure long-term portfolios for families. In all the reports that I have read, the sense I get is there may be about somewhere between five to 600 families in India who have structured either a rudimentary or a well-organised office consisting of anywhere between one to eight or 10 people who structure the family's investment portfolio.
Of course, the family office concept goes beyond that a little bit. It gets into governance of the family, the succession and things like that as well. But by and large, we at Multi-Act keep ourselves focused on the investment side.
And in this space more and more experts are coming into play. The real issue here that I find that families are faced within India is when you have generated so much wealth, and a lot has been generated recently by what you call the techprenuers in India, they are really faced with the challenge of how do you keep this wealth intact over a long period of time. A lot of activity is happening there.
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