Nearly half (43 per cent) of family offices are developing or implementing a technology strategy in 2025, according to a report from Deloitte.

The firm’s latest edition of its Family Office Insights Series showed that 17 per cent of family offices identified inadequate investment in technology as a core risk, while 34 per cent felt underinvested in the operational technology needed to run a modern business.

Furthermore, 38 per cent believed they were only moderately invested in the operational technology required.

“With nearly one in five family offices identifying inadequate investment in technology as a core family office risk and nearly three-quarters admitting they are either underinvested or only moderately invested in the operational technology needed to run a modern business, now is the time many family offices are choosing to address their operational technology needs and risks to prepare for a brighter future,” Deloitte stated.

The report, which was informed by a global survey of 354 single family offices, found that family offices’ top focus was on utilising technology to support their security and risk control processes.

Nearly two-thirds (65 per cent) said they had moderate or extensive technology adoption in their security and risk control processes, followed by technology to support investment operations (49 per cent), investments (47 per cent), tax and wealth planning (35 per cent), and client management activities (28 per cent).

More than half (55 per cent) of family offices now use data analytics in their investments and 42 per cent do so in their operations to identify trends and patterns, and support better decision making.

When asked about their use of artificial intelligence (AI), 12 per cent said they had begun to use AI-driven solutions to automate tasks, optimise portfolio management, enhance risk management, etc.

Deloitte found that family offices felt they were obtaining value from the use of operational technology, with 38 per cent saying it had enhanced controls and privacy and reduced risk, 30 per cent said it had improved efficiency and reduced costs, 29 per cent felt it had improved employee experience, and 25 per cent believed it had enhanced services to family members.

The report also noted that those who claimed to be moderate or extensive users of new technologies were more satisfied with their systems than low-level adopters.

The most commonly used types of technology by family offices were cloud-based applications/services (87 per cent), followed by virtual meetings (82 per cent), mobile communication apps (71 per cent), and identity and access management systems to safeguard systems and data (61 per cent).

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