The family office glossary is a quick-reference collection of the field’s core vocabulary. Terms are grouped by theme with plain definitions and links to in-depth guides, for family members and practitioners alike. The list is continuously updated — see the verified date at the end.
Foundations
Family Office (FO)
A dedicated organisation managing a family’s investments, governance, succession and philanthropy — either a single family office (SFO) or a multi-family office (MFO). See the Complete Guide.
Single Family Office (SFO)
Serves one family exclusively, typically established above US$100 million of investable assets; running costs about 0.5–1% of assets per year.
Multi-Family Office (MFO)
Serves several families with shared costs, charging about 0.2–0.5% of assets; suited to US$10–100 million. Compare in SFO vs MFO: how to choose.
Virtual Family Office (VFO)
An outsourced, asset-light structure combining investment, legal and tax services without a full-time team.
Private Bank
A bank’s wealth management arm for HNW clients, earning through product distribution — the seller-side counterpart to a family office’s buy-side role. See Family Office vs Private Bank.
Trusts & succession
Family Trust
A legal arrangement where a settlor transfers assets to a trustee, who holds and manages them for beneficiaries — separating legal ownership from beneficial enjoyment. See What Is a Family Trust?.
Settlor
The party who creates the trust and contributes assets, setting its terms in the deed.
Trustee
The party holding trust assets in law, owing fiduciary duties to manage prudently for beneficiaries.
Beneficiary
The person or charitable purpose enjoying the trust’s benefits.
Trust Deed
The core legal document establishing the trust’s terms — rights, distribution mechanics and trustee powers.
Family Charter
The manifesto defining family values, governance, decision mechanisms and wealth distribution rules. See how to write a family charter.
Discretionary Trust
A trust where the trustee decides the timing and amounts of distributions — maximum flexibility.
Fixed Trust
A trust distributing benefits in fixed deed proportions — maximum certainty.
Companies & structures
BVI
The British Virgin Islands — a Caribbean British Overseas Territory and one of the world’s largest offshore company registries. See What Is BVI?.
BVI Company
A business company incorporated under the BVI Business Companies Act 2004, paying annual government licence fees rather than local income tax.
Cayman Islands
A Caribbean British Overseas Territory, a common domicile for funds and listing vehicles alongside BVI.
Special Purpose Vehicle (SPV)
A standalone legal entity created for a specific purpose — holding assets, isolating risk, project financing.
Holding Company
A parent entity owning shares of other companies, used to organise structures.
Regulation & compliance
Common Reporting Standard (CRS)
The OECD standard for automatic exchange of financial account tax information — 100+ jurisdictions including BVI and Hong Kong participate.
FATCA
The US Foreign Account Tax Compliance Act, requiring institutions worldwide to report US taxpayers’ accounts — the forerunner of CRS.
Economic Substance (ESR)
Since 2019, offshore jurisdictions such as BVI require companies carrying on relevant activities to show real expenditure, premises and personnel.
BOSS System
The BVI Beneficial Ownership Secure Search system (2017): ownership data accessible to competent authorities only, not the public.
AML / KYC
The legal duty to verify client identity and source of funds and to monitor suspicious activity — the baseline compliance for account opening and operations.
Tax & immigration
Announcement No. 15 (offshore trust rules)
Issued July 2026 by MOF and STA: offshore trust arrangements of Chinese tax residents are taxed at a uniform 20% from 1 January 2026, with no reductions. See China Family Office’s analysis and filing guide.
New Capital Investment Entrant Scheme (CIES)
Hong Kong’s investment immigration route for family capital; the 2025 Policy Address cut the residential threshold from HK$50m to HK$30m.
13O / 13U
Singapore’s family office tax incentive schemes: 13O with an S$20m threshold, 13U with S$50m — the main counterpart to the Hong Kong path.
Wealth Management Connect (WMC)
The Greater Bay Area arrangement allowing residents to open and invest in each other’s wealth products — the policy infrastructure of GBA wealth management.
Investing & markets
Buy-side / Sell-side
The buy side (families, family offices, asset managers) buys products and services; the sell side (investment banks, private banks) provides them — the family office acts as the buyer’s representative. See Family Office vs Private Bank.
Impact Investing
Investing that pursues financial returns alongside social and environmental goals — where family philanthropy meets investing.
Asset Allocation
The decision process of weighting investments across asset classes by objective and risk — the core of the Investment Policy Statement.
Alternatives
Asset classes beyond stocks and bonds: private equity, real estate, commodities, hedge funds — a major part of family office portfolios.
Investment Policy Statement (IPS)
The manifesto recording objectives, risk appetite, constraints and decision rules — usually paired with the family charter.
Related guides
For jurisdiction choice, see Hong Kong vs Singapore; for joining, see the membership guide; and see the FAQ.
References
- BVI Financial Services Commission
- Ministry of Finance of China
- HK Government News
- Research Nester family office market report