Will Carter, MCKINLEY CARTER WEALTH SERVICES - Speaker at the IFG Wealth Management Forum, held in Phoenix, AZ, April 22-23, 2013, delivered his presentation entitled BRINGING FAMILY OFFICE SERVICES TO THE MASS AFFLUENT

1. Family Office Services
For the Mass AffluentFor the Mass Affluent
IFG Wealth Management Forumg
April 23, 2013
Phoenix, AZ
Will Carter
Director of Wealth Management

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3. Introduction
McKinley Carter Wealth ServicesMcKinley Carter Wealth Services
Three principals (50, 42, 42) each starting independently
in early 2000s
F ffi ( h i WV i PA)Four offices (three in WV, one in PA)
24 employees
$500M under discretionary managementy g
$100M+ 401(k) advisory
Client in 26 states
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4. McKinley Carter Client Distribution
<$500K
$500K ‐ $2M
h $
$2M ‐ $5M
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
Greater than $5M
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5. Virtual family offices
“The cost of family office is prohibitive for families
ith l th $100 illi B t ifwith less than $100 million. But if you remove a
lot of the physical infrastructure and create a
virtual support network, you could afford app y ff
family office at $25 million.”
Jamie Punishill, CapGemini
“Technology is really creating more efficiencies for
traditional family offices and its creating
i ti biliti th t did tcommunications capabilities that we did not
have before.”
Lisa Gray, author of The New Family Office
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6. Definitions of “affluent”
“ flowing in abundance”…flowing in abundance
“ generally sufficient and increasing…generally sufficient and increasing
supply of material possessions”
(Merriam Websters)
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7. Types of Family Offices
• Founder’s Office
B i O Offi• Business Owner Office
• Diversified Business/Private Equity Office
• Investment Office• Investment Office
• Compliance Office
• Philanthropy OfficePhilanthropy Office
• Multi-generational Office
Source: Family Office Exchange
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8. Reasons for Family Offices
• Control of assets
C ti it ti• Continuity across generations
• Objectivity
• Customization• Customization
• Confidentiality
• IntegrationIntegration
• Education of owner
Source: Family Office Exchange
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9. Family Office Services
• Investment strategy and implementation
I t t d fi i l t t i• Integrated financial strategies
• Client information management
• Wealth transfer planning• Wealth transfer planning
• Trusteeship
• Liability managementLiability management
• Family continuity/client education
• Philanthropy
Source: Family Office Exchange
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10. Core Competencies of Family Offices
Comprehensive
Customer-centered
Coordinative
Strategic
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13. McKinley Carter Mass Affluent Criteria
On track to maintain standard of living
w/out working into old age
f h l fLiving for more than material comfort,
e.g., family, community
H bl t h l tiHumble – open to help, respecting
reality’s operations
Intellectually and emotionally competentIntellectually and emotionally competent
to trust
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14. Client Information Management
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15. Comprehensive Preliminary Assessment
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16. Comprehensive Investment Reporting
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17. Comprehensive Investment Reporting
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18. Comprehensive Investment Reporting
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19. Wealth Transfer Planning
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20. Trustee Services
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21. Elevate role of “coordination”
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23. The Big Picture
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26. Toll Free: 866.306.2400
www.mc-ws.com