5Gen Family Office

Running our Family Office on its 5th Generation. Shirt sleeves to shirt sleeves 97% of the time, guess I speak for the 3%. Keep it in-house & small. CFP. Bruin

[5Gen Family Office @5GenFamilyOff]

For the time capsule:
DaVita, Inc.
Gardena, California
Price: $3,303,984 | Cap Rate: 6.25% which I think is weird b/c this:
DaVita, Inc. (Leasehold)
Tucson, Arizona
Price: $3,834,801 | Cap Rate: 5.50%

[5Gen Family Office @5GenFamilyOff]

Starting to see CRE prices getting attractive. Even though we only buy once every 5-7 yrs it's good to keep a constant eye on the mrkt. A few slip away whenever were in buy mode, it's ok to fall Iove and get 💔if you learned from the research you did.
#familyoffice

[5Gen Family Office @5GenFamilyOff]

For the time capsule:
KinderCare
Woodbury (Minneapolis-St. Paul), MN
Price: $2,908,000 | Cap Rate: 7.50%

[5Gen Family Office @5GenFamilyOff]

@MikeBoyd @ginnygilder @seattlestorm Great interview @MikeBoyd great to hear about a single RIA structure & how it integrates w the family. We bolted on to an existing RIA instead of opening our own shop (we're smaller). We have had success running it w $15-20m of AUM (CRE separate).it is scalable, synergies r real

[Don Veneto @ViewsViaVeneto]

From this @ErskineCompany piece:
- lawyers are expensive, esp left unchecked
- mental deterioration is a fact with older gen, & make a tough process even harder
- a trusted advisory board for the older gen can be an effective bridge and outside 'adult in the room'

[Morgan Housel @morganhousel]

The Gamestop thing is a reminder that investing is not the study of finance. It's the study of how people behave with money, and sometimes those behaviors are incredible.

[5Gen Family Office @5GenFamilyOff]

Not sure how our RE performance would be different if we bought Private REITs and the like instead of buying single-tenant NNN but we learn together about the process &I hope that makes doing it ourselves w/ trusted advisors far more valuable. Plus, LoopNet is fun. #familyoffice

[5Gen Family Office @5GenFamilyOff]

I often get asked what I am doing to ensure there will be another 5 Generations involved in the FO. My job is to keep my section of the river (of time) healthy. That being said I think about succession everyday. #familyoffice

[Ryan Detrick, CMT @RyanDetrick]

If you have an idea but think “someone has already written that” just remember there are 1,010 published biographies of Winston Churchill.

Some great thoughts on writing from @morganhousel.

https://t.co/2TpML5q4mG

[5Gen Family Office @5GenFamilyOff]

I keep needing to find various @dollarsanddata pieces. This is a great one on lump sum vs. DCA. Essentially put it all in now, but allocated (not all stock)
#familyoffice
https://t.co/bitFMSqFCg

[5Gen Family Office @5GenFamilyOff]

Charitable giving or any other form of giving back is important. LT consider supporting adoption by your sibs and cousins by working towards equalizing shares to next-gen.
#familyoffice

[Don Veneto @ViewsViaVeneto]

ESG investing is only getting started: 39% of #familyoffice intend to allocate *most* of their portfolios sustainably over the next 5 yrs, BUT mainly via exclusion-based strategies.
I expect 'environment' to be synonymous as 'tech' v soon - vital to every company & investment

[5Gen Family Office @5GenFamilyOff]

Family Constitutions are good at delineating shared values, but like written Financial Plans, it's more about showing your work than a doc the client will use. I am pretty sure it is mostly read by me & Atty (creating LLC). It's great to have it when it's needed tho
#Familyoffice

[5Gen Family Office @5GenFamilyOff]

I don't think there is anything I do that's more important than protecting & growing the principal. Using the endowment model is the bedrock of what I do.

[5Gen Family Office @5GenFamilyOff]

#DavidSwensen books have been incredibly helpful. His explanation of the essential elements of his allocations and how to use them w/o Yale's resources are a great primer on risk mgmt vs. gain. If you focus on the long term, payouts take care of themselves.
#familyoffice

[5Gen Family Office @5GenFamilyOff]

CFP was great training for running the FO. #UCLAext has a great training program. Even if you don't pursue it further, it's helpful knowledge to have.
#familyoffice #cfp

[5Gen Family Office @5GenFamilyOff]

@MorningstarInc bucket portfolio is a great framework to use to make sure you have enough for payouts. It's not a recipe tho it needs to be customized.
#familyoffice #HaroldEvensky #morningstar #christinebenz

[5Gen Family Office @5GenFamilyOff]

If you don't love your family (a whole bunch). I think I would recommend just splitting everything up. Small, self-run FOs only work when there is a lot of love, shared values & trust flowing. IMHO &experience
#familyoffice

[5Gen Family Office @5GenFamilyOff]

"Touch dirt": Someone should go visit each piece of Real Estate every year & write a 1 pg about it. Great way to keep people involved. We try to own things in/near fun places. #FamilyOffice