TLDR:
- Family offices are offering equity and profit-sharing to staff to attract top talent.
- The competitive hiring landscape has prompted family offices to adapt their compensation plans.
Family offices, the private investment arms of single families, are facing increased competition for talent from private equity firms and venture funds. As a result, they are adjusting their compensation packages by offering equity stakes and profit-sharing opportunities to employees. Patrick McCurry, partner at McDermott Will & Emery LLP, highlights the competitive landscape and the need for family offices to adapt.
This shift towards equity and profit-sharing is aimed at aligning employee incentives with the goals of the family offices. With the industry evolving and growing, family offices are seeking to stay competitive by providing attractive compensation packages to top talent.
Full Article:
Family offices―the private investment arms of single families―are increasingly offering lucrative shares of equity and deal profits to staff amid a growing battle for talent, CNBC reports. As family offices surge in size and number, and compete more directly with private equity firms and venture funds for top staff, they’re sweetening their compensation plans. Along with salaries and bonuses, many are now offering equity stakes and various forms of profit-sharing to give employees more upside and incentives. Patrick McCurry, partner at Chicago-based McDermott Will & Emery LLP, works with single-family offices and says family offices have to adapt to a more competitive hiring landscape. “There is a war for talent,” McCurry says. “Family offices are competing for talent against each other, and against traditional private equity, hedge funds and venture capital.” Family offices are also shifting to profit shares as a way to better align the incentives of the staff with the family. Read the full story.
