Calm in the Chaos

NEWSLETTER

Family office insights this week:

• How the wealthy stay rational when markets go otherwise

• Which generations are making the decisions in family offices

• A great podcast on the challenges for UHNWIs and family offices

• The age old question: how much is enough

• Three family office jobs

Calm in the Chaos

How Family Offices Deal with Market Turmoil

What a week it’s been.

Fortunes lost, sudden violence and excessive greed. And that was just the White Lotus finale.

Reality hasn’t been far off.

Trade wars, tariffs. Stocks collapsing, soaring, collapsing again. Bonds not behaving like bonds. A week from now… anyone’s guess.

And who knew there were so many macro-economics experts on X?

But in such turbulent times, what’s happening inside at family offices?

Most are the opposite of “Panicans”. They’ve seen this all before.

Here’s an inside look at how family offices deal with market turmoil. And why they usually sleep just fine. 😴

Trading volatility

Trade volume at family offices tends to be low. They’re playing the long game.

But that doesn’t mean paralysis during volatile times. When volatility spikes, opportunity knocks.

In the last weeks, I’ve seen family offices trading tactically. For example:

1. Selling short puts (on stocks they like long-term, if they get exercised, they own the company at a lower price; if not, they collect the premium and move on)

2. Selling covered calls (generate income on existing holding)

3. Trading put spreads (define downside risk while staying directional).

Volumes don’t tend to be huge, but when opportunities present themselves, rational actors can profit.

Reassessing long-term allocations

As macroeconomic forces shift, I don’t know many family offices that obsess over the portfolio's daily P&L.

They ask better strategic questions:

• Is our geographic exposure aligned with future growth? - Reevaluating strategic allocations across global public markets

• Are bonds the safe havens we thought? - Challenging the relevance of traditional 60/40 portfolios

• Maybe Alternatives are where true diversification and uncorrelated alpha lies? - Reassessing exposure to alternatives

• How sensitive are our portfolio companies to inflation, rates, and demand shocks? Stress-testing direct investments

• Can we meet capital calls, rebalancing, and family needs without forced selling? - Reconfirming liquidity buffers

• What can we buy today that institutional capital won’t touch for another 6 months? - Exploring opportunistic dislocations

Corrections often create opportunity, but – again – only if you’re clear on what you’re trying to build.

Control what you can control. And ignore what you can’t.

That means:

✅ Staying liquid enough to sleep well
✅ Reviewing private deals for funding needs
✅ Updating risk models and rebalancing if needed
✅ Communicating clearly with the family
✅ Saying “no” to anything outside our circle of competence

And it means tuning out the noise.

If you don’t have a view on oil, gold, the Fed, next week’s CPI or whatever, that’s fine. Stick to the plan.

Communication with the family

When markets get choppy, family offices should be delivering clarity to the family they serve.

The media and social media can be hysterical. It’s only natural that family members have concerns.

→ “Are we going to lose a lot of money?”
→ “Should we move to cash?”
→ “Is now the time to do something?”

This is when good communication is vital.

• Family offices need to be calm, transparent, and proactive.

• Walk through the plan: remind the family how the portfolio is positioned and why.

• Outline the liquidity buffer, where there is flexibility, and what stress tests show.

• Explain the strategies the FO is not pursuing and why.

• Make it clear: this is not the time for reactive decisions

Sometimes that means showing historical data on past drawdowns. Sometimes it means reassuring that no one is overexposed. Often it’s just being available.

And always, talk about risk. Not just market risk, but behavioral risk.

Family offices need to remind everyone: volatility is the price of long-term returns. It’s not a reason to abandon the plan.

In short: families are human and when families feel uncertain, the best response isn’t prediction, it’s communication. Clear, consistent, and calm.

This isn’t our first rodeo

Established family offices have been through bubbles, busts, crises, pandemics, wars and more.

What always matters more than the event is the reaction.

If you need to sell low, that’s a planning error, not a market one.

In short...

💹 Trade tactically to optimize existing strategies
📊 Reassess allocations: but don’t overreact
🎯 Control what you can: ignore what you can’t
🔊 Tune out the noise: the headlines won’t help you
🗣️ Communicate early, often, and clearly with the family
🛠️ Review private deals and liquidity needs
🕰️ Trust your patience: not your predictions

There’s no need for drama.

Just thoughtful, consistent, boring investing.

And that’s what usually delivers the best long-term results.

This newsletter is sponsored by Heritage.

On May 9th, Heritage will bring together 500+ family office leaders, investors, and founders in NYC for a high-trust, closed-door summit designed for real conversations and real opportunities.

Why you should be there:

• Hear from leaders like Michael Loeb, Anthony Pompliano, and Ryan Serhant

• Connect with peers navigating the same high-stakes decisions

• High-impact strategies on capital allocation, succession & governance

• Private, curated networking - where trust and access unlock opportunities

Mr Family Office reader offer: the first 25 qualified family office registrants will receive an exclusive complimentary pass using the code: MRFO. There are also a limited number of allocator passes available at 50% off registration, with the code: MRFO50.

Full event details here.

𝕏 highlights

Who’s making the decisions in family offices.

This got people talking.

A look at some of the topics coming up.

 💼 where to work

Three notable family office job opportunities currently open…

Chief Financial Officer - Walnut Ridge (Cleveland / Single Family Office)

Family Office Manager - Corient (San Diego / RIA)

Tax Manager Accountant - Private Family Office (Los Angeles / Single Family Office)

📚 what to read

Ben Horowitz doesn’t sugarcoat it—The Hard Thing About Hard Things is a blunt pep talk from a battle-scarred founder. It’s refreshing… not your typical startup fluff; gritty, real, and full of “been there, nearly died doing that” wisdom.

📻 what to listen to

Coming soon, we have a fascinating interview with Tamarind’s Chief Learning Office Torri Hawley. In the Tamarind Learning podcast, host Dr. Kirby Rosplock, speaks with experts on topics relevant to the ultra-high-net-worth families and family offices.

📺 what to watch

How much money is enough?

And finally…

There’s a lot coming up.

Look out for a thought leadership piece on Alternative Investment Allocations. Next week’s newsletter will look at the challenges around Family Office Accounting. And the April Family Office Jobs newsletter will hit your inboxes on Wednesday.

Monday’s Family Office Buzz was a popular one:

1. Marc Andreessen's family office
2. Why a single family office often isn't the best solution
3. The world's richest heirs
4. How a founder turned 5,127 failures into a £13 billion empire
5. Four tips for family business longevity

Until next time, hit reply with any questions, feedback, ideas.

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