Family Office Hiring: Red Flags and Green Lights (Full List)

Family Office Hiring: The Red Flags and Green Lights

Hiring for a family office is not easy. Family offices seek high-level operators, but stereotypical "Wall Street people" often don’t fit the family office mold.

When hiring for a family office you’re selecting someone to uphold trust, confidentiality, and the values of the family they support.

Since family offices are typically small teams, the wrong hire can be incredibly disruptive. Given the close proximity to the family, the candidate’s personality must align with the family dynamic.

I’ve seen highly qualified candidates for senior roles overlooked simply because they didn’t gel with the family. The wrong hire can create ripples that disrupt operations, strain relationships, and ultimately jeopardize wealth.

This doesn’t mean hiring yes-men, it means hiring the right candidates.

Today, it’s a look at the red flags and green lights in family office candidates.

🎯 The Stakes Are High

Family offices usually operate in close quarters with the family. That means employees need to excel both professionally and personally. A mismatched hire can be a direct threat to privacy, legacy, and the long-term goals of the family.

So lets take a look at the key red flags, green lights and questions to ask when building your family office team.

1. Myth vs. Reality

Family offices have gained significant popularity as they become better understood and more visible in the investment and wealth management world. This rising interest has brought a wave of professionals from diverse backgrounds into the sector.

This is a good thing.

But while family offices undoubtedly attractive, many candidates approach the space with little understanding of what it actually entails.

They see family offices as a lucrative or prestigious career move but lack clarity on how they can add value or align with the dynamics of these organizations.

This “grass is greener” mindset often leads to mismatches. Candidates may express general enthusiasm without articulating a clear vision for their role or how their skills fit the family office's needs.

Hiring managers should probe to understand whether the candidate has done their homework or is simply drawn by the allure of the sector.

🚩 Red Flag: Candidates are excited by the prestige or perceived financial upside without a real understanding of their role, responsibilities, or how they can add value. Too much ego in a candidate.

🟢 Green Light: A candidate who has researched the family office space, understands its unique structure, and articulates how their skills align with the specific needs of the family.

🗣️ What to Ask: “Why a family office? Why not a traditional corporate or investment firm?”

2. Discretion

Loose lips sink ships!

Confidentiality is non-negotiable. Period.

A candidate who shares details about previous employers – even if they seem harmless – could pose a risk.

🚩 Red Flag: Overly eager to name-drop or share sensitive anecdotes during the interview.

🟢 Green Light: A candidate naturally avoids sharing unnecessary details about previous roles and emphasizes confidentiality as a core value.

🗣️ What to Ask: Ask personal questions about previous employers to see how the candidate reacts. Ask behavioral questions like, “How did you handle confidential information in your last role?”

3. Generalists vs. Specialists

Family offices require flexibility. Whether it’s juggling investments, managing personal requests, or dealing with family dynamics, the ideal candidate must be able to adapt.

Generalists matter in family offices.

Family offices thrive on versatility. Generalists bring a broad skill set, allowing them to navigate diverse responsibilities. From financial strategy to lifestyle management, they bridge gaps and adapt quickly—qualities critical in the ever-changing environment of family offices.

“‘That’s not my job’ is not an acceptable answer when it comes to family office roles. We are trying to identify problem solvers not problem creators. Simply put, the mindset has to be non-judgmental in that if it is important to the family, it is important to the family. Period.” - Brian C Adams

🚩 Red Flag: Rigid career paths or reluctance to embrace roles outside their defined expertise.

🟢 Green Light: Someone who embraces a generalist mindset, is proactive in problem-solving, and is comfortable wearing multiple hats.

🗣️ What to Ask: Present hypothetical scenarios. For example, “If a family member needs immediate assistance that’s outside your job scope, how would you handle it?”

4. Compensation vs. Commitment

Money matters and family offices should pay for the best, but passion for the role and alignment with the family’s values come first. Candidates overly focused on the compensation package might lack the intrinsic motivation that defines success in a family office environment.

“Most of the suffering in the world, including search, occurs in the space between reality and expectation. I believe part of our scope of service is to educate families about what market compensation is for a particular role and also manage expectations with our candidates. Compensation conversations should be focused on what behaviors that family wants to incentives and an alignment of interests around those outcomes.” - Brian C Adams.

🚩 Red Flag: Repeated emphasis on bonuses, perks, or financial incentives during discussions.

🟢 Green Light: A candidate who focuses first on role fit, values alignment, and impact.

🗣️ What to Ask: Ask about long-term vision. “What does success in this role look like to you beyond financial rewards?” Be direct, ask about compensation expectations.

5. Cultural Fit

Family offices are deeply personal. A candidate must align with the family’s ethos, whether that’s discretion, legacy-building, or hands-on innovation.

Small teams are the backbone of family offices, so close collaboration and trust are essential.

Candidates must thrive in intimate settings where roles often overlap, and every contribution has a direct impact. The ability to work harmoniously in such environments is just as crucial as technical expertise.

“Disparate personalities can still result in effective working relationships. Indeed, many high functioning families will often intentionally seek out divergent personalities in order to create a more dynamic work environment. The key is discovering whether there is a culture fit between candidate and client, which is derived from a thorough examination and investigation of what employee characteristics have historically predicted success and failure within the organization.” - Brian C Adams

“When I work with clients, I can often tell, simply by how they communicate, whether they might be a good fit for a family office.   Individuals who are abrasive, overly aggressive, or arrogant might have difficulty landing a job in a family office or being successful once they are there.” - Liz Handlin

🚩 Red Flag: Candidates who have difficulty in adapting to unstructured environments or failing to understand the family’s mission during interviews.

🟢 Green Light: Someone who asks questions about culture, family members and legacy.

🗣️ What to Ask: Spend time on cultural onboarding. Invite family members or long-term employees to meet candidates informally.

6. References and Work History

Recruitment 101 for any role.

While the family office world values discretion, it doesn’t mean skipping due diligence. Verify every detail of a candidate’s history.

🚩 Red Flag: Hesitation to provide references or vague reasons for leaving previous roles.

🟢 Green Light: A professional with a transparent career history and reputable references.

🗣️ What to Ask: "Can you walk me through the key reasons for each of your career transitions?" Go beyond the provided references. Leverage your network to cross-check their background discreetly.

7. Tech Savvy

Family offices are becoming tech-centric, from portfolio management systems to cybersecurity. A candidate uncomfortable with digital tools could lag behind the curve.

And as new generations take the reins, they expect seamless access to real-time management information at their fingertips. Tech savviness is a baseline requirement.

🚩 Red Flag: Avoidance of discussions around tech, reliance on outdated methods or the expectation that the tech department is responsible for the tech.

🟢 Green Light: Candidates who are excited by tech, who see tech as an opportunity rather than a box to tick.

🗣️ What to Ask: Test their familiarity. Ask: “What tools have you used to manage sensitive information or streamline processes?” Ask about the tech the candidate is excited about.

8. Empathy for Family Dynamics

Every family has its quirks, and family office staff often become mediators.

Emotional intelligence is critical.

Liz Handlin describes the most successful family office candidates: “I have worked with hundreds of family office professionals. They are uniformly polite and respectful, which is the norm in family offices. The most successful people are highly collaborative, active listeners, and genuinely care about the families they support.”

🚩 Red Flag: Inability to navigate hypothetical family conflicts or dismissive attitudes toward family tensions/relationships.

🟢 Green Light: Someone who asks thoughtful questions about the family, its members the values and relationships.

🗣️ What to Ask: Pose situational questions, like: “How would you manage differing priorities among family members?”

9. Collaboration

While independence is valuable, collaboration is essential in a family office setting.

Candidates who show signs of being overly self-reliant might struggle in a collaborative environment.

🚩 Red Flag: Excessive focus on solo achievements in their résumé.

🟢 Green Light: A candidate who speaks enthusiastically about past teamwork rather than solely about individual performance.

🗣️ What to Ask: Ask how they’ve worked in teams and assess their response for genuine enthusiasm versus obligatory acknowledgment.

10. Career Progression

Again, a basic requirement for any recruiter, family office or otherwise. A résumé with unexplained gaps or frequent job changes may signal a lack of commitment or deeper issues.

A diverse array of previous jobs is not necessarily a deal-breaker, but there needs to be logic in the decisions.

🚩 Red Flag: A candidate jumping sectors without clear rationale or multiple short stints, particularly in similar roles.

🟢 Green Light: A candidate can give clear reasoning for their career progression.

🗣️ What to Ask: Probe for the reasons behind each transition and assess whether their narrative feels cohesive or defensive.

Final Thought: Trust, But Verify

Last week I asked the Mr Family Office readers what their biggest red flags were.

Indiscretion won by a mile!

Hiring for a family office is as much about intuition as it is about skillsets. By honing in on these red flags, you can protect the sanctity of the family’s operations while building a resilient, aligned team.

Remember, every hire isn’t just a professional decision – it’s a decision about the family’s future.

Stay vigilant, ask the right questions, and trust your instincts.

A special thanks to Brian C Adams of Mack International and Liz Handlin of Ultimate Resumes for their contributions.