Women Leading Family Offices: A New Era in Wealth Management
In recent years, the family office sector has witnessed a significant shift as more women ascend to leadership roles like Chief Investment Officer (CIO). One prominent figure in this transformation is Elizabeth Lilly, who launched her own asset management firm in 2017, after three decades of preparation in the finance industry.
Elizabeth Lilly’s Journey
Starting her career as an equity analyst, Lilly meticulously documented her aspirations and insights throughout her professional journey. After having spent nearly two years running her firm, she received an enticing opportunity from the Pohlad family, well-known for owning Major League Baseball’s Minnesota Twins. This position required her to oversee a diverse investment portfolio that included public equities and sectors such as health technology and manufacturing.
Making the Leap
Initially hesitant to exchange her independence for a role within a family office, Lilly recognized that the chance to broaden her knowledge in private equity and direct investing was too valuable to pass up. “This is a point in my life where I don’t know when I’ll ever get this opportunity again,” she reflected on her decision to accept the role.
The Growth of Female CIOs
Lilly is part of a growing cohort of women who are now taking charge of family offices, which serve as private investment vehicles for affluent families. Her sentiments echo a broader trend observed across the financial sector, where the proportion of women in executive positions within family offices is increasing.
- 29% of executive positions in family offices are held by women, significantly higher than the averages in corporate America and private equity.
- Only 16% of the surveyed family offices have a female CIO, showcasing the potential for further growth.
A Supportive Network
Women in high-level investment roles credit their tight-knit networks for navigating a largely male-dominated industry. Margo Doyle, CIO of S-Cubed Capital, noted the value of collaboration among female CIOs, as they often share references and insights, thereby enhancing their collective expertise.
For Kristin Gilbertson, who serves as CIO at Access Industries, the family office environment is characterized by collaboration rather than competition. “We share references, we share experiences, we leverage each other’s expertise,” she stated, emphasizing the supportive relationships forged within this unique sector.
Lessons from Experience
Many women in leadership positions within family offices bring a wealth of experience from diverse backgrounds. For instance, Gilbertson transitioned to the family office from managing investments at prestigious institutions like Stanford University and the World Bank, where she often encountered male-dominated environments. “It’s quite honestly, one of the few times in my career where I’ve not been made aware that I’m a female,” she shared, referring to her current role.
Similarly, Noelle Laing, who joined Lukas Walton’s Builders Vision, expressed the fulfilling nature of focusing on a single principal’s vision after managing multiple clients. “You can really focus your time,” she remarked about her transition to a family office structure where in-depth understanding of one principal’s values and goals is paramount.
Conclusion
The role of women in family offices signifies a transformative period in investment management. As leaders like Lilly, Doyle, Gilbertson, and Laing pave the way, it highlights the increasing diversity in perspectives and strategies that can benefit wealth management practices—underlined by a more patient and conservative investment approach often attributed to female investors. The evolving landscape not only enhances opportunities for women in finance but also enriches the investment frameworks within family offices.
