Almost one-fifth of family office chief executives earned in excess of £300,000 ($433,000) last year, according to a new survey, compared to the median salary of £175,000.
The results were revealed in the Family Office Compensation Benchmark Report 2016 by Agreus, a London-based global family office adviser.
Based on the results of more than 200 family offices, the report also found that family office CEOs earned the greatest bonuses of all office staff at approximately 31 to 50% of their base salary.
It also revealed that 73% of all family office employees received a discretionary bonus that is typically calculated as a percentage of their salary. Other perks include private healthcare, a company mobile phone, and pension.
Agreus cofounder Paul Westall said the report is important because of the unique nature of the family office environment. “We’ve noticed that there is variation in the family office sector, which makes it difficult for candidates to know what to expect.”
He continued: “Family offices vary, as do the packages they offer. We hope that this report will help family offices ensure that their existing remuneration packages are still relevant, whilst also staying commercially attractive to the best new recruits.”
The Global Family Office Report 2015 from Campden Wealth confirmed the results finding that that the average non-family CEO received a base salary of $338,000 in 2014, compared to $302,000 for family members.
A similar study out of the US from financial services empire Fidelity Investments, released last year, found that chief executives working for the largest family offices in the region had an average remuneration package of $830,000.
Westall concluded that financial remuneration is just one component to consider when matching the right candidate to the right family office.
He said: “The attitude and personality of the candidate is particularly important. It is important to find people who share the values and culture of the family office and understand that trust is as important as aptitude and experience.”
The report also outlines how other benefits such as formulaic bonuses and dividends are calculated. It can be downloaded here.