With the confluence of uncertainty in taxes, the rise of sophisticated investments, and the transfer of wealth from one generation to the next, a new breed of advisors is stealthily reshaping how the wealthiest families in America think about money, legacy, and their sense of responsibility
Wealth is Shifting Hands — and so is its Management
Michael Hoover wakes up in the Philadelphia suburbs on a daily basis to the world of the modern-day advisor: not a single balance sheet but a tapestry of interlocking parts. Trusts that stretch back decades. Families and investments with complicated income and wealth transfer tax implications. Charitable objectives driven by family values and world economics. And, not infrequently, family relationships that can muddy even the simplest of technical solutions.
Hoover, a CPA and Family Office Counselor at Rockefeller Capital Management, finds himself at the crossroads of these changes. The work he does represents a larger trend that is occurring in the world of wealth management, and that is changing the rarefied world of the family office into a central operating system for America’s wealthiest families.
This is not an evolutionary process that is occurring in reaction to a particular regulatory event or economic cycle. Rather, it is a movement that is being fueled by a series of converging factors: the greatest wealth transfer in history, the increasingly uncertain tax environment facing the industry in 2026, and the revolutionary impact of private equity on the advisory industry.
“But the technical work is still important,” Hoover explains. “Families are now posing bigger questions. They want to know how current decisions will impact their kids, their philanthropy, and the future identity of their family in thirty years.”
The Family Office Model: Why It’s Having a Moment, and Why It Won’t Go Away
For several decades, family offices have been considered boutique organizations, or privately tailored operations, for dynastic wealth with nine-figure+ balance sheets. But that view no longer applies.
As estimated by Cerulli Associates, there is an imminent $84 trillion wealth transfer in America by 2045. Most of this money is in families that have accumulated their fortunes in the past thirty years through entrepreneurship, private equity, and equity compensation. These families lack the necessary infrastructure or experience to deal with complexity at such scales.
Simultaneously, the character of wealth itself has evolved. What was once a portfolio focused on public securities is now a portfolio that includes alternative investments, operating businesses, real estate partnerships, carried interest, and increasingly complex trust arrangements. Each tier brings with it a host of new tax and regulatory issues.
The more traditional approach, involving independent advisors, has started to feel the strain under these conditions. An investment strategy made without the counsel of a wealth strategist could present problems regarding liquidity. An estate plan designed without consideration given to exits from business activities could “lock in” families into less-than-desirable results.
“The risks today are not market risks,” says a senior executive at a large multi-family office. “They’re coordination risks.”
The single-family and multi-family offices came into existence as a result of this reality. They offer integration, which involves combining tax planning, investment planning, estate planning, philanthropic planning and governance planning under a single umbrella.
From Back Office to Strategic Nerve Center
Family offices have existed in many shapes and sizes since the 19th century, serving names like Rockefeller, Morgan, Rothschild and others. According to industry estimates, there are now over 7,000 family offices worldwide.
The earliest family offices functioned largely in an administrative capacity. They paid bills, maintained bookkeeping, produced cash flow reports, managed investments, filed annual LLC and gross receipt returns, prepared or oversaw tax compliance and ensured that wealth did not slip through the cracks. Today, a family office operates more like a small institution.
In the modern environment, the typical family office is responsible for:
- Integrated tax and estate planning
- Sourcing and due diligence of private investments
- Frameworks and educational programs related to family governance
- A strategic approach to philanthropy and impact evaluation
- Risk management and asset protection
According to a Deloitte report, family offices oversee more than $6 trillion in assets worldwide, with multi-family offices growing at double-digit rates annually. In the United States, there has been a notable increase in firms serving families with $30 million to $250 million in net worth—a segment that was once considered too “small” for family office services.
The difference today is not one of size alone, but of expectations.
“Families don’t want to feel like a bunch of accounts,” Hoover says. “They want to feel like someone understands the whole picture—and is willing to invest the time in them to offer a dynamic, tailored and strategic approach to help achieve their family and succession planing goals.”
Michael Hoover’s Journey: Technician to Strategist
The career of Hoover reflects many of the changes occurring in the world of advisors. A native of Pennsylvania, Hoover grew up in Lancaster and received his undergraduate degrees in accounting and finance and his Master of Accounting degree at Penn State, graduating with honors. He passed all four sections of the CPA exam in 2016 and started his career at PwC in its Personal Financial Services group.
It was there that he gained the skill sets required to handle complex private clients. Later, as a Tax Director at Siegfried Advisory, he worked on various complex tax compliance and planning matters involving ultra-high net-worth individuals and closely held entities.
However, it was his transition to working in a family office advisory capacity that altered his profession in significant ways.
“Once a certain level of wealth is reached, the technical solutions are rarely the difficult part of the process,” Hoover continues. “The difficult part is to help the family make a decision when there are several ‘right’ answers.”
Currently, Hoover works at Rockefeller Capital Management, where he collaborates with investment professionals, trust and estate attorneys, CPAs, experts in family governance and philanthropy, and other subject matter specialists. His work does not only tax and financial planning but facilitating, as he engages with families in discussing matters of succession, philanthropy, and responsibility.
This is work that demands patience as much as precision.
How the Leading Family Offices are Adapting
There are a number of themes that have emerged to characterize best-in-class family office operations.
Integrated Tax and Investment Planning
With the federal estate tax exemption being renewed and made permanent by the One Big Beautiful Bill Act (OBBA), which eliminated the Tax Cuts and Jobs Act (TCJA) 2025 sunset provision, estate tax planning has continued to be a pressing issue for many families. As a result, families are re-evaluating their trust structures, gifting strategies, and liquidity planning.
Increasingly, these decisions are made in tandem with investment strategy rather than treated as subsequent or separate considerations.
Increased Involvement in Private Markets
On average, family offices allocate approximately 40% of their portfolios to private markets, according to a UBS report. While these investments may enhance returns, they also introduce added complexity related to valuation, cash flow management, and tax considerations.
Best-in-class family offices address these risks through rigorous due diligence and strong governance practices As wealth is distributed across generations, decision-making has become more structured and systematic, replacing what was once a largely informal process. Education and clearly defined roles help reduce the potential for conflict and ensure trust remains intact.
“Governance is not control,” Hoover notes. “Governance is clarity.”
Why This Matters Beyond Wealthy Families
However, the growing number of family offices has several implications that extend beyond individual families. From an economic standpoint, family offices are major capital allocators in the sectors of private businesses, property, and impact-driven ventures. Their long-term approach provides a platform for innovation that is not pursued in the public markets.
Socially, the family office is changing the face of philanthropy. Strategic and result-oriented philanthropy has replaced checkbook philanthropy, and the results can be seen in the fields of education, healthcare, and community development
Professionally speaking, this model is transforming what it means to have a career in accounting and finance. Young professionals are looking for work that combines skill with meaning and human connection.
“‘This work is at the crossroads of numbers and values,’ Hoover explains. ‘That’s what makes it meaningful.’”
Navigating 2026 and Beyond
Looking forward, one thing is certain – it is uncertain. Political, social and economic changes are likely to change estate tax, income tax, and overall family wealth planning. The private equity market is likely to see consolidation in financial advisory companies. And generational shifts are poised to challenge traditional notions about wealth.
Next-generation members of a family may emphasize sustainability, transparency, and impact, in addition to return on investment. Family offices that do not evolve will be rendered irrelevant.
As Lisa Shalett, a member of the management team for Morgan Stanley Wealth Management, explains, “The next generation is not just inheriting wealth, they are inheriting responsibility.”
Stewardship in an Age of Complexity
The contemporary family office is not a status symbol, but a necessity. In a world where wealth is increasingly complex and its implications broader, families are looking for professionals who can combine knowledge, strategy and fiduciary duties.
As a professional, Michael Hoover is passionate about partnering with clients and families, guiding them through their most important financial and life decisions. He recognizes that every family’s journey is unique and strives to provide insightful advice and innovative solutions that focus on long-term value and family alignment. Whether supporting families through succession planning or helping them adapt to changing market conditions, his goal is always to serve as a trusted partner. This is a transition from transaction to stewardship.
