Deutsche Oppenheim Family Office AG: Three Pillars that Ensure Solid Support at Leading Family Office

CEO: Thomas Rüschen, Ph.D.

Deutsche Oppenheim Family Office AG is one of the leading Multi Family Offices in the German market.

With roughly 80 experienced and qualified experts it offers comprehensive services around the organisation and management of complex private wealth situations. Created in 2013 through a merger of Wilhelm von Finck AG, Oppenheim Vermögenstreuhand and Deutsche Family Office GmbH, Deutsche Oppenheim builds on more than 30 years of experience in the family office business. Deutsche Oppenheim is 100% owned by Deutsche Bank, forms part of its Wealth Management business and today has offices in Grasbrunn near Munich, Frankfurt, Cologne and Hamburg.

Deutsche Oppenheim works with wealthy families, single family offices, foundations and smaller institutional clients. It is a multi-family office with an integrated portfolio management function, which gives all client advisors and relationship managers first hand access to capital markets expertise while at the same time guaranteeing independent and neutral advice regarding investment decisions and the selection of suitable asset managers.

The offering of Deutsche Oppenheim consists of three pillars: Wealth Strategy and Structuring; Capital Markets Solutions; and Real Estate and other Alternative Assets. Basis for this comprehensive offering is a state of the art reporting and controlling proposition which provides transparency across the entire wealth of a family including all asset classes, be it in the liquid as well as the illiquid space.

The Wealth Strategy and Structuring proposition consists of different components: strategic asset allocation advice, succession planning and the execution of the last will, asset-protection advice, the selection of platforms, advice around the creation and the set-up of foundations as well as office services. With regards to strategic asset allocation, we develop the investment strategy in close cooperation with our clients, determining the ideal risk-return profile while also taking into consideration the family’s liquidity needs, resulting in a target allocation of the wealth across all asset classes, such as equities, fixed income, real estate, private equity, hedge funds, infrastructure, gold or cash. Our succession planning services develop a framework for wealth transfer to the next generations.
Asset protection comprises of different risk management tools to ensure that assets are safely organized to withstand emergency situations, fraud or other attempts from the outside to damage family wealth. We select the ideal platform as a vehicle for the family assets considering the family’s specific situation, determine the preferred asset class mix or the best suited governance structure, and provide independent advice and a neutral process for the selection of the best service offer. Some families consider the creation of a foundation, for example in cases when there are no descendants or when the family has identified a charitable cause to pursue. Deutsche Oppenheim supports such efforts by providing advice about the foundation’s creation and organisational setup as well as by supporting the ongoing activities of such an undertaking. If a family is looking for administrative support by delegating ongoing paperwork, Deutsche Oppenheim provides office services.

The second pillar of Deutsche Oppenheim´s proposition, Capital Markets Solutions, consists of an in-house portfolio management as well as three F.O.S. funds. Mandates are offered in a highly individualised composition, taking into consideration the specific expectations and investment ideas of a family. For over 10 years, Deutsche Oppenheim manages a large fraction of their client accounts based on ESG criteria and, with the ‘F.O.S. Rendite und Nachhaltigkeit’ fund, offers one of the leading ESG based public vehicles for foundations and similar investors. Recently the asset management proposition was extended to include an ETF based portfolio, which is increasingly attracting clients who seek an alternative to the traditional actively managed investment strategies.

As a family office, Deutsche Oppenheim provides neutral advice regarding the selection of the best asset managers for the highly individual investment strategy of each family. Manager selection forms an integral part of its offering, whereby the most suited asset managers are selected employing a well-structured and disciplined ‘beauty contest’. The ongoing supervision of the selected asset managers is ensured by creating an adequate governance structure and verifying that investment guidelines are respected.
The third pillar, Real Estate and other Alternative Assets, complements the other two pillars and allows Deutsche Oppenheim to provide a truly comprehensive offering across all relevant asset classes. Given the low interest rate environment, illiquid asset classes have gained more importance in the asset allocation of wealthy families in recent years. By far the most important asset class for wealthy German families is German direct real estate. Often, a family prefers to own a single building on its own rather than sharing its ownership with others through fund structures. For this reason Deutsche Oppenheim has its own team of real estate experts covering the German market. For investment opportunities outside of Germany, Deutsche Oppenheim works with selected partners with specific expertise. For all other illiquid alternative asset classes Deutsche Oppenheim works with a network of specialised partners who can provide interesting investment opportunities for its client base. Areas of priority include private equity (through direct investments or fund structure), venture capital, infrastructure and impact investments – the latter growing in importance, particularly with the next generation of investors.

Each family is different and therefore has very specific needs, which are best addressed by a tailor-made combination of individualised services. Some families have their own single family office structure providing services in-house. In such situations, we can complement the capabilities of the single family office through the above mentioned services.

Wealthy families expect to be offered solutions at a very high quality standard. Our ambition for excellence drives us to offer the best solutions available in the market.