An article by Ekaterina Chernova, the co-founder of Dubai-based Family Office (Octagon).

Family offices are the private entities established to manage the wealth and affairs of affluent families. Historically, such offices served single families with a close-knit approach to wealth management. But contemporary family offices have evolved; they became more sophisticated and open to external advice and professional investments—they are diversifying their approach to governance and operations. 

Many family offices now cater to multiple families, making the model accessible to a broader client range.  Another trend of note is the emergence of Family Office as a Service (FOaaS), a subscription-based model providing comprehensive Family Office services. 

Such evolutions prompt a key question: what is the appropriate governance structure for a modern family office? 

Family offices in the MENA region: where tradition meets modernity

While regions such as the US and Europe have well-established family office structures and a pool of talented professionals, new hubs such as the UAE, Eastern Europe and Asia are emerging.  

The Middle East and North Africa (MENA) has emerged as one of the top attractive destinations for investors and entrepreneurs aspiring to make it in a very promising land. The UAE, for example, has proved adept at attracting ultra-high-net-worth individuals (UHNWIs) from all over the world.

Family offices in MENA are intriguing hybrids—often blending traditional values with modern financial practices. Such structures are formed as holding companies or foundations—depending on the family’s structure, citizenship, and residency considerations—and are popular for their flexibility and alignment with local legal and cultural norms.

Holding companies give central control over diverse business assets while yielding asset protection and succession planning benefits. In some MENA countries, foundations—particularly those with civil law systems—are alternatives to trusts for managing wealth and succession planning. They provide high levels of confidentiality and can be structured to comply with Islamic inheritance principles.

While specific Family Office regulations do exist in financial-free zones such as the DIFC and ADGM, holding companies and foundations tend to be more popular.

Family Offices fuel ongoing economic transformation

Increasingly, family offices act as strategic investors, channelling capital into sectors aligned with national economic diversification plans. Many are establishing venture capital arms or investing in local/regional startup ecosystems—fostering innovation and entrepreneurship.

Investments in large-scale infrastructure projects, often alongside governments, are driving economic development and creating jobs. Family offices have core roles in real estate investment (locally and globally), boosting urban development and expanding the hospitality sector.

For example, one prominent Saudi Family Office has been instrumental in advancing the Kingdom's Vision 2030 plan. It established a $500 million fund focused on tech startups in Saudi Arabia and across MENA. It also invested in large-scale solar projects, contributing to the country's renewable energy goals, and partnered with international universities to create research centres dedicated to emerging technologies such as AI and robotics.

This case study demonstrates how family offices can align their investment strategies with national economic objectives, boosting broader economic transformation.

Long-term growth and economic diversification: a top priority

Family offices in the MENA region are exploring and investing in diverse sectors, especially those promising long-term growth and aligning with regional economic diversification plans. In the UAE, many family offices have invested in solar energy initiatives such as large-scale solar farms. These investments support the UAE's transition strategy to reduce carbon emissions and the country’s goal to generate 50% of its energy from renewable sources by 2050.

Family offices are exploring green bonds to finance renewable energy projects. They are designed to raise funds for environmentally friendly initiatives  focused on carbon regeneration and sustainable infrastructure. This approach aligns with their commitment to combat climate change while pursuing profitable investments.

Family offices are actively investing in educational programmes to improve access to quality education. Efforts include establishing scholarships for underprivileged students, funding vocational training programmes, and supporting the development of schools in underserved areas. These investments empower youth and enhance educational outcomes across the region.

The healthcare sector is another focus area. Family offices have funded medical facilities and supported research and development (R&D) for innovative treatments. These investments seek to improve healthcare access and quality, especially for marginalised communities, and address major healthcare system gaps.

In the UAE, family offices are adopting impact-investment strategies prioritising social and environmental outcomes and financial returns. Funding initiatives tackle pressing social issues such as poverty alleviation and community development. By leveraging their capital, family offices have a positive societal impact while also seeking returns.

Many family offices are forming partnerships with organisations and social enterprises to amplify their investments’ impact. Collaboration allows a pooling of resources, shared expertise, and the development of innovative solutions to address social challenges. This approach has seen the creation of platforms supporting social entrepreneurship, offering mentorship and funding to startups focused on social impact.

The MENA region is an ideal example of impressive evolution and enhanced existing models to ensure effective governance and robust performance. And as family offices continue to adapt, appropriate governance structures will be crucial to meet changing demands and to secure long-term success.