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The Global Family Office Report 2017 (GFOR) shows that more than a quarter of family offices (28%) report being engaged in impact investing, and two-fifths plan to increase their allocations in 2018. This investment method is now being practised across nearly every asset class, with 63% partaking in direct private investment, 57% in private equity funds, and 38% in venture capital. According to the GFOR, some family offices have trouble understanding how to source and implement impact investments. Environmental and social analytics providers can help by providing data-driven analysis for a practical measurement of impact. The rising influence of socially-conscious millennials in wealthy families means impact investing is only set to skyrocket. Family offices should get ready to be swept into the mainstream.

This case study reports on three governance challenges overcome by a diversified family enterprise from the Kingdom of Saudi Arabia. One of the early lessons for the family was to separate emotions from business. They did this by appointing independent directors whose role was to set the strategy behind the business. In order to engage everyone, they established a family assembly, where each and every branch would always be fairly represented. The family assembly membership was and still is based on merit, and its chairman is always the eldest member of the family.

The Daaboul Industrial Group (DIG) was established in Syria by Mohammed Daaboul in 1976. After almost 40 years the family patriarch is still the acting chairman of the family-owned group and is considered as one of Syria's living legends. By increasing the revenues with consistent growth rates of 20%-25% per annum until 2013, Mohammed created one of the largest aluminum producers in the Middle East. The constant growth was not sustainable without someone clearly defining actual roles and responsibilities and creating a rigid reporting culture within the family. A future goal for DIG is to add senior professionals in key positions to the group.

Nominations are now open for Campden’s second annual Middle East Philanthropy Awards, which celebrate exceptional philanthropic contributions by individuals and organisations in the Arabic region of the Middle East and North Africa. The finalists and winners of the awards will be recognised in an award ceremony in Abu Dhabi to be held on December 10. To nominate an individual, foundation or initiative that is worthy of such recognition, please submit details through the online forms on the website. Nominations will close on November 10.