• David Grammig

Interview with V22 International Advisory Founder Deniz Misir (Multi Family Office, Turkey)

Deniz, thank you for speaking to us and sharing your insights with our readers. Please introduce yourself and your family office to our readers

I am an entrepreneur and established V22 in 2013. V22 pioneered trusted advisory and multi-family office services in Turkey. In 2019, V22 introduced wealth growth, wealth protection and wealth excellence service packs and launched financial well-being mentoring. Our wealth growth pack is for family business owners while the wealth protection and excellence packs are for emerging or established international and local family offices.

Tell us a bit about wealth creation and wealth management in Turkey

Turkey’s wealth creation has been fuelled by family owned businesses that diversified and extended manifold, leading to the creation of several conglomerates. Up until recently, the family office structure was occasionally utilised, primarily for private wealth’s liquid asset management, with the exception of just one Turkish Single Family Office, which defined the office’s mission to serve the full portfolio including alternative asset classes (and family businesses) from its inception. I now see Turkish families establishing various types of family offices such as:

- Multi-generational FO’s

- Investment offices

- The Founder’s

- The administrative and Compliance

- Family business centred

- The legacy and Philanthropic

What challenges do international SFO’s face and do Turkish SFO’s face the same challenges?

There are layers of challenges or puzzles Single Family Offices need to solve unilaterally. I can think of five main angles:

Mission of the FO:

Key challenge (and opportunity) is to define the FO’s mission in a way that best serves the overall wealth mission, wealth portfolio, family and business governance systems as well as the well-being needs of the principals it serves

Structure of the FO:

The family needs to consider what structure works best for them. Cost or profit centre? Local or international? Having a core structure makes a whole world of difference

Scope of the FO’s Mandate:

Depending on the FO’s mandate, there is an increasing need for focus on several areas, such as compliance, ownership and liability amongst others

Role of the FO:

The role of the FO needs to be clearly defined. Is it to act as a gatekeeper or growth hacker or shall it focus on both? We see family offices -especially where the rising generation is actively engaged- moving towards a balanced and authentic role description

Deal flow:

Each Investing FO has a different investment philosophy and strategy, needing a focused deal flow that is aligned with their overall approach

Specifics for Turkish FO’s:

Turkish FO’s are in increased need of:

Active risk management at all levels, building and integrating wealth and investment structures as well as simplifying them; portfolio improvement; diversificationInnovation and disruption of business modelsAccelerated synergies with global counterparts

Do you think it’s important to bring families together in a private setting?

This is becoming inevitable with the shift from Wealth 1.0 to Wealth 2.0+. Wealth’s next progression will need “interdependence” over “independence” and this flourishes among co-creating like-minded communities. Communities are built up and thrive through interaction, involvement, information and inspiration. Regional and global family office conferences facilitate that. I expect services of “shapers & influencers of family office conferences” such as Grammig Advisory to be much sought after.

What does the current financial situation mean for Turkish family businesses?

Family businesses are better off when strategy, structure and systems synergistically serve “financial wellbeing”. That needs all forms of capital (human, social, financial, intellectual) be actively engaged for betterment. “Shirtsleeves to shirtsleeves in three generations” cycle is otherwise unavoidable for family businesses in any jurisdiction. Current financial situation makes it necessary for Turkish family businesses re-create both the business and the family. It is a chance to re-build even stronger.

Where are the places Turkish families bring their money to?

This really depends on the family’s wealth mission & motto. V22 has served families for whom the main priority is to contribute to the country where wealth has been created in the first place and hence like to keep it in Turkey. V22 has also served families who define themselves as global citizens and for whom the main priority is to contribute to the world’s wellbeing and hence like to keep wealth where it’s impactful.

Who are typically strategic partners? Greek, Cypriot, Israeli families? Or rather the Gulf?

Although the territory is filled with long-standing conditioned animosity among various countries, I observe that rising generation members (whether from Turkey, the Gulf Region, Israel or elsewhere) strive to excise toxicity and look for strategic partnerships based on win-win outcomes.

Are Turkish families collaborative or are they hesitant to engage with other families?

In comparison to their global counterparts, Turkish families had typically been more hesitant to engage with other families.

The current environment allows anchoring all forms of collaboration including investments and divestments, co-investments, intellectual property and know-how transfers among families.

Deniz, thank you for sharing your valuable insights.

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