In the evolving world of family offices, artificial intelligence (AI) is no longer a futuristic concept—it’s a present-day game-changer. At Eton Solutions, we’ve witnessed firsthand how AI is transforming the way family offices operate, making them more efficient, informed, and agile. Let’s dive into the five most common AI applications revolutionizing the industry.
The Five Most Popular Applications of AI
1. Document Processing: Unlocking the Data Goldmine
Around 80% of family offices’ most valuable data is stored in documents, with only 20% retrievable via structured computer systems. AI-powered document processing is a natural starting point for unlocking the often underutilized treasure trove of document data. Actionable insights can be revealed by automating the extraction of key information from K-1s, alternative investment documents, capital calls, invoices, and more. Imagine automatically pulling documents from portals, extracting tax details, and auto-tagging them for easy retrieval—all with minimal human intervention.
And it doesn’t stop there—our customers also use AI in real time to access specific information, such as requesting a summary of all documents associated with a fund, organized according to a particular method or theme; applying all partnership agreements against specific stress-test questions; and much more. Vector databases and similar searches supported by AI make retrieving answers to such queries simple and fast.
2. Investment Research & Portfolio Management: Sharpening the Competitive Edge
Family offices across the globe are turning to AI for investment research and portfolio management, because it can sift through oceans of data from platforms like PitchBook and Crunchbase, integrate internal research reports, and align findings with investment objectives. It quickly returns comprehensive investment theses, automated due diligence responses, and insightful summaries that can sharpen decision-making and reduce research time.
3. Reconciliation & Month-End Close: Streamlining the Back Office
North American family offices often focus on back-office efficiency; AI streamlines reconciliation and month-end close processes, from bank reconciliations and transaction uploads to coding general ledger entries and reconciling market values. What used to take weeks can now be accomplished in a fraction of that time, freeing up valuable resources and reducing errors.
4. Long-Tail Applications: The Next Frontier
AI is also paving the way for long-tail applications. Applications from estate plan stress testing and regulatory compliance checks to legal document research and cash flow projections are all poised for rapid growth. As family offices recognize the potential AI has to augment their own capabilities, they will increasingly integrate AI solutions to handle complex, one-off tasks before seeking external expertise.
5. Personal Productivity: The Everyday AI Companion
Family offices are leveraging AI as a personal productivity assistant, helping draft communications, summarize reports, and retrieve critical information, boosting efficiency and freeing up time.
By embracing these AI applications, family offices both enhance their operations and pave the way for future innovations that will keep them ahead of the curve.
Why Choose Eton Services?
We specialize in simplifying family office operations through a comprehensive range of services, expert support, and robust security controls. Acting as an extension of your team, we ensure efficiency, reliability, and peace of mind, allowing you to focus on delivering exceptional value to your clients.
Our dedicated teams facilitate the smooth adoption of new platforms and processes, ushering in a new era of fully reconciled entities and financial reports with minimal turnaround time. Your data is always protected, with advanced security controls that include role-based access, data encryption, audit trails, and compliance with regulatory standards.
We have a proven track record over 30 years:
- Manage $200B+ in assets
- Support 500+ families
- Manage 5,000+ entities
- Reconcile 15,000+ accounts daily
- Process 1M+ transactions monthly
- Validate monthly performance returns of 20,000+ positions
- Prepare 7,000+ K-1s and 8,500+ 1099s annually.
Contact us to learn more about how we can help with your middle and back office operations, data aggregation, fund accounting, tax support, virtual mailroom, investment reporting, and much more.
