Why Global Families Are Choosing Independent Wealth Advisors: A Perspective from Waugh McDonald
Jul 2, 2025
Introduction
We were recently introduced to a prospective client by a trusted professional connection. The client had been approached by a well-known private bank and asked a simple but important question:
How does Waugh McDonald differ?
It’s a question we welcome and one that reflects a broader shift in the global wealth landscape. Increasingly, families with international ties, multi-generational goals, and complex planning needs are exploring alternatives to traditional private banking. Many are turning to independent wealth advisors and multi-family offices (MFOs). This note outlines why.
The Global Shift: From Private Banks to Independent Advisors
Over 80% of wealthy families now have a global footprint, whether through assets, family members, or citizenships across multiple continents. These families are seeking holistic, conflict-free advice that aligns with their long-term interests. Independent advisors and MFOs are well-positioned to meet this demand by offering:
Greater transparency
Open architecture investment access
Continuity across generations
Jurisdictional and regulatory rigour
Bespoke structuring and estate planning
This shift is driven by a desire for objectivity, cost clarity, and access to institutional-grade solutions, qualities that are increasingly valued in today’s complex financial environment.
What Do Private Bankers Typically Offer?
In many markets, private banks provide a valuable suite of services: investment portfolios, lending solutions, trust structures, and day-to-day banking. These offerings can be helpful, particularly for clients with straightforward needs or those seeking access to a bank’s proprietary platform.
However, in regions such as East Africa, the private banking model is often more product focused. Bankers may concentrate on opening accounts, offering investment portfolios, and facilitating loans or trust introductions. While these services are useful, they are typically delivered in isolation, with limited coordination across disciplines or jurisdictions.
Sophisticated cash-flow modeling, scenario planning, and the orchestration of a broader advisory ecosystem including legal and tax advisors are not always part of the standard offering. This can leave families with fragmented advice and limited visibility into how their wealth strategy supports long-term goals.
How Waugh McDonald Compares
1. Client-First, Not Product-First
At Waugh McDonald, we are independent, and owner managed. We do not manufacture products or receive retro-cessions. Our advice is conflict-free, and our portfolios are selected based on what’s best for the client not what’s on the shelf.
We offer a range of model portfolios managed by Morningstar Investment Management Europe Ltd., which are designed to meet a variety of risk profiles and objectives. These portfolios are built using institutional processes and are available to all clients. Where appropriate, we also provide bespoke structuring and planning to reflect specific family needs.
Our approach is designed to provide clarity, alignment, and long-term value without the conflicts that can arise in product-led models.
2. Institutional-Grade Portfolio Construction
Our portfolios are constructed and managed by Morningstar Investment Management Europe Ltd., using a globally recognised, valuation-driven process. This includes:
Deep fundamental research
Forward-looking capital market assumptions
Active and passive fund selection based on merit
Continuous risk monitoring and re-balancing
The result is a portfolio that is globally diversified, cost-efficient, and designed to deliver long-term, risk-adjusted returns.
Our institutional pricing is highly competitive, often a fraction of the cost of traditional models, while maintaining full transparency and alignment with client outcomes.
3. Transparent Fees and Reporting
We believe clients should know exactly what they’re paying for. Our fee structures are simple, transparent, and fully disclosed. We use institutional share classes wherever possible, and we benchmark our portfolios against global standards not internal targets.
This level of transparency helps clients make informed decisions and fosters long-term trust.
4. Risk Management
Risk is managed through a multi-layered process that includes scenario analysis, valuation-based drawdown modelling, and ongoing oversight. Portfolios are rebalanced based on valuation signals, not arbitrary timelines. The focus is on minimising permanent capital loss and ensuring resilience across market cycles.
We also avoid unnecessary complexity. Structured products, for example, are only considered when their risks, costs, and mechanics are fully understood and aligned with the client’s objectives.
5. Long-Term Continuity and Alignment
Our clients work directly with senior advisors who understand their family, their values, and their vision. Unlike models where client relationships may be subject to turnover or restructuring, we offer long-term continuity and alignment.
Our investment process is designed to support intergenerational planning, with structures like offshore bonds and trusts integrated into the strategy. Our independence ensures that our focus remains firmly on the client’s long-term goals.
A Boutique Alternative
At Waugh McDonald, we go beyond investment management. We act as a strategic partner, helping clients design, implement, and oversee a cohesive wealth strategy that reflects their values, goals, and complexity. This includes:
Cross-border structuring that integrates tax, legal, and regulatory considerations
Sophisticated cash-flow and scenario modeling to support long-term planning
Coordination of a trusted advisor ecosystem across jurisdictions
Ongoing oversight of structures such as offshore bonds, trusts, and holding companies
Continuity of relationship with senior advisors who understand the family’s history and vision
This level of service is particularly valuable for families with international complexity, multi-generational planning needs, or a desire for long-term continuity and discretion.
Conclusion
Waugh McDonald offers a modern, institutional-grade investment approach that is transparent, methodical, and aligned with long-term client interests. For global families seeking clarity, control, and continuity, our model provides a compelling alternative, combining institutional discipline with a close, trusted relationship built to last across generations.
If you’re looking for a partner who puts your interests first, we’d be delighted to start a conversation. Reach out to us at info@waughmcdonald.co.ke.
