The Technology Infrastructure Checklist Every $500M+ Family Office Needs (But Most Don't Have)

A family principal with $1.5B in assets sits down with her CFO to discuss a strategic challenge. “I want faster decisions,” she says. “I want real visibility into what we actually own. I want to know instantly if we can deploy capital. I want to stop getting surprised by custodian reporting errors. And I want our team to spend time on strategy, not spreadsheets.”

The CFO nods. They both know the office needs better infrastructure. But neither can articulate what “better” actually means.

What should a modern family office look like, technically? What systems should be in place? How do you know if you’re missing critical capabilities? And perhaps most important: if you built the right infrastructure today, what would it enable you to do that you can’t do now?

These questions plague family offices across North America. And the lack of clarity often means offices end up building infrastructure haphazardly—adding tools reactively as pain points emerge, rather than architecting strategically from first principles.

This article provides a complete technology infrastructure checklist for $500M+ family offices—designed to be used as both a diagnostic tool and a roadmap. Use it to assess what you have today, identify what’s missing, and prioritize the investments that will deliver the most strategic value.

The Six Core Pillars of Family Office Technology Infrastructure

Modern family office infrastructure rests on six foundational pillars. Each serves a distinct purpose; together they create a coordinated ecosystem that enables institutional-quality wealth management.

Pillar 1: Communication Infrastructure

Purpose: Secure channels for internal team collaboration and external communication with advisors, managers, and family members.

Checklist Items:

• Encrypted email system with multi-factor authentication (MFA)
• Secure messaging platform for internal team communication (not WhatsApp or personal email)
• Virtual Private Network (VPN) for secure remote access to family office systems
• Video conferencing infrastructure with encryption and recording capabilities for investment committee meetings
• Zero-trust network architecture that assumes any user or device could be compromised and validates every access request
• Audit trail for all communications critical to investment decisions (who said what, when, on which investment)

Why It Matters: Communication infrastructure is often overlooked but is the first line of defense against social engineering attacks and data breaches. 62% of larger family offices report being targeted by cyberattacks, and phishing/social engineering remains the #1 attack vector. A single compromised email account—belonging to a CFO or family member—can expose the entire portfolio.

Red Flags:

• Team members using personal email for family office business
• No encryption on remote access connections
• No multi-factor authentication across systems
• No record of who accessed what systems and when

Pillar 2: Data Storage & Document Management

Purpose: Secure, encrypted storage for critical documents, reports, contracts, and structured data that powers portfolio management and governance.

Checklist Items:

• Cloud-based secure document repository with role-based access controls (not shared drives or email attachments)
• Encryption at rest and in transit for all sensitive documents
• Version control that tracks document changes and prevents accidental overwrites
• Automated backup infrastructure with offsite disaster recovery (3-2-1 backup rule: 3 copies, on 2 different media, 1 offsite)
• Document governance policies defining what data must be retained, for how long, and how it’s disposed
• Blockchain or advanced audit trail technology for critical documents (investment documents, legal agreements, governance records) that prove authenticity and tamper-resistance
• Segregation of duties: Admin, approver, and reviewer roles are separate; no single person can both create and approve critical transactions
• Data classification system that identifies which information is highly sensitive (vs. operational) and applies security controls accordingly

Why It Matters: Documents are where the family office story is told. Investment theses, board minutes, capital deployment records, tax documents, and legal agreements are your institutional memory. If this data is lost, corrupted, or breached, the consequences are severe: audit failures, tax exposure, governance gaps, and potential legal liability.

Red Flags:

• Critical documents stored in shared email or WhatsApp
• No backup system or no testing of backup recovery
• Access is “everyone can see everything”
• No record of who modified critical investment documents
• Documents from different deals/years with inconsistent naming conventions or locations

Pillar 3: Financial Reporting & Asset Management

Purpose: Systems that consolidate data from multiple custodians, managers, and holdings to produce accurate, timely reporting on portfolio positions, performance, and compliance.

Checklist Items:

• Portfolio management platform that aggregates custodian data and produces consolidated reporting (not manual spreadsheets)
• Direct integrations with custodians (APIs or SFTP feeds, not manual downloads)
• Real-time or near-real-time position and transaction data flowing from each custodian
• Automated data validation and reconciliation logic that flags discrepancies between custodian reports
• Standardized reporting templates tailored to your specific family governance structure (executive summary, allocation drift, performance, cash position, etc.)
• Multi-currency support with automated FX conversion and reconciliation
• Investment accounting that calculates performance using your specific methodology (not custodian-default calculations)
• Tax lot tracking so you know the cost basis and holding period for each individual position (critical for tax-efficient selling)
• Alternative investment integration (private equity, venture, hedge funds, real estate, commodities) alongside liquid investments
• Scenario modeling capability (“What if we deploy $50M here? What’s our new allocation? How does it affect our rebalancing schedule?”)
• Automated compliance reporting (Form ADV if you have a registered advisor, FinCEN filings if applicable, etc.)

Why It Matters: This is the core operational engine. If your reporting infrastructure is weak—whether through manual processes or fragmented systems—every downstream decision is made on incomplete or stale data. You miss rebalancing opportunities, don’t know your true liquidity position, and can’t respond rapidly to capital calls or opportunities.

Cost Impact: $225,000-$450,000 annually in operational drag from manual consolidation and reconciliation, plus missed opportunities and decision delays.

Red Flags:

• Monthly reporting takes 2+ weeks to produce
• Reconciliation involves multiple emails and spreadsheet hand-offs
• Different custodians report the same position different ways (and nobody knows why)
• Capital call decisions require 3-4 business days to determine if you have sufficient liquidity
• Alternative investments are tracked manually; illiquid asset values aren’t updated regularly

Pillar 4: Strategic Management & Governance Tools

Purpose: Systems and frameworks that support family governance, investment decision-making, succession planning, and operational management.

Checklist Items:

• Investment CRM that tracks all deal flow, investment decisions, follow-on rounds, and performance monitoring
• Deal flow management workflow with standardized evaluation criteria, approval processes, and due diligence tracking
• Board/governance portal for family members and advisors to access reports, voting materials, and meeting minutes
• Investment policy statement (IPS) documentation with defined allocation targets, rebalancing triggers, and decision authorities
• Risk management dashboard showing portfolio concentration, liquidity stress scenarios, and regulatory/tax risk factors
• ESG tracking system if ESG goals/reporting is important to the family (85%+ of offices now track ESG)
• Succession planning documentation that maps who owns what, how decisions are made, and transition protocols
• Key person documentation that captures critical relationships, vendor contacts, and procedural knowledge (so the office doesn’t collapse when someone leaves)
• Tax planning integration with accountants and advisors (capital gain harvesting, charitable giving strategies, etc.)
• Entity structure mapping if assets are held across multiple LLCs, LPs, trusts, or offshore structures

Why It Matters: Governance infrastructure ensures decisions are made consistently, documented clearly, and aligned with family values. It also prevents conflicts, protects fiduciaries, and ensures that operational knowledge doesn’t vanish when people leave.

Red Flags:

• No written investment policy statement, or one that hasn’t been updated in 3+ years
• Deal evaluation is ad-hoc; no standardized criteria or approval process
• Family members access data through email requests or personal calls to the CFO
• No documented succession plan or key person backup processes
• Tax planning is reactive (“What do we owe?”) instead of proactive (“How do we minimize what we owe?”)

Pillar 5: Endpoint Security & Access Management

Purpose: Protect all devices (desktops, laptops, phones, tablets) used by family members and staff from unauthorized access, malware, and data theft.

Checklist Items:

• Mobile Device Management (MDM) applied to all devices accessing family office systems (includes personal devices if BYOD is allowed)
• Endpoint detection and response (EDR) that monitors for suspicious activity and responds automatically to threats
• Multi-factor authentication (MFA) required for all system access; not just at login but for sensitive transactions
• Password manager with strong, unique passwords for each system (not Post-its, not saved in browsers)
• Encryption enabled on all laptops and devices containing sensitive data
• Remote wipe capability so that if a device is lost or a user leaves, data can be wiped remotely
• Zero-trust philosophy: Every device accessing family office data is verified, even if it’s an internal device; never trust by default
• Software patch management ensuring all systems receive security updates promptly (not waiting months for updates)
• Privileged access management (PAM) for admin accounts; strong controls on who can access system admin functions
• User activity monitoring (UAM) for suspicious behavior (bulk downloads, access to systems outside normal usage patterns, etc.)

Why It Matters: Modern cyberattacks rarely target the perimeter; they target users. Once a bad actor gains access to a single device (through phishing, credential theft, or social engineering), they can pivot laterally through the network. Endpoint security is your last line of defense.

Red Flags:

• No centralized management of devices; everyone manages their own security
• No multi-factor authentication, or it’s optional
• Devices aren’t patched regularly
• No encryption on laptops (if a laptop is lost, all data on it is readable)
• Personal and professional data are mixed on the same device without controls

Pillar 6: Monitoring, Threat Detection & Business Continuity

Purpose: Continuous monitoring of IT infrastructure to detect threats in real-time, and backup systems to ensure the family office can operate even if systems fail.

Checklist Items:

• AI-powered security monitoring that detects anomalies and potential breaches in real-time (not just log files reviewed monthly)
• Intrusion detection and prevention systems (IDS/IPS) actively monitoring network traffic for suspicious patterns
• Security Information & Event Management (SIEM) platform that aggregates logs from all systems and surfaces security-relevant events
• Incident response plan with defined roles, communication protocols, and escalation procedures
• Regular penetration testing (annual minimum) to identify vulnerabilities before attackers do
• Phishing simulation exercises to train team and measure susceptibility to social engineering
• Business continuity & disaster recovery (BCDR) plan with clearly defined Recovery Time Objective (RTO) and Recovery Point Objective (RPO)
• Backup system tested quarterly (not just set-and-forget; test actual recovery)
• Failover infrastructure for critical systems (if your primary data center goes down, can operations continue?)
• Vendor management process including security assessment of third-party providers (custodians, advisors, etc.)
• Insurance coverage including cyber liability and data breach insurance
• IT governance framework defining who makes tech decisions, who has authority to spend money, and how decisions are reviewed

Why It Matters: Monitoring and continuity planning ensure you catch problems before they become crises, and that you can recover if disaster strikes. A 24-hour system outage could cost a family office $100,000+ in lost trading opportunities and staff inefficiency.

Red Flags:

• No monitoring system; you only find out about breaches when external parties notify you
• Backup system is “someone set it up years ago” but nobody’s tested it
• No incident response plan; if something bad happens, chaos ensues
• Vendor security is never assessed; you just trust they’re secure
• No cyber insurance, or coverage limits are too low

The Technology Infrastructure Assessment Matrix

To help you benchmark your current state, here’s a simple matrix:

Infrastructure Pillar	Minimal (Gap)	Adequate	Modern (Industry-Leading)	Your Current State
Communication	Email + shared drive	Encrypted email, VPN, basic MFA	Zero-trust network, encrypted messaging, full audit trail, MFA enforced	☐
Data Storage	Shared drives, Dropbox	Cloud storage with encryption, version control	Blockchain-verified documents, role-based access, 3-2-1 backup, full audit trail	☐
Financial Reporting	Manual spreadsheets	Portfolio platform with custodian feeds	Real-time data, automated reconciliation, integrated performance analytics, scenario modeling	☐
Governance Tools	Email + spreadsheets	CRM, document portal	Integrated decision workflow, board portal, automated reporting, succession planning system	☐
Endpoint Security	Antivirus	Endpoint protection, basic encryption	EDR with AI threat detection, zero-trust, privileged access management, UAM	☐
Monitoring & BC	Ad-hoc log review	Basic monitoring, backup system	AI-powered SIEM, real-time threat detection, tested DR plan, incident response procedures	☐

Scoring Guidance:

• Minimal: You’re exposed to significant risk and operational inefficiency.
• Adequate: You’re functional, but missing strategic capabilities and at elevated security risk.
• Modern: You’re operating at institutional standards with strong controls and strategic capabilities.

Most family offices managing $500M+ score between “Minimal” and “Adequate.” Few are truly “Modern.”

Building Your Infrastructure Roadmap

Once you’ve assessed where you stand, the next step is prioritization. Not all gaps are equal.

Tier 1 (Highest Priority - Address in Months 1-3):

• Multi-factor authentication across all systems
• Encrypted communication and remote access
• Data backup system with tested recovery
• Financial reporting consolidation (if currently manual)
• Basic endpoint encryption on all devices

These are foundational security and operational measures with high ROI.

Tier 2 (Important - Months 3-9):

• Advanced threat monitoring and detection
• Zero-trust network architecture
• Investment CRM and deal flow system
• Governance portal for board/family access
• Automated compliance reporting

These enhance strategic capability and reduce operational drag.

Tier 3 (Long-term - Months 9-18):

• AI-powered analytics and insights
• ESG tracking integration
• Blockchain document verification
• Advanced privilege access management
• Continuous penetration testing program

These are “nice-to-have” capabilities that differentiate leading practices.

The Role of a Fractional CTO: Turning Checklist Into Reality

A comprehensive technology infrastructure audit and roadmap can be completed in 4-6 weeks. But many family offices struggle with:

• Lack of technical expertise to assess what they currently have
• Vendor confusion about which solution is “right” for them
• Change management anxiety about switching systems or training teams
• Scope creep where projects balloon in cost and timeline
• Ongoing support gaps once systems are implemented

This is where a fractional CTO becomes invaluable.

A CTO partner can:

• Conduct the audit: Map your current infrastructure against this checklist, identify gaps, and quantify the business impact of each gap
• Design the roadmap: Create a phased, realistic plan with timelines, budgets, and success metrics
• Manage vendors: Evaluate solutions, negotiate pricing, and ensure commitments are met
• Oversee implementation: Ensure projects deliver on time and within budget
• Enable your team: Train staff on new systems and build internal capability
• Define governance: Create policies and procedures for ongoing management

The typical engagement: 6-12 months to move from “Minimal” to “Adequate” infrastructure, and an additional 12-18 months to progress toward “Modern.” The payback: $200,000-$400,000 in annual operational savings, dramatically reduced security risk, and much faster strategic decision-making.

Why Infrastructure Matters More Than You Think

Most family offices think about technology reactively: “Our spreadsheets are broken, so we need a better reporting system.” Or: “We got hacked, so we need better security.”

But leading family offices think about technology strategically: “What infrastructure do we need to make decisions faster, manage risk better, and scale to the next level?”

The difference isn’t subtle. A family office with modern infrastructure can:

• Deploy capital in hours instead of days
• Confidently pursue complex multi-asset strategies
• Scale governance to multi-generational wealth transfer
• Attract and retain top talent who expect institutional-quality operations
• Pass an audit without days of emergency data gathering
• Recover from a disaster without losing critical data

A family office with minimal infrastructure is constantly fighting fires.

Moving Forward: Your Next Step

The checklist provided in this article can be completed in 4-6 weeks by someone with technical expertise. It will reveal where you stand, what gaps pose the highest risk, and where to prioritize investment.

The key is to move from reactive problem-solving (“We need this because it broke”) to strategic planning (“We’re building this because it enables our family’s next chapter”).

For family offices managing $500M+, modern technology infrastructure is no longer optional. It’s the foundation upon which everything else—investment decisions, governance, succession planning, and risk management—rests.

The question isn’t whether to invest in technology. It’s how quickly you can move from where you are today to where you need to be.

Sources

• The Cecily Group. “Reinventing Family Office IT Infrastructure for the Modern Era.” March 2024. Available at: https://thececilygroup.com/reinventing-family-office-it-infrastructure-for-the-modern-era
• Wealth Briefing. “Family Offices Not Doing Enough To Thwart Cyber Attacks.” March 2025. Available at: https://wealthbriefing.com/family-offices-not-doing-enough-to-thwart-cyber-attacks
• Gartner Solutions. “IT Infrastructure Audit Checklist: Signs You Need a Checkup.” July 2025. Available at: https://gartsolutions.com/it-infrastructure-audit-checklist
• Procain Consulting. “New Office IT Infrastructure Checklist for 2025.” August 2025. Available at: https://procainconsulting.com/new-office-it-infrastructure-checklist-2025
• WealthArc. “Building the Optimal Tech Stack for a Modern Multi-Family Office.” September 2025. Available at: https://wealtharc.com/insights/building-the-optimal-tech-stack
• Northern Trust. “Optimizing the Family Office Tech Stack.” December 2024. Available at: https://northerntrust.com/optimizing-family-office-tech-stack

Frequently Asked Questions

Q: What is a technology infrastructure assessment and why is it important?

A: A technology infrastructure assessment is a comprehensive evaluation of a family office’s technology across 12 domains: cloud strategy, data architecture, security posture, integration architecture, backup/recovery, monitoring, access control, vendor management, compliance, documentation, disaster recovery, and performance. It’s important because: (1) Identifies hidden risks (security vulnerabilities, single points of failure, compliance gaps), (2) Quantifies technical debt (cost of deferred upgrades and patches), (3) Establishes maturity baseline (where you are vs. industry standards), (4) Prioritizes investments (highest-impact improvements first), (5) Supports vendor negotiations (leverage assessment findings for better pricing). Typical assessment takes 2-4 weeks and costs $15K-$40K.

Q: What maturity level should family offices target?

A: Maturity levels: Level 1 (Ad Hoc)—reactive, no formal processes, high risk. Level 2 (Developing)—some processes documented but inconsistently executed. Level 3 (Defined)—documented processes, consistent execution, meets minimum standards. Level 4 (Managed)—measured processes with KPIs, continuous improvement. Level 5 (Optimized)—industry-leading practices, automation, innovation. Target for most family offices: Level 3-4. Level 3 (Defined) meets fiduciary obligations and manages risk effectively. Level 4 (Managed) provides competitive advantage and enables strategic initiatives. Level 5 is typically excessive for all but largest ($5B+) offices. Focus investment on reaching Level 3 across all 12 domains before pursuing Level 4-5 in specific areas.

Q: How much does it cost to improve infrastructure maturity?

A: Investment varies by current state and target maturity: Level 1 → Level 3 (most common scenario): Security improvements ($50K-$150K)—MFA, endpoint protection, email filtering, backup encryption; Cloud migration ($100K-$300K)—move on-premise systems to cloud, establish disaster recovery; Integration architecture ($150K-$400K)—consolidate data, build APIs between systems; Documentation ($30K-$80K)—system diagrams, runbooks, procedures; Monitoring & observability ($20K-$60K)—system health dashboards, alerting. Total: $350K-$990K over 12-18 months. Level 3 → Level 4: Additional $200K-$500K for advanced monitoring, automation, continuous improvement processes. ROI: Risk mitigation (avoid $5M breach), efficiency gains (40-60% time savings), strategic enablement (support growth initiatives).

Q: What are the most critical infrastructure gaps in family offices?

A: Top 5 critical gaps across family offices: (1) Lack of MFA (45% don’t have it)—enables 99%+ of password-based attacks; Priority: Immediate. (2) No incident response plan (31% lack one)—creates chaos during breach; Priority: High. (3) Unencrypted backups (40%)—ransomware encrypts backups making recovery impossible; Priority: High. (4) No vendor security assessments (68%)—third-party breaches compromise office; Priority: Medium. (5) Undocumented architecture (58%)—single points of knowledge create operational risk; Priority: Medium. Address these five gaps first before pursuing broader infrastructure improvements.

About Deconstrainers LLC

Deconstrainers LLC specializes in translating the “what” of infrastructure into the “how.” Our fractional CTO service helps family offices and private equity firms complete technology infrastructure audits, design strategic roadmaps, manage complex implementations, and build institutional capability that scales with your ambitions.

Use this checklist to assess your current infrastructure. Then schedule a free 30-minute consultation with a Deconstrainers fractional CTO to discuss your gaps, prioritization, and a realistic path to modern, institutional-quality infrastructure.