Private label investment funds are becoming increasingly popular among ultra-high-net-worth individuals (UHNWIs) and their family offices.  Often set up as RAIFs, SIFs, SICAVs, ICAVs, or similar structures depending on the jurisdiction, these vehicles offer a lighter regulatory regime than UCITS while allowing fully customized investment strategies aligned with a family’s long-term goals.

1. Tailored Investment Strategy 

These bespoke funds reflect the family’s unique philosophy, accommodating both traditional assets and harder-to-access categories—such as art, precious metals, crypto, venture capital, and digital assets—that standard funds typically exclude.

2. Institutional-Grade Infrastructure

Families gain access to the same professional ecosystem used by large institutions—managers, custodians, administrators—enhancing transparency, governance, risk management, and operational discipline.

3. Cost Efficiency at Scale 

For portfolios above roughly €30M, a private label fund is often more economical than multiple segregated accounts. Consolidation reduces custody, trading, reporting, and compliance costs.

4. Control with Flexibility

Families retain strategic control over key decisions while outsourcing day-to-day operations. Independent oversight by the fund’s depositary and administrator ensures adherence to the fund’s prospectus and investment declaration.

5. Privacy and Asset Protection 

Assets held within the fund remain out of public view and are safeguarded under the fund’s name, helping ring-fence them from personal or business risks.

6. Tax and Regulatory Advantages

With appropriate domiciliation (e.g., Luxembourg, Malta, Cyprus, Cayman Islands), private label funds can offer attractive tax treatment, treaty access, streamlined reporting, and, in some cases, UK-favorable offshore fund status.

7. Simplified Succession Planning

Passing fund shares to heirs is far simpler than transferring individual assets. Governance frameworks, family constitutions, trusts, or private foundations can also be seamlessly integrated.

8. Branding and Legacy 

For many families, the fund becomes part of their identity—reinforcing reputation, values, and multigenerational continuity.

9. Attracting Talent and Partners

A regulated fund structure improves access to exclusive deals, facilitates co-investments, and provides a clear career path for key family office employees, aiding retention.

Examples in Practice: 

• Multi-strategy RAIFs with diverse portfolios  

• Umbrella funds for liquid and illiquid assets 

• Regulated co-investment platforms 

• Vehicles designed for long-term succession 

• Funds offering special share classes for family and employee participation 

Many UHNW families now use private label funds for their unique blend of control, efficiency, discretion, and prestige.