Family

A large-scale global study of 3,322 publicly listed firms across 32 OECD countries finds that family involvement is, on average, associated with lower market valuation, particularly when renewal investment is weak or governance rigor is unclear. While family ownership is discounted less in strong institutional environments, the valuation penalty tied to family CEOs persists across contexts. Crucially, underinvestment in R&D partially explains this performance gap, suggesting that visible, disciplined innovation is a key credibility signal to markets.For family enterprises, the message is not anti-control. It is structural: legacy, governance, and geography determine whether family influence fuels long-term value or quietly contributes to “innovation reluctance.”

This piece closes the loop on a year of Family Enterprise Insights by naming the common thread beneath our 2025 research: trust as infrastructure.

Most families assume wealth is lost through dramatic failures—a bad investment, a misjudged expansion, an unexpected crisis. But new research from Columbia Business School reveals something more subtle and far more consequential: long-term wealth is shaped by the small, ordinary decisions families make repeatedly over time. How often you rebalance. When you recognize gains or losses. Whether your advisors follow a disciplined process or react emotionally. These quiet choices—not portfolio size—explain why some families steadily compound wealth across generations while others slowly fall behind. This article explores the unseen mechanisms that drive long-run outcomes and offers tools to help families examine the habits, systems, and governance structures that support true resilience.

AI is redefining the meaning of continuity for family enterprises. New research reveals how families can turn artificial intelligence into a new form of capital—one grounded in learning, trust, and shared purpose across generations.

A new study by Blumentritt, Randolph, and Marchisio reframes burnout in family enterprises as a systemic issue—not simply the result of long hours, but of blurred roles, emotional labor, and constant entwinement of personal and professional identity. Unlike in traditional firms, stepping away from work may feel like stepping out of the family. The research highlights that effective recovery goes beyond rest—it requires intentional, identity-affirming experiences and collective shifts in how families structure time, roles, and expectations.