Hesitation Costs

The Financial Times this morning reported on the turmoil at Nestlé, where hesitation in addressing a chief executive’s conflict of interest shook investor trust more than the indiscretion itself. Delay signaled uncertainty at the heart of the boardroom, and shareholders voiced their dismay in unusually sharp terms.

For a family office, the parallel is striking. Built on loyalty and discretion, these institutions risk confusing protection with stewardship. When hesitation takes hold, partners and advisors begin to question whether the office can act with the discipline required to safeguard capital and reputation. What was once perceived as a sanctuary for wealth becomes exposed to doubt.

The lesson is not that families should abandon loyalty, but that they must anchor it in principle. A family office that aspires to longevity must have the courage to act swiftly when trust is compromised. Independent voices, clear protocols, and a willingness to confront discomfort are what transform hesitation into leadership. In this way, governance becomes not a constraint, but the very expression of continuity.

W.