Business

The majority of JFK Airport’s new Terminal 1 is less than a year from opening.
The terminal replaces the current space, which opened in 1998, and will serve international flights.
The more than $9.5 billion project will be nearly the size of LaGuardia’s two new terminals combined.

The future ticket counter at JFK’s new Terminal 1.
Leslie Josephs/CNBC

It’s far from finished but the new, $9.5 billion Terminal 1 at John F. Kennedy International Airport is taking shape. Its first phase is slated to open in mid-2026.
It will replace the current terminal, which opened in 1998.

The terminal, which will be JFK’s largest, is now weathertight. Winding baggage conveyor belt structures have been installed, and you can make out future ticket counters, where customers flying carriers like Turkish Airlines, Air New Zealand, Etihad Airways, Air China, Taiwan’s China Airlines and others will set down their luggage and show their passports to ticket agents.

JFK’s new Terminal 1 under construction.
Leslie Josephs/CNBC

The terminal — set to be roughly the size of the two new LaGuardia Airport terminals that opened in the past decade combined — will be dedicated solely to international travelers, which the developers said is key to the design.
“From the very first pen to paper … we had the international customer in mind,” Jennifer Aument, CEO of the New Terminal One, the company developing the project, said at a press conference at the airport last month.

The new baggage transport system at JFK’s new Terminal 1.
Leslie Josephs/CNBC

CNBC and other media got a look at the construction progress, led by Aument, in early July as part of what the company said will likely be among the last hardhat tours of the facility before opening day.
The project is part of the Port Authority of New York and New Jersey’s $19 billion overhaul of JFK. In addition to Terminal 1, the current Terminal 7, currently home to Alaska Airlines and Ireland’s Aer Lingus, will be knocked down for a new Terminal 6, whose first gates are set to open next year. LaGuardia Airport’s revamp, in comparison, was about $8 billion.

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As air traffic grows, airports around the country are racing to replace aging infrastructure.
U.S. airports need at least $173.9 billion for infrastructure upgrades from this year through 2029, according to a report earlier this year by the Airport Council International-North America.
“These investments – averaging nearly $35 billion annually – are essential to accommodate airlines and passengers, improve operational efficiency, elevate service quality and customer experience, and fulfill airport resiliency needs,” it said.

The future baggage claim area at JFK’s new Terminal 1.
Leslie Josephs/CNBC

The new JFK Terminal 1 is set to open around the start of the 2026 World Cup, when some games will be held at MetLife Stadium in East Rutherford, New Jersey, about 30 miles away.
More than half of the airlines at JFK are changing terminals in the coming years because of the construction, Aument said.
One thing she pointed to with the new design: “a terminal flooded with light.” That means no basement customs lines.

JFK’s Terminal 1’s new departure hall under construction.
Leslie Josephs/CNBC

The departures hall, security lanes and customs will be on the same level of the three-floor terminal, which features a wall of slanted windows. Its design, led by architecture firm Gensler, is supposed to conjure the image of a butterfly, with the body splitting the terminal down the middle.
The AirTrain, which connects the airport’s terminals and parking lots with train stations in Queens, is already running through the construction site and will stop at the terminal when the facility opens.
JFK’s overhaul also includes roadway improvements around the airport, where traffic has crawled around the biggest hub in the region for years.

JFK’s future Terminal One under construction
Leslie Josephs/CNBC

Terminal 1’s mid-2026 open will include the departure and arrival areas and the first 14 gates, all capable of receiving wide-body aircraft that are used for long-haul flights, and will have a capacity for 14 million passengers a year.
There will be 23 gates — 22 wide-body gates and one narrow-body gate — for planes like an Airbus A320 or a Boeing 737s — when the rest of the project is complete, currently scheduled for 2030.
The final version of Terminal 1 will also have more than 300,000 square feet of dining, retail, lounge and recreational space, with more than half, 180,000 square feet, just for retail and dining.

The future entrance of JFK’s new Terminal 1.
Leslie Josephs/CNBC

Aument said the airport will be the only one in the U.S. with a cash-and-carry duty-free shopping. Generally, customers will make duty-free purchases that are then returned to them before they board their flights, but in this format, they can take them right away.
The new terminal will also have its own microgrid, with solar panels on the roof, that the developer said will enable the facility to have “full resiliency and maintenance of 100% [of the terminal’s] operations in the event of power disruptions.” More

From March to June, U.S. restaurant chains collectively launched 76 new spicy menu items, according to market research firm Datassential.
It’s a way to introduce easy-to-execute and buzzy options that can capture the attentions of Gen Z and Gen Alpha diners, while keeping costs in check.
Spicy menu items have gained traction primarily through social media, though platforms like TikTok and Instagram.

Chipotle Mexican Grill’s new Adobo Ranch dip
Source: Chipotle Mexican Grill

Restaurant brands are hoping hot new menu items will drive visits among younger customers. Hot, in this case, is literal.
Spicy items like chicken sandwiches, seasoned sides and sauces are cropping up more often on menus at major fast-casual and quick-service chains. The idea is to introduce easy-to-execute and buzzy options that can capture the attentions of Gen Z and Gen Alpha diners, even if it’s only a flash in the pan.

One of those companies was Chipotle, which in June introduced Adobo Ranch, its first new dip in five years, as a limited-time offer.
“From an operations perspective, the sauce is a lot easier to do than bringing in another LTO or another protein. And you get a lot of the same benefit,” Chris Brandt, Chipotle’s president and chief brand officer, told CNBC.
The draw toward spice is yet another way restaurants are responding to slower consumer spending while trying to keep costs in check. A KPMG Consumer Pulse survey found that U.S. consumers plan to spend 7% less per month at restaurants this summer.
“There’s been a pullback, especially from lower-income consumers,” said Gregory Francfort, lead restaurant analyst at Guggenheim Securities. “Spice is a low-cost, high-return way to re-engage them.”
“Restaurants are really trying to be aggressive with their marketing calendars and releasing new products now,” Francfort said.

From March to June, U.S. restaurant chains collectively launched 76 new spicy menu items, representing roughly 5% of new menu items, according to market research firm Datassential. That includes permanent additions and limited-time offers and is roughly in line with historical menu item additions in the category over the last several years.
Around 95% of restaurants now offer at least one spicy item on their menu, according to Datassential.
Though the concept of spice on menus isn’t new, it appears to be catching fire with Generation Z and Generation Alpha — those roughly under the age of 30. Their preference for bold, spicy flavors is inspiring more restaurants to turn up the heat.
Up to 50% of Gen Z consumers eat at least one spicy meal a week, according to data from soda brand Sprite, which has been playing up its tangy flavor profile.
“Younger generations (Gen Z, for example) are fueling the spicy trend, craving bolder, more adventurous flavors,” a Wendy’s spokesperson said in a statement to CNBC.
“They’re not looking for bland or predictable,” said Cava’s chief concept officer and co-founder, Ted Xenohristos. “They want strong flavors.”
In April, Cava launched Hot Harissa Pita Chips to meet the rising demand. The chain also offers the Harissa Avocado bowl, hot harissa vinaigrette, and harissa honey chicken.
In May, Taco Bell launched the Mike’s Hot Honey Diablo Sauce, a collaboration between Mike’s Hot Honey and the taco chain’s signature Diablo sauce. It followed a February launch of the Caliente Cantina Chicken Menu, building off the fan-favorite cantina chicken.
In June, Wendy’s released the Takis Fuego Meal, a collaboration with the spicy rolled tortilla chip snack, which includes the chain’s signature spicy chicken sandwich and Takis-flavored fries.
There’s one challenge in introducing spicy items: Gen Z and Gen Alpha tend to move on from trends quickly. That makes it harder for restaurants to rely on one popular item for long.
Recent flash points like sweet and spicy and Nashville Hot are already seeing a drop in interest among Gen Z, according to Datassential. Instead, new flavor profiles with global ties are seeing stronger engagement among younger consumers, the firm found.
Social feeding the fire
Spicy menu items have gained traction primarily through social media. Platforms like TikTok and Instagram have become key discovery tools for Gen Z and Gen Alpha.
Restaurants are using these platforms to promote limited-time offers and influencer content, including taste tests and reaction videos. Short-form content can create urgency and encourage trial.
“Spicy food consistently performs well,” Tommy Winkler, a TikTok food influencer, told CNBC. “It is essentially the new billboard. It is a good chance that someone will end up ordering it.”

Wendy’s Takis Fuego Meal
Courtesy: Wendy’s

In June, the word “spicy” was mentioned over 40,000 times online, according to Datassential. The data showed spikes in those mentions around the time new spicy items started to trend.
This month, Coca-Cola-owned Sprite launched a campaign called “Hurts Real Good” to tap into the spicy food movement. The brand is positioning the soda as a pairing for spicy foods and is partnering with McDonald’s, Takis and Buldak Fried Noodles. The campaign includes a TikTok filter and other social media activations.
Oana Vlad, global vice president for Sprite, highlighted other eye-catching events like mukbangs — live-streamed broadcasts of hosts eating large amounts of food — or spicy noodle challenges as helping to bring spicy food into online culture.
“At Sprite, we always try to be inspired by consumer-first insights and then deliver something of value for a behavior that already exists,” Vlad told CNBC.
As of late April, the lemon-lime beverage ranked as the third most-popular carbonated soft drink by volume share, according to Beverage Digest.
McDonald’s fountain Sprite went viral a few years ago as social media users posted videos calling the taste “sharp” and filming their reactions to trying it.
“A huge portion of Gen Z try their first Sprite at McDonald’s,” Vlad said. “You can see fans describing Sprite at McDonald’s as a flash of lightning or electric.”
The diversity of younger generations is also helping to steer them toward flavors with depth, texture and regional identity.
Chili Crisp, used in traditional Chinese cooking; Nam Phrik, originating in Thailand; and Piri Piri, commonly associated with Portuguese and African cuisines, are increasingly showing up on U.S. menus, according to Datassential.
“As the population gets more diverse and as younger consumers want to experiment more, we see a greater willingness to try new flavor profiles,” Sara Senatore, senior restaurants analyst at Bank of America, told CNBC. More

Expanding Opportunity

August in Martha’s Vineyard has become an important hub for Black entrepreneurs, investors and financial firms.
Companies including Disney, Cisco, Goldman Sachs, McDonald’s, Google, Ford, Mckinsey and CNBC parent company Comcast are hosting or sponsoring business-focused events on the Vineyard this month.
“Over the last five or so years, a lot of companies are realizing that there is a wealth of successful, accomplished, driven Black professionals, who decide to come to the vineyard in August,” said Erin Goldson.

Sign at Martha’s Vineyard Airport, Massachusetts
Cindygoff | Istock | Getty Images

Martha’s Vineyard has long been a summer vacation destination for Black families, but August in the Massachusetts beach community is becoming an important hub for Black entrepreneurs, investors and financial firms, too.
“I would say the magic of it is really about introducing your network to someone else’s network,” said Calvin L. Butts Jr., founder of East Chop Capital, a private equity firm named after a neighborhood on the island. “We found great success raising capital there, we’ve had our portfolio companies speak as well, we’ve done very, very well with deal flow.”

A wide range of companies including Disney, Cisco, Goldman Sachs, McDonald’s, Google, Ford, Mckinsey and CNBC parent company Comcast are hosting or sponsoring business-focused events on the Vineyard this month.
The Black Economic Alliance is hosting an event called “The Gathering,” bringing together corporate leaders to discuss ways to help increase the opportunities for Black employees and companies.
“The Vineyard is a spot to capture an audience who wants to have an intellectual and financial conversation about how to uplift Black culture,” said Melissa Bradley, general partner of the BEA Venture Fund.

Old traditions, new opportunities

Martha’s Vineyard became a popular vacation destination for Black families over a century ago with the opening of the first hotel that allowed Black visitors, Shearer Cottage, in 1912.
Since then, Black families have bought homes and created a community centered around the town of Oak Bluffs and Inkwell Beach, a name that is a nod to the segregation on the island in the past.

Sign welcoming visitors to Oak Bluffs Massachusetts on Martha’s Vineyard.
Melissa Kopka | Istock | Getty Images

This year, clothing brand Ralph Lauren released its Oak Bluffs collection looking to recognize and capitalize on the history and prestige of the island that hosts visitors like Michelle and Barack Obama, Oprah Winfrey and Spike Lee.
Eden Bridgeman Sklenar, CEO of EBONY Magazine, is hosting an event with the founders of Black-owned spirit brand Uncle Nearest and said she sees the Vineyard as a way to bring the history and the future of the magazine to life for its target audience.
“For EBONY, being present on the Vineyard in August is both strategic and personal,” Sklenar said in a statement. “It’s an opportunity to connect with a powerful cross-section of our community, deepen meaningful relationships, and position the brand not just as a cultural icon, but as a modern business driving impact, visibility, and growth.”

Eden Bridgeman Sklenar, CEO, Ebony & Jet, speaks onstage during EBONY Power 100 Gala 2024 at Nya Studios on November 17, 2024 in Los Angeles, California.
Leon Bennett | Getty Images Entertainment | Getty Images

Donae Burston, founder of La Fête du Rosé, said he also sees tapping into the culture of the Martha’s Vineyard community as an organic way to grow sales among a consumer base that aligns with his marketing as a luxury brand.
“For us it would mean so much to have the acceptance of people in Martha’s Vineyard,” said Burston. “Being able to go to Martha’s Vineyard and focus on [high-net-worth] individuals from all over the world who appreciate wine — It’s visibility, it’s helping them become evangelists to go back home and spread the gospel.”
For four generations, Erin Goldson and her family have spent summers in Martha’s Vineyard. This year she is launching a new event called the “Vineyard Icon Awards,” sponsored by Diageo and Estee Lauder. The honorees are business and political leaders who are helping to shape August on Martha’s Vineyard as a place where culture and commerce meet.
“Over the last five or so years, a lot of companies are realizing that there is a wealth of successful, accomplished, driven Black professionals, who decide to come to the Vineyard in August,” Goldson said.
“You can come to the vineyard for rest and relaxation,” she said. “But every year here there is also a growing legacy, where Black ambition and aspiration are celebrated in a very unique way.”
Disclosure: Comcast is the parent company of CNBC. More

CoRPORATE America’s profit engine has been remarkably robust over the past few years, even amid stubborn inflation and elevated interest rates. Faced with Donald Trump’s assault on global trade, however, it is starting to sputter. Companies from General Motors, a carmaker, to Nike, a sportswear brand, have seen their profits plummet owing to Mr Trump’s levies on imports. Goldman Sachs, a bank, reckons that American businesses are absorbing around three-fifths of the cost of the duties. More

Moderna lowered the high end of its 2025 revenue outlook, citing a delay in vaccine shipments to the U.K. 
The company lost less than Wall Street analysts were expecting for the second quarter and posted revenue that topped estimates. 
The results come a day after Moderna announced plans to slash 10% of its workforce, adding to a string of efforts to cut costs as the company grapples with falling Covid vaccine sales and tries to bring more products to market. 

The Moderna logo is seen in Warsaw, Poland, on April 9, 2025.
Jakub Porzycki | Nurphoto | Getty Images

Moderna on Friday lowered the high end of its 2025 revenue outlook due to a delay in vaccine shipments to the U.K., but beat Wall Street’s expectations for the second quarter as it works to cut costs.
Shares of Moderna fell more than 6% in premarket trading on Friday.

The biotech company now expects full-year revenue to come in between $1.5 billion and $2.2 billion, down $300 million at the top of that range. The results come a day after Moderna announced plans to slash 10% of its workforce, adding to a string of cost cuts as the company grapples with falling Covid vaccine sales and tries to bring more products to market. 
In an interview, Moderna Chief Financial Officer Jamey Mock said instead of shipping spring Covid boosters to the U.K. at the end of this year, the company will send those jabs to the country in the first quarter of 2026. He said there is no change in the overall contract value between Moderna and the U.K. 
“It’s just moving deliveries from our fiscal year-end into their fiscal year-end, which happens to be the first quarter of next year, to fulfill supply for the spring booster in the U.K.,” Mock said. 
Also on Friday, the company said it lost less than analysts were expecting for the second quarter and posted revenue that topped estimates. 
Here’s what Moderna reported for the second quarter compared with what Wall Street was expecting, based on a survey of analysts by LSEG:

Loss per share: $2.13 vs. an expected loss of $2.97
Revenue: $142 million vs. $113 million expected

Moderna posted second-quarter sales of $142 million, down 41% from the same period a year ago due to dwindling Covid vaccine sales. The vast majority of the second quarter revenue came from its Covid shot, which took in $114 million for the period. 
That surpassed the $89 million that analysts were expecting for the period, according to StreetAccount estimates. 
But the company said its vaccine for respiratory syncytial virus had “negligible” sales, compared with the $5.9 million that analysts were expecting, according to StreetAccount estimates. 
The company posted a net loss of $825 million, or $2.13 per share, for the second quarter. That compares with a net loss of $1.3 billion, or $3.33 per share, reported for the year-ago period.
Mock said Moderna’s efforts to cut costs helped the company beat estimates for the quarter. He said the company’s second-quarter operating expenses fell 27% to $1.1 billion from $1.6 billion during the same period a year ago. 
“If there’s anything to really read into, from a first half [of 2025] perspective, from a financial perspective, it’s on the cost side,” Mock said. 

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That lack of innovation in commercial technology contributes to outdated documentation and errors in tasks that then have to be redone as well as administrative drag.
All told, it contributes to nearly $1 trillion in lost productivity each year, according to an August 2024 report from McKinsey Global Institute.
Sarah Buchner launched Trunk Tools, a generative AI platform trained on real construction workflows. It automates some of the more tedious tasks and also pinpoints project risks and simplifies documents.

A worker inside a residential building under construction in the Las Palmas neighborhood of Medellin, Colombia, on Wednesday, July 16, 2025.
Esteban Vanegas | Bloomberg | Getty Images

A version of this article first appeared in the CNBC Property Play newsletter with Diana Olick. Property Play covers new and evolving opportunities for the real estate investor, from individuals to venture capitalists, private equity funds, family offices, institutional investors and large public companies. Sign up to receive future editions, straight to your inbox.
Homebuilding has long been one of the slowest industries to modernize, and commercial construction isn’t far behind. Its scale is enormous, and yet it remains one of the least digitized industries in the world. 

That lack of innovation in commercial technology contributes to outdated documentation and errors in tasks that then have to be redone as well as administrative drag. It’s a huge drain on time, budgets and materials and can lead to costly delays and unnecessary environmental waste.
All told, it contributes to nearly $1 trillion in lost productivity each year, according to an August 2024 report from McKinsey Global Institute. Historically, construction companies spent an average of less than 1% of revenues on IT, less than a third of what is common in automotive and aerospace, according to the report.
Sarah Buchner learned all this the hard way. The daughter of a carpenter in Austria, she came to the U.S. to learn construction and worked her way up to foreman, superintendent and eventually contractor. 

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“At the peak, I was running a $400 million high-rise, 600 guys working for me in the job. And on that specific construction side, I had a fatality, which in construction happens, unfortunately, a lot,” she said. “But I was, I think, very young, and couldn’t fully process what was happening.” 
So Buchner decided to build a health and safety app, switching careers from construction to construction software and construction tech. A decade later, with the proliferation of AI, she launched Trunk Tools, a generative AI platform trained on real construction workflows. It automates some of the more tedious tasks and also pinpoints project risks and simplifies documents.

“We take all of the unstructured documentation on a construction site, and we use different AI and machine learning tools to restructure it,” Buchner explained, noting that an average high-rise project in New York City, costing about half a billion dollars, would require about 3.5 million pages of documentation. 
“Those pages change every single day, because the planning isn’t finished by the time you start construction,” said Buchner.
So contractors often get conflicting orders and can’t search the documents to clarify. For example, take the installation of an emergency exit door. One data set says it needs electricity, but the electrical drawings don’t have an outlet there. Discrepancies in the data, Buchner says, not only waste money but contribute to carbon emissions due to work inefficiencies.
Trunk Tools’ technology can process millions of unstructured documents, from blueprints to drawings to schedules and specs, and then return them in a clearer format that workers can better follow. The startup is partnering with Microsoft to integrate the technology into the company’s suite of options.
Trunk Tools just announced a $40 million Series B funding round led by global software investor Insight Partners with participation from Redpoint Ventures, Innovation Endeavors, StepStone, Liberty Mutual Strategic Ventures and Prudence. This investment brings its total funding to $70 million. More

Southwest put its first-ever assigned seats on sale this week, ending more than half a century of open seating.
Prices vary depending on where you sit on the plane and demand.
Major airlines took in more than $12 billion in seating fees between 2018 and 2023, according to a Senate report last year.

Southwest Airlines new premium seats featuring extra legroom.
Leslie Josephs/CNBC

Southwest Airlines’ first assigned seats went on sale this week for flights starting Jan. 27 of next year. What you’ll pay will vary.
The price depends on the route, when you’re traveling and where you sit. Selecting your ideal seats can add hundreds of dollars to the cost of a family vacation, similar to flying on other airlines.

For example, a roundtrip ticket in the “Choice” ticket class — the second cheapest type of ticket — between Denver International Airport and Orlando International Airport leaving Feb. 14 and returning Feb. 21, which coincides with Presidents Day, was going for $692 on Southwest’s website on Thursday. For seats the airline deems “preferred,” it would be $46 for a window or aisle seat in Rows 7 to 13, or $41 for a middle seat in those rows.
Customers with elite frequent-flyer status on the airline or with Southwest Airlines credit cards will be exempt from some of the fees.
An extra-legroom seat, located in the first six rows of the Boeing 737 Max 8 aircraft, was going for $96 for window or aisle. Prices were similar, but slightly lower, for the return flight.

Arrows pointing outwards

A Southwest Airlines seating chart for a Boeing 737 Max 8.

Seat selection in the back of the plane in rows 17 through 30 are free of charge for a “Choice” ticket. The more expensive “Choice Preferred” ticket includes preferred row seats, while the priciest option, “Choice Extra” includes extra-legroom seats and also comes with a free “premium” beverage like an alcoholic drink.
The same route, on the same days on United Airlines was $665, with extra-legroom seats varying from $105 to $126 each way and $37 to $42 for preferred seats.

The changes are all part of Southwest’s plan to ditch the hallmarks of its more than half-century-old business model. For decades, that included open seating (and uniform legroom throughout the cabin) along with a quirky boarding system that led to a mad dash at the airport for a seat, and two free checked bags for all customers.
Southwest’s rivals have made billions on bag and seat fees, raising questions for years from investors and Wall Street analysts about whether the carrier was maximizing revenue. Last year, activist hedge fund Elliott Investment Management took a big stake in Southwest, calling for such changes, and leading to a board shakeup. Major U.S. carriers brought in $12.4 billion assigned-seating fees between 2018 and 2023, according to Senate panel report.
Southwest’s first-ever bag fees started with tickets sold in late May. The airline is charging $35 for a first checked bag and $45 for a second, roughly in line with other airlines.

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The carrier also joined rivals in launching a no-frills basic economy ticket, where customers don’t get free, advanced seat selection, something Southwest expects it will benefit from next year, when seat assignments go into effect.
“We assume there will be a positive impact in Q1 when we go to assigned seat, that’s a more compelling buy-up from basic economy to Choice,” Andrew Watterson, Southwest’s chief operating officer, said on an earnings call last week. “However, should we succeed in making it a positive before then, that’s an additional tailwind as we go throughout the second half.”
Southwest will reward its most loyal customers though, with choice seats as perks.
Frequent flyers with top-tier A-List Preferred status on Southwest will get extra-legroom seats at booking, as well as two free checked bags, and A-List status-holders can book them 48 hours before departure, though there is no guarantee they’ll be available. Both groups will have complimentary access to preferred seats. Several Southwest credit cards also provide access to preferred seats, regardless of the fare type. More

Private investment firms of the ultra wealthy are creating new incentive plans for top executives that are boosting pay, according to a new report.
While family offices have often given special performance bonuses to executives, the awards are becoming more structured and clear.

Maskot | Maskot | Getty Images

A version of this article first appeared in CNBC’s Inside Wealth newsletter with Robert Frank, a weekly guide to the high-net-worth investor and consumer. Sign up to receive future editions, straight to your inbox.
Family offices are ramping up the war for talent, creating new incentive plans for top executives that are boosting pay, according to a new report.

A majority of family offices are now using long-term incentive compensation plans, which increase total pay based on performance and investment returns, according to a report from Morgan Stanley Private Wealth Management and Botoff Consulting. Nearly two-thirds of investment-focused family offices are using long-term incentive compensation, according to the report.
While family offices — the private investment firms of the ultra wealthy — have often given special performance bonuses to executives, the awards are becoming more structured and clear.
“Over time, we are seeing an increased formalization of compensation plans,” said Valerie Wong Fountain, managing director and head of family office resources platform and partner management at Morgan Stanley. “If you go back a number of years, you may have seen more handshake agreements. Now it’s more structured and measured against performance.”

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At investment-focused family offices — which are more like in-house financial firms, with more specialized teams — the median total compensation for CEOs is $825,000 a year, according to the report. Larger investment-focused family offices, with over $1 billion in assets, are paying a median of over $1.2 million. Soaring pay at the very top of investment-focused firms has pushed average pay for $1 billion-plus CEOs to over $3 million a year, according to the report.
Chief investment officers, or CIOs, are also benefiting. Median pay for investment-focused CIOs is now $900,000, with the average at $1.8 million.

The incentive plans are also changing. Co-investments are becoming especially popular, allowing executives to invest alongside the family in deals. Since wealthy families often get special access to other companies and deals, the opportunity to invest alongside the family is an added bonus.
The other common incentive plans include carried interest, where the executive gets a share of the investment gains beyond a benchmark, as well as phantom equity, profit sharing and deferred incentive plans. More