How to Protect Your Privacy Before, During and After an IPO

An IPO is a career achievement and a major financial milestone — but the process can make personal and family information more visible.

“The CEO of a company that filed for an IPO came to Northern Trust for assistance. It turned out that the company had previously disclosed personal information, including their home address, when the S-1 was filed with the Securities and Exchange Commission (SEC). The IPO ended up impacting the entire family in ways they had not anticipated. The disclosure added to the already stressful IPO process and exposed family members, including minor children, to public scrutiny. With the right guidance, preparation and planning, some of these challenges could have been avoided or at least minimized.”

Going public increases visibility, and can cause personal stress, in ways many people underestimate. The IPO process can make personal information, family details and financial signals easier for the public to access. Once that information is public, it is difficult to remove. While companies may begin the IPO process with a confidential S-1 filing, public disclosure is typically only a matter of time — making it critical to address these risks early.

Understand public disclosure requirements

When a company files an S-1, it may need to disclose personal details such as home address, names of family members and trust structures. Review filings carefully with legal counsel and exclude any information that regulations do not require. Additionally, consider the possibility of future disclosure when transferring shares among family members, business entities and trusts  prior to the IPO.

Minimize your digital footprint

Public sites often already contain information about family members, properties and affiliations. When the IPO disclosure occurs, there may be more public interest in that information. Take steps to clean up online profiles, reduce visible personal data, and review overall cybersecurity posture.

Align on family communication

Comments made by family members, including on social media, can unintentionally disclose sensitive information. Set clear guidelines for what family members should and should not share and, potentially, how family members should handle media outreach, unfamiliar requests or online attention after the IPO becomes public.

Stay vigilant against tax fraud and identity theft

IPO-related liquidity can make individuals more attractive targets for fraud. Consider placing a proactive fraud alert on your credit file, and establish an IRS Identity Protection PIN to prevent unauthorized tax filings in your name. Also, review authentication protocols for financial, email and mobile accounts, as increased visibility can heighten the risk of impersonation attempts, account takeover and socially engineered requests for money movement.

Assess physical security needs

Greater visibility may require a reassessment of personal security, particularly if public information about wealth, residences, travel patterns or family routines increases unwanted attention. Review home security, travel habits and whether professional security support is appropriate.

Add credit protections

Locking credit files and monitoring your credit regularly across all major bureaus (including Innovis, often referred to as the “fourth” bureau) can help prevent unauthorized use. Credit monitoring typically alerts you only after activity occurs, so consider placing freezes or locks with each bureau before the IPO becomes public to help prevent unauthorized accounts from being opened in your name.

How Northern Trust Can Help

Executives and advisors often view IPO planning through a tax and liquidity lens, but the event also has direct implications for privacy, security and family risk. In addition to comprehensive wealth planning, Northern Trust can help you implement strategies to protect your family’s privacy and wellbeing before and after an IPO, including evaluating cybersecurity and personal security providers, assessing your risk exposure and insurance coverage, and establishing a framework for how family members will discuss and engage in the family’s newfound wealth.