The Inheritance Wave Is Coming: What Advisors Need to Know

We are almost officially halfway through the year making now an opportune time to reflect on the conversations you’ve been having with your charitable clients. How are the conversations going so far? What are you hearing from them? How can you prepare for a successful second half of the year? (If you haven’t already checked it out, our Client Meeting Kit is chockfull of resources that will guide you through these discussions.) In the meantime, a recent report from EY caught our attention, stating that the “tidal wave of the ‘great inheritance’ is cresting this year.

The report concluded that “wealth managers who are unable to meet the needs of female and next-generation inheritors risk suffering a major outflow of assets.” The report also states that “an estimated $2 trillion to $3 trillion will pass to inheritors this year, and as much as $18 trillion is set to be passed on to beneficiaries by 2030.” This represents an incredible opportunity for wealth managers.?For more, check out the full report.

Understanding The Needs of Women and Young Investors: What We’ve Found

In our infographic , we shared some industry-wide trends that have shown the philanthropic sector to be a draw to women. In fact, 60% of UHNW women cite philanthropy as their top interest. We’ve also noticed among our clients an uptick in women driving philanthropy over the past few years.

“Giving back feeds my soul and my purpose,” said Carrie Morgridge , chief disruptor of the Morgridge Family Foundation .

We also wanted to better understand giving trends and how they differ across generations. This interesting snapshot revealed Gen Z’s commitment to focusing on diversity, equity and inclusion, Millennials and their propensity to give online more than any other generation and the top three ways to engage the next generation in philanthropy.

Our foundation clients also recognize the importance of involving the next generation with 62% saying they want to involve them in philanthropic activities. On the flip side, 35% also cite that engaging them is the biggest challenge ahead. This underscores the need for advisors to get in front of these conversations with charitable clients, offering them additional guidance and support. Foundation Source is always here to partner with wealth advisors to deliver charitable giving solutions as part of a holistic wealth management practice.

So, as you prepare for upcoming client meetings, consider how understanding the needs of women and young investors can help you approach the second half of the year from a refreshed perspective. Those who do are setting themselves up to surf the inheritance wave.

Learn More About How We Support Advisors

Schedule a call? or reach us at 800-839-0054 to learn how we can best?support your clients ?who are passionate about philanthropy. Together, let’s #begiving.