As the $90 trillion intergenerational wealth transfer gains momentum over the next 20 years, new data reveals affluent investors are largely unprepared.
A staggering 95% of affluent investors either don’t have a wealth transfer plan or will need to revisit and revise their existing one according to Escalent’s Cogent Syndicated division’s Trajectory of Intergenerational Wealth Transfer report.
It outlines a segmented approach to the market, organizing opportunities by net worth, expected inheritance, and age.
More than three in ten affluent investors don’t have a will or trust at all and of those who do, nearly two-thirds are young enough that they will likely need to update their plans well before America’s average life expectancy of 79.4 years.
“Many affluent investors already have estate plans, but life’s unpredictable nature - changing assets, evolving family structures, and new tax laws - means these documents will need to be reevaluated to ensure they remain in good standing,” said Steve Ethridge, senior director of Cogent Syndicated. “Clients need help navigating these shifts and by offering proactive and periodic assessments, asset managers can position themselves as indispensable partners for both current and future clients.”
Millennials and Gen Z investors represent a particularly ripe opportunity for estate planners with 42% of these younger generations not having a will or trust in place despite having already started building wealth and expecting to inherit more.
Two-thirds of younger affluent investors without estate plans report being highly likely to choose online tools when they do take action, but digital alone won’t cut it.
“While there is a rising interest in online options for estate planning, investors across all generations are still seeking out support from estate planning attorneys and financial advisors,” said Kristin Hall, report author and senior product manager at Cogent Syndicated. “Notably, roughly half of all Millennials plan to work with these professionals when creating a will or trust, suggesting a strong demand for service providers that offer a combination of both online options and personal guidance. Implementing this hybrid approach in collaboration with attorneys and advisors will be essential to ensuring their client portfolio continues to grow.”
Salespeople at the firm often went beyond the matching algorithm to recommend network advisors on its Zoe Wealth platform, according to the regulator.
The Protect College Sports Act would cap school payments and codify NIL rights, with implications for advisors guiding young athletes.
"I know the number that I want to be able to retire on, and now I just want out," says Wilmington Trust's Marguerite Weese, describing a common refrain among business-owner clients.
Bessemer and Brown Brothers Harriman veteran Robert Ludricks III and private markets specialist Olof Akesson join the ultra-high-net-worth push on the East Coast.
765 investors were promised 260% annual returns on truck leases
As AI makes financial information more accessible than ever, Lana Hock explains why human judgment, trust, and empathy remain the qualities clients value most in a financial advisor
Northern Trust’s Ken Lassner shows advisors how to convert volatility into after-tax portfolio gains
