Preventing the Next-Gen Breakup: How Advisors Can Retain Assets Through Wealth Transfer

Thought Leadership

February 14, 2025

Preventing the Next-Gen Breakup: How Advisors Can Retain Assets Through Wealth Transfer

For high-net-worth families, wealth transfer isn’t just about money—it’s about legacy, values, and relationships. But too often, advisors focus solely on the wealth creators, failing to build trust with their heirs. The result? When assets transfer, so do advisory relationships.

This Valentine’s Day, let’s talk about how to prevent the Next-Gen breakup.

Why Advisors Lose Next-Gen Heirs

When wealth changes hands, so do financial relationships. Over 70% of heirs leave their parents’ financial advisor after inheriting wealth. Common reasons include:

Lack of connection – If you’re only engaging the primary wealth holder, heirs don’t feel a reason to stay.
Different financial priorities – The Next-Gen is more values-driven, focusing on impact investing and philanthropy.
Lack of communication – Without proactive conversations, heirs seek advisors who engage them early.

Without a strategy to engage the next generation, assets—and advisory relationships—walk out the door.

How to Facilitate Family Conversations About Wealth & Philanthropy

Introduce Philanthropy as a Wealth Conversation

Start conversations early by discussing philanthropy ahead of estate planning to frame the wealth transfer as a legacy conversation. Position philanthropy as part of a holistic financial plan.

Host Collaborative Family Giving Meetings

Encourage multi-generational participation in charitable decisions. This can include establishing a shared giving mission to align family values and facilitating annual family impact reviews to track impact.

Establish a Multi-Generational DAF

Structure DAFs that allocate a portion of “giving funds” to younger generations to grant at their discretion. Including them in philanthropic planning early can serve as a stepping stone to larger financial discussions.

The Advisor’s Role in Retaining Generational Wealth

Heirs don’t just inherit wealth; they inherit responsibility, ensuring long-term engagement. The best advisors not only manage wealth, but build relationships across generations. Advisors who integrate philanthropy into financial planning build stronger, long-lasting client relationships. DAFs provide an opportunity to connect generations, align values, and retain assets within your advisory practice.

Don’t let the Next-Gen break up with you. Use philanthropy as a bridge and secure your role in the family’s financial future.

Let’s talk about how Give can help you strengthen multi-generational client relationships through philanthropy. Book a consultation today.

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