UBS report finds $83T shift driven by early engagement, governance gaps, and evolving priorities.
A massive intergenerational handoff of wealth is already underway, but a new report suggests the real story lies in how that transition is unfolding rather than its sheer scale.
According to UBS’s Global Next Generation Report, an estimated $83 trillion in private assets will move between generations over the next two to three decades, marking what it describes as the largest wealth transfer in modern history.
But the findings indicate that for many families, the process is less about inheritance events and more about a gradual shift in responsibility, expectations, and influence.
Across global families, successors are stepping into roles long before assets formally change hands. Around two in five next-generation respondents associate wealth transfer primarily with taking on responsibility, slightly ahead of those who link it to the passing of a family member.
In practice, families tend to involve heirs early, inviting them into discussions, assigning smaller investment roles, or exposing them to governance structures; well before ownership transitions occur. This gradual approach reflects a broader shift in mindset, particularly among multi-generational families, where succession is increasingly viewed as a structured process rather than a reactive event.
Communication gaps persist
Despite earlier involvement, many families still struggle with transparency and alignment. While about 80% of next-generation participants say they have at least partial insight into their family’s wealth, only a minority report fully open and documented discussions.
The report highlights that silence, rather than disagreement, is often the main source of friction.
More than half believe discussions should begin earlier in life, with many pointing to adolescence as the ideal starting point. Families that initiate conversations sooner tend to experience smoother transitions and fewer conflicts later.
Where disagreements do arise, they are most commonly tied to communication breakdowns, differing expectations around fairness, and unclear roles within the family structure.
Governance still a weak point
While most families have basic estate planning tools in place, such as wills or tax structures, formal governance frameworks remain less common. Fewer than one in four families have clearly defined roles, written constitutions, or structured communication processes.
That lack of structure can complicate transitions, particularly as wealth becomes more diversified and institutionalized across generations.
The report suggests that families further along in the transfer process tend to adopt more deliberate planning, including governance systems and long-term strategies.
As successors take on greater responsibility, they are also reshaping investment priorities. While traditional assets like stocks, bonds, and real estate remain dominant, the next generation is pushing for increased exposure to sustainability and impact investing.
Nearly half of respondents are already engaged with or interested in these strategies, reflecting a broader desire to align wealth with social and environmental outcomes.
At the same time, enthusiasm for newer asset classes such as cryptocurrencies remains relatively limited, with just 11% actively investing in them.
Advice goes beyond traditional channels
When it comes to guidance, next-generation investors are not relying solely on traditional advisors. Peer networks have emerged as a leading source of insight, cited by 27% of respondents—slightly ahead of wealth managers at 21%.
This shift underscores a growing emphasis on shared experiences and community-based learning.
Still, expertise remains critical. Nearly eight in ten respondents rank technical knowledge as the most important quality in an advisor, but many also stress the importance of personal relationships and cross-generational understanding.
“They want advisors with not just technical know-how, but the ability to build a rapport with the family and communicate clearly with every generation,” the report noted.
Ultimately, the report portrays wealth transfer as an evolving, multi-stage journey shaped as much by human dynamics as by financial planning.
Families are navigating a mix of tradition and change, balancing legacy with new priorities while preparing heirs to take on increasingly complex roles.
“The Great Wealth Transfer is no longer a distant forecast; it is a seismic shift already in motion,” the report states.
