Raymond James Survey

Investors’ Top Priorities for Safeguarding Generational Wealth - Seite 3

“It’s difficult to memorialize your values and wishes in a legal document, so one solution that’s becoming more prevalent is the inclusion of a legacy letter. A client can sit down and write about the lessons and stories that they want to be sure reach the next generation. Then the letter is either attached to the planning documents, or more often, read and recorded over video to be passed on,” said Weaver.

Weaver also suggests that grantors may choose to create a personal or family mission statement or develop a philanthropy “board” amongst heirs to convey their goals. To maximize impact, they might explore less-common gifts like appreciated stock or life insurance and specialized vehicles like donor advised funds or charitable trusts.

Guidance from a Team of Professionals

Given the complex and personal nature of wealth transfer planning, professional guides are often enlisted to help. The three most frequently tapped professionals for survey respondents’ teams are financial advisors, estate planning attorneys and accountants. Some also include family members or even spiritual advisors in their planning.

To set themselves up for success, investors should take a critical look at their professional team over the years and adjust based on changing needs, says Weaver. For example, planning to transfer assets beyond money such as art collections, luxury vehicles or rare collectibles often requires specialized knowledge.

Respondents who work with a financial advisor in particular were more likely to have a documented wealth transfer plan in place (84%) compared to those who don’t work with an advisor (66%). Seeking guidance helped respondents address top concerns like taxes, with 68% of those working with an advisor reporting that they had tax-efficient strategies included in their wealth transfer plan, versus 50% of those who don’t work with an advisor.

Overall, 93% of respondents working with financial advisors said they feel prepared (52% “extremely,” 41% “somewhat”) in regard to their wealth transfer planning. With preparation comes peace of mind, as 82% report that working with a financial advisor increased their confidence in their plans, and just over half (54%) say it increased their confidence significantly. 

“Financial advisors are in a unique position to guide the wealth transfer process, from recommending the appropriate professionals to walking a client through next steps,” said Weaver. “The advisor often has an established relationship with the client and their family and can lean on that experience to help build a custom communication plan that will work best for the family’s personal dynamics and expectations.”