Partner Insight: How philanthropy advice could head off a client crisis

Younger clients are more likely to want advice on charitable giving

Gareth Jones
clock • 1 min read
Partner Insight: How philanthropy advice could head off a client crisis

Dubbed the ‘Great Wealth Transfer', £5.5 trillion is set to pass between generations within the next 30 years in the UK.1

Forward-thinking advisers are conscious of the risks this poses; however, the majority of advisers are seemingly unconcerned about retaining next-generation heirs as clients.

This confidence may be misplaced. Indeed, research in the US has found that 92% of affluent investors who use their own adviser did not consider their parents' adviser in their selection process.2

How can advisers futureproof themselves against this risk? Part of the solution may be to engage the next generation by advising on charitable giving.

Demand among younger millionaires

Recent research conducted by the Charities Aid Foundation (CAF) found substantial demand among millionaires for help with their charitable giving. What's more, this demand was significantly greater among younger millionaires aged 18-34 (57%) and 35-54 (49%) than among those aged 55 or older (34%).3

So, how well are advisers meeting this demand? To what extent are they offering this advice, and how could they be doing more?

That's what CAF and Professional Adviser set out to discover by surveying 215 IFAs, wealth managers and chartered planners who work with high-net-worth individuals. 

Advising the giving generation

Read the full research report to learn more about advising on philanthropy

References:

  1. Kings Court Trust, ‘Passing on the Pounds: the rise of the UK's inheritance economy', 2017
  2. Cerulli, 2023
  3. CAF brand study - Savanta MillionaireVue, 2023

More on Partner Insight

Partner Insight: Cash vs investing — five key points to consider when talking to clients

Partner Insight: Cash vs investing — five key points to consider when talking to clients

Gillian Hepburn
clock 19 October 2023 • 5 min read
Partner Insight: Is 'strategic' still a dirty word? That depends...

Partner Insight: Is 'strategic' still a dirty word? That depends...

Some strategic bond funds are more effective than others

Gareth Jones
clock 15 August 2023 • 1 min read
Partner Insight: Vanguard — higher inflation not the end of the 60/40 portfolio

Partner Insight: Vanguard — higher inflation not the end of the 60/40 portfolio

Even in a world where global stocks and bonds are positively correlated, the 60/40 model delivers value to investors

In-depth

Inside Progeny's 'next generation advice journeys' project

Inside Progeny's 'next generation advice journeys' project

‘We have a duty to drive improvements and impact for change’

Isabel Baxter
clock 22 February 2024 • 3 min read
AI and advice: The beginning of a beautiful friendship?

AI and advice: The beginning of a beautiful friendship?

Professional Adviser looks at whether AI is revolutionising financial planning

Sahar Nazir
clock 19 February 2024 • 8 min read
Editor's View: A fresh coat of paint for Hurst Point...and more?

Editor's View: A fresh coat of paint for Hurst Point...and more?

The editor's Friday Night Takeaway from 16 February

Hope Coumbe
clock 16 February 2024 • 1 min read