Private wealth has shaped society for centuries. But the challenges we face are escalating. We live in a world more connected and efficient than ever before, yet face a climate emergency, growing fiscal inequality and continued healthcare and economic uncertainty. How can private capital be deployed to tackle these challenges?
In our in-depth international study, World Shaping Wealth: the impact of affluence on the next economy, we explore the impact on society that ultra high net worth (UHNW) individuals want to have in the years ahead.
Based on the views of over 400 UHNW individuals and the advisors that support them, our study explores some of the factors motivating today's UHNW individuals in deploying their wealth and the challenges they must tackle to use their wealth for good.
UHNW individuals want to create a thriving future not just for themselves and their families, but for the planet. 81% of those interviewed believe they have a responsibility to use their wealth to help solve global issues including environmental challenges, public health crises and conflicts.
Those that we surveyed are backing up their aspirations with action - 66% make investments that follow positive environmental, social and governance criteria so they can be involved in making a difference.
They’re also proactive, future-oriented investors who take a hands-on approach to their wealth management. 91% of UHNW individuals describe themselves as active wealth creators, identifying their own investment opportunities alongside their advisors. Only 9% of those we surveyed leave the management of their wealth entirely to the experts.
Today's UHNW individuals want to use their wealth to drive change. But they need help to do it. They have high expectations of their advisors to help them navigate challenges around the current geopolitical environment, increasingly complex legislation and reputation management issues. Three-quarters of UHNW individuals say that an advisor who can support in all areas of their personal and professional lives is essential.
We hope this report will provide private wealth advisors some further insight into the changing aspirations and motivations of their UHNW clients, allowing them to have deeper, more meaningful conversations with their clients, while giving the individuals themselves insight into how to better protect their future and tackle the issues they'll be thinking about in the coming years.
To find out more about how Taylor Wessing's Private Wealth team can help your clients grow, protect and transition their wealth, please get in touch.
Increasingly, UHNW individuals are 'global' citizens however our market reports reveal that there are some notable differences in their motivations and goals and the challenges they face, depending on where they are based.