Preserving family wealth requires planning, transparency, and proper documentation. Here's a concise guide:

1. Understand the Investment Portfolio

• Awareness: Many family members lack knowledge of their wealth's composition, including investments and risks.
• Debt: Know the details of any debts (e.g., mortgages or bridging finance) tied to assets or investment portfolios.
• Strategy: Build a long-term investment strategy tailored to:
• Individual circumstances.
• Risk appetite and return objectives.
• Succession planning for future generations.
• Efficient Transfer: For families with international assets, efficient estate transfer is crucial.

2. Create and Update Essential Legal Documents

Wills

• Ensure wills reflect current circumstances and cover all assets, including those in multiple countries.

Life Insurance

• Purpose: Protect family wealth by covering liabilities like inheritance tax.
• Review: Replace employer-provided life insurance if circumstances change.

Powers of Attorney

• Assign trusted individuals to manage property, financial, and health decisions in case of incapacity.

3. Keep Accurate Records and Communicate

• Centralized Filing System:
• Document all assets (real estate, stocks, etc.).
• Ensure accessibility for key family members.
• Open Conversations:
• Engage younger generations to prepare them for their roles in preserving wealth.
• Regularly discuss the family’s financial position and strategy.

4. Regular Oversight and Updates

• Governance: Review investments and legal measures regularly.
• Preparation: Maintain readiness for financial or legal changes.

5. Mindset and Transparency

• Family Involvement: Share knowledge with capable family members to avoid mismanagement or loss of assets.
• Efficient Decision-Making: Transparent documentation fosters better governance and informed decisions.

Final Tip: A holistic, well-documented approach ensures wealth preservation for generations, enabling families to navigate complexities with confidence.

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