Family dynamics may pose the most significant risks to UHNWs as they seek to navigate the Great Wealth Transfer. That was the consensus among experts convened for a roundtable discussion that took place under the Chatham House Rule at Spear’s 500 Live at The Savoy on 7 May.
A select group of advisers with specialist knowledge of the challenges facing UHNWs – including privacy lawyers, security professionals, mental health experts and reputation managers – came together for the discussion, which was entitled ‘Wealth in Motion: uncovering the human risks of the Great Wealth Transfer’. The session was presented in association with Sentinel Resource Group, whose founder and CEO, Wesley Bull, acted as chair.
It is common for the different generations of a single family to have varying perspectives on the same issue, said one delegate who represented a family office. This can cause disagreements and friction; ‘warring’ among families could have a ‘shattering’ effect on the successful transfer of their wealth, said one participant.
Divorce is ‘one of the biggest decimators of wealth,’ one delegate noted. They added that prenups were a vital measure, but it was agreed their power was limited. ‘Crazy ex syndrome’ could have a huge impact on the reputation of a family and the relationships within it, said one roundtable participant.
Household and family office staff, one attendee pointed out, can also be part of the family dynamic. These staff can prove to be a weak link for the security or reputation of a family unit. Employment contracts – like prenups – can be drafted to prevent certain problems, but they are not a silver bullet.
[See also: What is a Family Investment Company?]
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‘One of the hardest things is to persuade the next generation to listen to us about reputation,’ said one adviser, who suggested that this may be because advisers in their 40s and 50s did not always appear to be credible sources of knowledge about social media platforms and the modern mores of the digital realm.
However, it was observed that the next-gen’s alternative perspective could also help to protect their family from risks. One of the lawyers taking part in the roundtable described an incident in which a younger member of a wealthy family wisely raised legitimate concerns about unflattering coverage that could have damaged its reputation and business interests, whereas the older members of the family would have done nothing to protect themselves.
Spear’s 500 Live is the premier live event for private client professionals and leading figures from the private wealth and family office ecosystem. The 2025 edition took place at the Savoy in London and was attended by more than 500 high-calibre delegates.
Spear’s 500 Live was presented in association with our partners, Blacklane, the Charities Aid Foundation, CMB Monaco, HCA Healthcare UK, Henley & Partners, Interpolitan, Invest Barbados, Maddox, Mast Capital, Sentinel Resource Group and Stewardship.
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