Having spent over 30 years in the investment world, I’ve seen more than a few clients struggle to stifle a yawn, fight to keep their eyes open, or quietly compile a list of things they’d rather be doing. I’ll admit, some of that may have been down to my tendency to labour a point, but truth be told, I’ve always believed it’s the subject matter itself, and you’d be hard-pressed to convince me otherwise!
Thankfully, the landscape has evolved over the past three decades. Clients today are far more engaged and invested in the process, and rightly so. After all, while assets may sit in a trust or company structure, their purpose is to safeguard the beneficiaries’ current and future wellbeing. It only makes sense that they are included and have a voice from the very beginning.
A More Complex World, a More Complex Approach
Today, investing is more complex, because life itself is more complex. The world has become smaller, and families are increasingly mobile, choosing to live, study, or work in different jurisdictions. Modern family structures bring additional strands and responsibilities, creating more to consider and plan for, and subsequently more moving parts to align. And of course, let’s not even get started on tax!
That’s why it’s important not only to think about your own milestones, what retirement should look like, how to meet the costs of your children’s education, or when to take the next step on the property ladder, but also to think beyond. These considerations inevitably extend to your children, and even your children’s children. At its best, investing is succession planning in action and is a way of shaping and protecting your family’s future across generations.
A Shift in Who Holds the Financial Conversation
Where investing was once a male-dominated arena, shaped by both legal and social barriers, women now play a much greater role, contributing equally within family structures. Many also manage their own wealth independently, not a common sight just a generation ago! And where appropriate, children are increasingly being brought into the conversation too.
The reality is that investing is, at its heart, both accessible and important to everyone and far more than just a concept of generating returns. Working with our clients is never a one-off event, it is an ongoing and ever-evolving process. Gone are the days when cash could simply sit in a bank account, quietly earning enough interest to outpace inflation, preserve spending power, with a comfortable layer of capital growth on top.
Balancing Financial Detail with Emotional Insight
When we set out on this journey alongside families, whether establishing a new trust or company, stepping in from a previous trustee, or navigating a change in circumstances, we are acutely aware that it is not only the financial details that matter, but also the emotional ones.
Yes, investing is often seen as fast-moving and numbers-driven, but at its core, it is also deeply emotional. There is little value in stepping into this world without first understanding our clients’ feelings and perspectives. Recognising their hopes and aspirations is essential, as it sets the tone and helps clarify long-term goals. Equally important, however, is acknowledging fears and anxieties. This helps guide a prudent risk management process, ensuring that when we chart a course, we do so with a clear understanding of acceptable risks. From there, we can work alongside investment managers to build investment strategies that not only pursue opportunities but also anticipate and address the emotional challenges that inevitably arise along the way, whether that be fear, regret, self-doubt, or even greed.
Navigating Family Perspectives and Decision-Making
As mentioned earlier, the process often involves the wider family, bringing a range of perspectives and varying levels of understanding. Our role is to ensure that every viewpoint is heard and considered, whether risk-aware, risk-averse, or somewhere in between. Some family members may need more in-depth conversations or additional research or help in understanding before reaching a conclusion, and part of our responsibility is to guide and facilitate those discussions. Ultimately, our goal is to help the family make decisions that reflect and align with the objectives of all parties involved.
Succession Planning: Building Confidence for the Next Generation
Having touched on succession planning, it’s important, not least for the kids! As tempting as it may be to enjoy the “SKI fund” (Spend Kids’ Inheritance), for good succession planning to be at the forefront. This means, where appropriate, involving and educating children about investments and inheritance. Doing so not only helps secure financial legacies but also fosters responsible stewardship of family wealth across generations.
Early exposure builds both confidence and competence in managing money. Open conversations about wealth can break down taboos and encourage healthier attitudes, while also helping the next generation see wealth as an opportunity whilst building a stronger sense of responsibility, not simply an entitlement.
A Gradual Multi-Generational Journey of Education and Inclusion
We recommend taking this as a gradual journey, starting with basic financial concepts and, over time, progressing to structured family discussions about investments and estate planning. Education is an integral part of our process, and through working with many families, we have seen how effective it can be. It lays strong foundations for lifelong financial understanding, prepares the next generation to step confidently into their roles, and ultimately supports better decisions in carrying forward the family legacy.
So remember, investing is not just about the numbers, it is a deeply human, multi-generational journey, where families and their financial landscapes evolve over time, and so too must our approach. We strive to embrace regular, open dialogue, education, and inclusion at every stage. By involving all stakeholders, across generations and perspectives, we can help safeguard wealth while also nurturing responsibility, resilience, and understanding. Ultimately, the most successful investment strategies are those that balance financial acumen with empathy and foresight.
Not a bad legacy: financial comfort across generations, paired with the knowledge and confidence to make informed investment decisions, and, of course, the guidance of a trusted, long-term trustee to support and sustain that legacy.
Have questions or want to learn more?
Contact Katie:
📞 +44 (0) 1534 849881
📧 katiebooty@affinitypw.com
