What will become of your wealth in the future?
Wealth transfer is rarely successful if it depends solely on estate, tax, and investment planning. In fact, research has shown that the failure rate of wealth transfer beyond the second generation is 70% worldwide, and in 60% of those failures, the primary cause was lack of communication.
This is an area in which Lau excels. In our experience, many clients and their advisors overlook the often unspoken challenges of managing wealth. We begin the planning process with communication, helping you and your family talk honestly and openly about your feelings about money, your goals, and your hopes and fears.
Divisive issues are not uncommon when wealth is involved.
If issues and concerns aren’t resolved during the planning process, they have the potential to destroy wealth – and more importantly, family relations for generations to come. Lau can serve as a safe haven to talk about issues beyond wealth. For families that haven’t experienced significant wealth their entire lives, it can be a life-altering event. Lau will facilitate customized training sessions for family members who want to develop investment, fiduciary, and philanthropic skills.
Developing close relationships with a circle of trusted advisors is essential.
These advisors can serve as mentors to current and future family members who may be taking on the roles of trustee, managing and limited partner, shareholder, beneficiary, philanthropist, investor, and/or steward. The human side of wealth – family values and dynamics, individual comfort levels, and skills in managing assets – must be managed as sensitively as the overall portfolio.
Understanding the responsibilities as well as the opportunities that come with wealth can help your family communicate and make better decisions as well as lay the foundation for successful wealth transition.
Please Note: The scope of any financial planning, tax and/or consulting services to be provided depends upon the needs of the client and the terms of the engagement.