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The Great Wealth Transfer refers to the massive handover of assets from one generation to the next — primarily from baby boomers to their children and grandchildren. It’s one of the largest financial shifts in modern history, with significant implications for wealth planning, tax strategy, and long-term financial stability. Understanding how this transfer unfolds is crucial for high-net-worth families — particularly in Asia — looking to protect their legacy and ensure smooth succession.

We are on the cusp of an unprecedented transfer of wealth – known as the Great Wealth Transfer – with USD 83 trillion globally expected to be passed on within the next two decades, according to �۶���Ƶ’s Global Wealth Report 2024. Of this, a large chunk will be in APAC.

One economist whose research is particularly relevant here is Franco ModiglianiRead more about his achievements, who was awarded the Nobel Memorial Prize in Economic Sciences in 1985 “for his pioneering research in several fields of economic theory that had practical applications”. He is perhaps best known for his life-cycle theory – his analysis of how people save and spend money over the course of their lives. But Modigliani was also interested in how wealth is passed on. In an article titled “The Role of Intergenerational Transfers and Life Cycle Saving in the Accumulation of Wealth” published in the Journal of Economic Perspectivesin 1988, he considered the significance of bequest-motivated transfers between generations. “A certain amount of evidence suggests that the pure bequest motive – the accumulation of wealth entirely for the purpose of being distributed to heirs and not be used for own consumption – affects a rather small number of households, mostly located in the highest income and wealth brackets”, he noted. H2: How much wealth is expected to change hands globally and in APAC?

Fast forward to the present and Modigliani’s work on how people build – and eventually pass on – wealth is more relevant than ever. The Great Wealth Transfer is already underway. Here in APAC, high-net-worth (HNW) and ultra-high-net-worth (UHNW) families are set to experience an intergenerational wealth transfer estimated at USD 5.8 trillion by 2030, a recent report by shows. And in China itself, USD 11.8 trillion of wealth will be transferred to the next generation in the next 30 years, according to the Hurun Wealth Report 2023. 

A key region to watch is the Greater Bay Area (GBA) made up of Hong Kong, Shenzhen and nine other megacities in mainland China, which accounts for just 1% of the country’s land area and 6% of its population, but generated over 11% of its GDP in 2023. Crucially, it is home to 510,000 HNW families, almost a quarter of all HNW families in China, according to the Hurun Wealth Report 2023. These numbers indicate that the GBA will lead growth and wealth creation in China.

At �۶���Ƶ, we view this huge intergenerational wealth transfer as an opportunity. We have been actively engaging with the next generation of influential families in APAC for more than 20 years to help them define their own path. Globally connected, mobile and tech savvy, this new generation of Asian clients is seeking a tailored approach to their wealth.

Already, we are helping our clients navigate this transition. We’re speaking to members of the older generation – often entrepreneurs anxious to preserve the wealth they worked hard to build. Top of their minds: how to prepare to pass on their wealth or the family business to their heirs. But some also wonder how to get their grown-up child interested in the family’s financial affairs – or how to protect the family’s wealth if the child gets married (prenuptial agreements are on the rise in China). And we’re speaking to the next generation, which has questions of its own, from how to preserve and grow their inheritance to how to harness their wealth to create impact. Globally connected, mobile and tech savvy, this new generation of Asian clients is seeking a tailored approach to their wealth.

What makes us stand out? Our unparallelled reach as the world’s only truly global wealth manager, rooted in Switzerland but with a rapidly-growing client base in APAC. As our Asian clients’ business, investments and affairs become increasingly globalized, there is growing demand for diversification and safe haven booking centers that can help them preserve and grow their wealth.

By combining global connectivity and innovative digital offerings with a deep understanding of the local market, and by listening to our clients’ questions, we are helping them secure their financial legacy for future generations – just like the households Modigliani wrote about.