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How intra-generational transfers disrupt inter-generational strategies

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5 minute read 20 May 2025

Understanding the needs of Boomer inheritors – as well as second generation investors – is vital for wealth managers to retain assets.

In brief

  • Horizontal, intra-generational inheritance could be as large as vertical wealth transfers.
  • Older inheritors are more likely to switch wealth managers than younger investors.
  • Understanding and meeting Boomer inheritors’ specific needs is crucial to success.

What has been called the largest wealth transfer in human history is underway, with profound consequences for the global economy. But wealth managers know the trillions upon trillions of dollars aren’t necessarily moving the way the general public might expect: Given the T-shaped nature of such transfers, much of the Boomers’ wealth is staying in the Boomer generation. And Boomers, as it turns out, are less likely than succeeding generations to be satisfied with their wealth managers.

For wealth managers, intra-generational wealth transfers may bring significant retention risks as fewer Boomer inheritors of wealth are “highly satisfied” with advisor engagement about wealth transfers (21%) compared to Gen X (26%) or Millennial (36%) inheritors, according to data from the 2025 EY Global Wealth Research Report.

Wealth managers globally expect large transfers of wealth between generations to occur in the next decade. As the global population ages through a relatively large population surge post-WWII, wealth is expected to transition to spouses, partners, siblings and relatives, alongside younger family members through inheritances. In the US alone, Cerulli estimates US$124t will be passed in the great wealth transfer through to 2048, and US$54t of this will be to spouses, mostly women.1

Two key findings emerge from the 2025 EY Global Wealth Research Report, which investigates a broad range of wealthy clients’ sentiments based on a survey of nearly 3,600 wealth management clients worldwide.  

First, there is a “T-shaped” movement of wealth, transferring horizontally within the same generation (likely to a spouse), before ultimately being distributed to children, family members, and other members of younger generations. While the inter-generational transfer is widely discussed, the intra-generational side often gets overlooked.

  • A significant portion of older wealthy individuals expect to receive an inheritance within their remaining lifetime: 26% of Boomers expect to receive an inheritance, and we estimate this generation could receive up to 50% of global wealth transfers in the next decade.
  • The majority of these intra-generational wealth transfers will benefit either spouses or siblings; in both cases, the statistical likelihood is that women will make up a larger proportion of inheritors than men.

EY research shows that Boomer inheritors are far less likely to retain their donors’ wealth manager than younger investors. The proportion of Boomers who say they’re likely to retain the same advisor (66%) is notably lower than for Gen X (82%) or Millennial (88%) inheritors; and the number of Boomers who say they’re likely to switch is far higher (25%) than among Gen X (14%) or Millennial inheritors (10%).


The implication of these findings is stark: Wealth managers that fail to anchor their relationships with wealthy, first-generation inheritors – who tend to have a very different profile compared to donors – will struggle to retain their businesses putting themselves at risk of significant asset outflows.

Secondly, the 2025 EY Global Wealth Research Report also reveals that across all ages and markets, 65% of clients view preparing for the transition of their estate as very, or extremely, important. Yet despite this, 50% of clients feel their family is underprepared for inheritance. This makes the task at hand for wealth managers more daunting.


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Anxiety is a key driver of this unease. Nearly half of clients (45%) see inheritance planning as becoming more complex, up from 31% just two years ago. Given the importance of wealth transfers to family members, it’s no surprise that investors are increasingly worried about current market volatility, inflation and political instability. Addressing these concerns, while understanding the specific preferences of Boomer clients, is vital.
 

Our research provides detailed insights into the specific plans of older investors who expect an inheritance – showing that the needs of Boomer inheritors are just as complex and differentiated as those of younger generations.

  • 97% of Boomers expecting inheritance know what they will do with financial assets with only 30% stating that they will keep the investment as is and 41% intending to change the investment strategy.

  • Older inheritors are less keen than younger inheritors for advisors to understand their family’s dynamics, values and relationships. Only 25% of Boomer inheritors view this as a priority, compared with 44% and 42% of Gen X and Millennial inheritors – making it incumbent on advisors to help clients appreciate the value of this approach.

While building trust through open and honest communication remains the most important expectation on wealth managers for both donors and inheritors, the inheritor community highly prioritizes wealth managers’ understanding of their specific financial goals and needs.  

Wealth management providers need to develop strategies to retain a greater share of Boomer assets post-inheritance – while also taking the opportunity to bridge the gap to subsequent, second-generation inheritors.

To be successful, integrated inheritance propositions need to fulfill the elements that both donors and inheritors identify as crucial to retaining their business: taking time to build trusted relationships; understanding individual needs and priorities; offering personalized, value-adding advice; and having fair, transparent fee structures.

The huge scale of intra-generational wealth transfers, combined with the unique characteristics of Boomer inheritors, pose a unique challenge for wealth managers. Detailed client insights hold the key to avoiding the potential risks – and maximizing the potential opportunities.

The 2025 EY Global Wealth Research Report focuses on the sentiment, needs and expectations of investors and besides wealth transition addresses other key topics including alternative investments and artificial intelligence (AI). 

2025 EY Global Wealth Research Report

At a time when wealthy inheritors are troubled by exceptional volatility, our survey reveals detailed insights into the direction of wealth transfers, the needs of older inheritors, and crucial industry responses.

Request the report

Summary

EY research shows that Boomer inheritors could receive up to half of global wealth transfers over the coming decades – and yet these clients feel less satisfied and less loyal to wealth managers than younger investors. Detailed client insights are vital to retaining Boomer inheritors while also building relationships with second generation investors.

Special thanks to the following individuals who significantly contributed to the survey analysis of the 2025 EY Global Wealth Research Report: Sam Farage, Meghna Mukerjee, Alexander Sapone and Ryan Sutton.

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