Page 5 - Volume 43-Number 01 02-17-20

Boomers start GivinG Children’s

inheritanCe to Charity

By Ollie Williams (Printed with Permission)

As the baby boomer generation ages in the new decade, they are likely to
leave more money to charity than ever before. But it will come at the expense
of their children’s inheritance.

Several boomer billionaires have publicly said they will give most of their wealth

to charity rather than to their children when they pass away. But many other
boomers have been discretely planning similar moves, say wealth advisers.

“Based on what we’re seeing here I think the marketplace has vastly
underestimated the amount of wealth which is going to go to charity in the
next two decades as baby boomers are dying,” says Andy Sams, director at
TwinFocus, a multi-family office.

The wealth management industry has been eyeing up the $30 trillion expected
to be passed from one generation to the next over the following three
decades, as estimated by PwC. However, as they reach retirement, many

wealthy boomers are spending this money on charitable projects instead. In
2020, the average age of a baby boomer reaches 66, which means retirement
for most men around the world.

“Definitely this generation is leaving more wealth to their charity foundations
than to their children,” says Anita Choudhrie, a leading (boomer) philanthropist,
who runs The Stellar
International Art Foundation
and Path to Success, which
empowers disabled women in
sport.

The number of charitable
foundations has increased
rapidly in recent years.
Nearly three quarters of
all foundations studied by
UBS and Harvard Kennedy
School’s Hauser Institute
were established in the last
decade.

(Continued on next page.)

February 2020 INLEAGUE | PAGE 3