The report has highlighted how this generational wealth transfer will impact investment trends and wealth management.
The report estimates that by 2045, millennials will inherit an estimated US$84 trillion from baby boomers, representing the largest wealth transfer in history. This shift coincides with millennials’ increasing interest in international investments and alternative assets like art, vintage cars, and digital assets.
“The global wealth landscape is evolving rapidly due to technological advances, demographic shifts, and the largest intergenerational wealth transfer in history. With younger investors and a dynamic geopolitical environment, new asset classes and markets are being unlocked. Our report equips investors with the knowledge to navigate this landscape, create a more diversified portfolio and grow their wealth,” said Sandeep Jain, Senior Managing Partner at Multipolitan.
The report also identifies a surge in “investment migration,” with individuals seeking alternative residences or citizenships to diversify their assets and navigate geopolitical uncertainties. This trend is driving demand for locations with favorable tax policies, strong security, and stable governance.
“Demand for alternative residences, once driven by families from emerging markets, is now rising among affluent individuals in Europe and the US. Policy shifts like the UK abolishing the Non-Dom scheme, France’s new taxes, and election results in the US are prompting many to seek favorable jurisdictions. American entrepreneurs are also leveraging alternative residences to diversify currencies, markets, and governance systems. In an increasingly uncertain world, mobility and access will soon eclipse material possessions in value,” says Multipolitan’s CEO, Nirbhay Handa. He adds: “The utility of an alternative residence will soon surpass the utility of owning a car.”The report also highlights the growing role of technology in wealth management, particularly the use of artificial intelligence to analyze data and personalize investment strategies. As the global wealth landscape continues to evolve, the report emphasizes the need for investors to adapt and embrace new strategies to protect and grow their assets.
Key highlights of the report:
- Wealth Transfer & Next-Gen Focus: Baby Boomers are passing the reins to Millennials and Gen
- Z, who are tech-savvy and globally connected, increasingly gravitating toward foreign
- investment opportunities and diversifying into alternative assets like art, vintage cars, wine,
- whisky casks, digital assets, and gold.
- Investment Migration Growth& Global Shift: The investment migration market has surged to
- over US$21 billion annually, extending beyond emerging markets as European and American
- entrepreneurs seek fiscally competitive environments and alternative residency options.
- Emerging Wealth Hubs: Malta and India’s GIFT City are rising as strong competitors to
- traditional wealth hubs like Singapore, Dubai, and Zurich, offering attractive fiscal policies and
- residency options for high-net-worth individuals.
- Tech & Tax Evolution: AI is transforming wealth management, improving efficiency and
- personalization, while evolving tax regulations are reshaping investment migration strategies
- and presenting new challenges and opportunities for investors.
- Longevity & Preventive Medicine: As wealth creation is increasingly linked to personal health,
- longevity and preventive medicine are gaining importance for high-net-worth individuals, who
- prioritize maintaining well-being alongside growing their financial assets.