LEGACY
Legacy
Mission, values, core purpose, & shared meaning - the foundation of the family, its approach to wealth and to relationships with each other. This is expressed as:
- Understanding the deeper meaning and purpose of family wealth
- Family mission and values statement
- Telling the family story to the next generation
- Talking together about values and what is really important, including faith-based values
- Developing a long-term perspective and commitment
FINANCIAL
Financial
Resources to manage and sustain over time for support of a comfortable lifestyle for the family – partnership between the family and the family’s wealth management/family office. This is expressed as:
- Choosing and implementing good wealth management, with appropriate oversight and collaboration by the family
- Creating clear and realistic expectations among all family members and generations
- Teaching heirs values, responsibility, and skills for managing wealth
- Generating a sense of responsibility and stewardship
- Creating trusts and financial entities that coordinate with overall long-term wealth management
RELATIONSHIPS
Relationship
Ability to develop structures to make decisions, manage family capital, maintain connections, compromise, manage conflict, and create caring positive and productive relationships. This is expressed as:
- Creation, maintenance, and ongoing adaptation of family councils, boards, and assemblies
- A written Family Constitution
- Accountability and clear communication to beneficiaries
- Generating respect, caring and trust by regular communication
- Developing family social networks
- Communication training
HUMAN
Human
Fostering development of character, skills and identity of each family member for managing self and wealth, encouraging purpose through paid or unpaid work, guidance for a complex, demanding global environment. This is expressed as:
- Initiating age-appropriate discussions about money with heirs and those entering the family from the outside (e.g., in-laws, stepchildren)
- Building self-esteem and identity independent of having money
- Helping heirs develop a sense of purpose for their lives in and out of the family enterprise
- Developing skills and capability for heirs to make their way independently in the world
SOCIAL
Social
Commitment and sense of respect, compassion and connection to the suffering and concerns of others, taking a place of service within one’s community, and using resources to support the future of the planet. This is expressed as:
- Expressing individual and collective family values in the community through action and/or investment
- Involving family members in service and philanthropy
- Choices regarding socially-responsive investing, micro-loans, etc.
