Over the next 25 years, New Zealand will experience the largest intergenerational transfer of wealth in its history – between $1 trillion and $1.6 trillion moving from Baby Boomers to their children and grandchildren.
On the Keep the Change podcast, Grayson Clements Director Andrew Clements sat down with host Luke Kemeys to talk about what this “Great Wealth Transfer” means for Kiwi families, why most fortunes don’t survive past the third generation, and how values-based planning can change that outcome.
“As a country, it’s been said we’re approaching this tsunami of transfer with all the sophistication of a kids’ game of pin the tail on the donkey,” says Andrew. “It’s time to stop leaving it to chance. Let’s design it, not wait for disaster.”
Why wealth fades – and how to make it last
Andrew explains that most families lose their wealth through poor planning, late transfers, or family conflict – not bad investments. The key is intentional design: clear communication, shared family values, and the right legal structures such as wills, enduring powers of attorney, and trusts.
“Your will is your chance to set out your hopes and aspirations for those who follow you,” he says. “It gives clarity, direction, and avoids unnecessary cost and conflict.”
(Learn more about wills and EPAs → Here’s why every adult needs a will.)
Building rising generations
Andrew also discussed the three types of heirs – entitled, rising, and disempowered – and why open, values-driven conversations create the “rising” generation who preserve and grow what’s been built. In practice, that can mean creating family advisory boards, succession plans, or even “family banking” models that help younger generations into their first homes without eroding family wealth.
The opportunity ahead
From family businesses to farms, Andrew says the Great Wealth Transfer can either fracture families or strengthen them.
“If we don’t do this right, we risk corporatisation and loss of family-run sectors. But if we take it on by design, we can turn it into an opportunity for growth, unity, and legacy.”
Listen or watch the full conversation on the Keep the Change YouTube channel and podcast to hear more about designing your family’s legacy by intent, not default.
