Article:

Thoughtful decision making amidst change

11 February 2021

Mark Pollock, Partner, Tax |

In many respects, 2020 represented a perfect storm of short and long-term disruption. The seismic effects of COVID-19 continue to rock the global economy.

Wealthy individuals and their advisers face a new, more complex global landscape. Longstanding generational changes, huge economic upheaval, a global pandemic and a stronger emphasis on doing the right thing for society and the environment have collided to create an unprecedented global challenge.

Our research shows that generational change is driving new attitudes towards the role of private wealth and its part in delivering beneficial, social and environmental outcomes.

The World of Private Clients is BDO's Global Private Client Services flagship thought leadership report and online insights. It is the result of our 2020 survey of wealthy individuals and their advisers on what is important to the community. Our World of Private Clients research programme was launched to provide an understanding of sentiment among the global private client community, and covered a tumultuous year on a global scale.

The research sought to understand how private clients, next generation wealth holders and the professional advisory community are seeking to navigate the plethora of short-, medium- and long-term risks and opportunities.

Our key findings include:

  • COVID-19 has caused wealthy individuals to rethink planning strategies in some way, shape or form. 92% are planning either significant, careful or minor alterations
  • 67% of wealth owners surveyed cite seeking new growth and investment opportunities as their top priority for the coming 12-18 months
  • 71% believe the private client community are moderately or very concerned about the privacy and safety risks posed by the ever-changing tax transparency and reporting requirements

The report focuses on four key pillars affecting the World of Private Clients currently:

  1. Transparency – focusing on tax transparency, risk management, the balance between transparency and privacy
  2. Relocation – How has the past year in particular affected the relocation strategies of wealthy individuals?
  3. Family and Generational Wealth - We explore new wealth, succession planning and attitudes toward wealth management
  4. Adviser of the Future – Based on BDO’s leading thinking, we examine the role of the private client adviser now and in the future

Download the report