Attempting to make generalizations about generations (Chart 1) is always challenging, although specific trends inevitably emerge. When discussing generations, it is essential to consider the context in which they were born. For instance, addressing Generation Z requires acknowledging their birth into a distinct period—the digital era. In contrast, Generation Y ("Millennials") transitioned into this digital landscape. A key factor distinguishing generations is how they consume and share information. For example, subjects like war, which were not prevalent in my childhood discussions, are now addressed in schools. Similarly, ESG-type issues have become integral to school curricula. This shift is significant; as a young kid, I cannot recall thinking about environmental concerns the way my children do today. Things like, "We need to turn off the water, because otherwise we will deprive fish of sufficient water." Today, such topics are, rightfully, introduced early, fostering mindfulness in children, and fundamentally shaping their youth and perspectives.

This transformation also influences perceptions of children that are born into affluent families. The fact that they have a much more global awareness (compared to previous generations) and a sense of responsibility (in some cases even guilt) shapes their thinking and, as a consequence, their actions. And this is where I see the biggest opportunity when it comes to tackling some of the world’s biggest, systemic issues.

Wealth has a dual nature - good and bad - tied to a family's overarching vision. Merely transferring wealth without a clear purpose is fundamentally futile. However, when there is a well-defined purpose and the opportunity to engage in diverse activities such as investments, entrepreneurship, philanthropy, and contributing to societal change, wealth becomes more than just money. When I think about wealth, I think of Total Family Wealth, which goes beyond the money. It includes things like people, relationships, knowledge, reputation, beliefs, and, of course, money. While financial assets may fluctuate, the lasting nature of non-financial elements can have significant influence when properly safeguarded and nurtured. When it comes to philanthropic activities, the ongoing substantial wealth transfer poses both an opportunity and a threat to individuals. Discussions within families increasingly explore the negative implications of wealth and many individuals from the next generation question the purpose of this wealth or express reluctance to be associated with it, perhaps influenced in part by initiatives like "The Giving Pledge", the charitable campaign which was founded by Bill Gates and Warren Buffett, to encourage wealthy people to contribute a majority of their wealth to philanthropic causes. The landscape has evolved significantly compared to 50 years ago, when fewer young individuals inherited substantial wealth with philanthropy intentions. There are some voices of concern about the lack of preparation and structure in managing this wealth transfer. It is crucial for the next generation to approach this responsibility methodically, making purpose-driven decisions. Some next-generation members are also considering planetary boundaries and contemplating how to address substantial systemic issues —challenges too vast for individual efforts. To make meaningful change, a long-term horizon, flexible entrepreneurial capital, a global perspective, reputational capital for advocacy, and an understanding of the political and regulatory environment are essential. The next generation wants to play a crucial role in systematic giving and forming partnerships to collectively confront these challenges.