When wealth owners are asked what challenges them most, their first answer is frequently, “helping my children become productive adults.” Parents want their wealth to be a source of satisfaction and opportunity for their children and want to ensure that their children are prepared for the responsibilities that come with wealth. Getting this right is not easy, but those who have committed to educating the next generation will tell you that the return is well worth the investment.
Like many things, when it comes to family education you’ll be most successful if you begin with the end in mind.
- What are the goals of the family and how can education help support these goals?
- What key skills do family members need to develop?
- What behaviors do you want to encourage?
- What values do you want to instill?
While the answers to these questions will vary from one family to another, here are some of the key skills and concepts that members of every family enterprise should master:
- Understanding of family virtues, values and history
- Basic financial fluency (e.g., income statements, balance sheets, personal accounts, and the skills of saving and investing)
- Awareness and understanding of legal duties and rights as individuals
- Ability to make competent decisions in tandem with financial advisors
Educational opportunities need to be consciously threaded throughout the activities of the family and the family office. See the Introduction to Education System Design in the FOX Guide to Family Education
to get a good understanding of how to do this.
Once you have determined your goals and have your plan in place, you may find that you are in need of resources. See these lists of resources recommended by FOX and/or FOX members:
Family meetings provide an ideal setting for continuing education and are one of the most popular venues for delivering education to family members. Listen to the FOX recorded webinar Family Meetings: Best Practices and Strategies
to hear about the strategies that FOX members have used to plan successful family meetings.