In the next instalment of our Reinvention conversation, Jenny Josling from Orbis Investments talks about the art of thinking intergenerationally about wealth. This is something she has had much experience in, running the Australian arm of a business that has spawned five generations of stock pickers, and was founded by a man who structured the ownership of the firm to support his philanthropic endeavours.
At first this was a way of approaching wealth that did not come naturally to me.
The demands of day-to-day life are of course the things that get most of our attention. Splitting our focus to plan for retirement is the next step in thinking longer term. But I now believe that to truly think big, you need to turn your mind to generational wealth. From our parents, to us, to our children, and so on and so forth.
Thinking truly long term is about being deliberate with your intentions. In a way, it’s ensuring a lasting legacy is left here on earth, long after we have gone. We all want to look after our children and loved ones, but we can, and should, go further to think about how what we have created can look after our children too.
Financial planning can be a masterful tool when thinking about generational wealth. As Baby Boomers start to hand over their wealth, it presents a massive opportunity for advisers to help and engage Australians by giving great advice that spans generations, where appropriate.
It’s also an opportunity to get the conversation started around the kitchen table. How do you want this money used? Who gets what? How should it be administered? These are all questions that need to be discussed at home before seeing a financial planner, to ensure everyone is on the same page.
One of the biggest prohibitors to great financial literacy is the lack of financial conversations in the average home. Money is still one of our big taboos, and while everyone is interested in what money can do for them, far fewer are having honest and open conversations with their family about this.
Thinking about legacy, means thinking about generational wealth. It’s another facet of the conversation that needs to be embedded in the mindsets of Australians, and in their conversations with advisers.
For to talk about it, and plan for it, is to see a better Australia for future generations; which is something we all want.
Until next time,
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