Dubai: Forty percent of the globe's wealthy population has direct experience of their family fortune leading to disputes, but the percentage is even higher in India, where 61 percent of the rich have seen relationships deteriorate into feuds over money, according to a new report. (Agencies)
In contrast, 53 percent of respondents in Singapore, 51 percent in Hong Kong and 51 percent in Monaco have experienced family tension as a result of wealth, as against just 11 percent in Qatar.
The Barclays Wealth Insights report also reveals that 35 percent of global high net worth individuals do not trust their children or step-children to protect their inheritance.
"When it comes to passing on wealth, 35 percent of global high net worth individuals do not trust their children or stepchildren to protect their inheritance," the report says.
The Barclays Wealth Insights report, titled, 'The Transfer of Trust: Wealth and Succession in a Changing World', was released here on Monday. It is based on a global survey of more than 2,000 high net worth individuals.
Globally, developed countries display higher levels of uncertainty when it comes to trusting their children and stepchildren to look after their wealth.
Respondents in the Middle East (78 percent), Africa (77 percent) and Latin America (75 percent) show high levels of trust in their children and step-children when it comes to money management and protecting their inheritance when compared to Australia (59 percent), North America (61 percent) and Europe (62 percent), the report said.
Of all those surveyed, 29 percent of global wealthy believe that inheritance places an "unnecessary burden" on the next generation, with respondents in India (50 percent), Latin America (44 percent) and Hong Kong (38 percent) showing the highest levels of agreement with this.
Thirty-five percent of respondents in the UK and the same number in Ireland also shared this view, bringing to life the concern parents have when it comes to wealth and succession.
However, an unfortunate drawback of wealth is its ability to cause conflict – and in the context of succession – family conflict.
Rory Gilbert, Managing Director and Head of Middle East and North Africa for International Private Banking at Barclays Wealth, said, "This report provides an in-depth study into the attitudes of high net worth individuals toward succession planning."
"Understanding options for succession planning in advance, and seeking professional advice can provide confidence that your wealth will be wisely managed in the future," he said.
Dubai: Forty percent of the globe's wealthy population has direct experience of their family fortune leading to disputes, but the percentage is even higher in India, where 61 percent of the rich have seen relationships deteriorate into feuds over money, according to a new report.