www.privateairny.com Private Air New York | Winter 2015
28
HEIRS
HOW HEIRS BECOME
RESPONSIBLE STEWARDS
OF WEALTH
A
family's prosperity
may benefit future
generations—provided
it lasts. History has
shown inheritances
are unlikely to remain intact without
thoughtful stewardship. Heirs are often
ill-equipped to handle wealth they had
no role in creating, and, they do not have
a full appreciation for the responsibilities
associated with caring for these assets.
Fortunately great stewards can be made,
as one need not have been born with great
financial acumen, talent, or luck.
e four hallmarks of great stewardship
are very simple: 1) leadership 2) delegation
abilities 3) accountability and 4) great
communication. e first responsibility
of the steward is twofold: lead a team
of multidisciplinary advisors and guide
family members to adhere to their advice
and decisions. e steward typically acts
as the communication "lead" between the
team and the family. e team's decisions
are intended to serve the interests of and
support the family vision.
What must a family employ for success?
Family governance is first and foremost—
and no two families are exactly alike.
When families teach heirs to communicate
and work together effectively, their
incubator for leadership begins. ese
early experiences with mentorship and
guidance from family members and
advisors vary and evolve as heirs grow.
What may begin as theoretical eventually
will be based on real-world experience
and events. is provides grantors
and older family members a first-hand
look at how the next generation works
together. Who are the do-ers, leaders, and
By: Brian Luster and Steven Abernathy
