The Great Wealth Transfer may not overturn the markets overnight, but it is likely to increase demand for private markets, digital tools and real estate solutions as Gen X, millennials and Gen Z inherit assets. Investors should still weigh diversification, taxes, time horizon, risk tolerance and long-term goals before making changes.

Key facts about the Great Wealth Transfer

The Great Wealth Transfer refers to the expected movement of assets from older generations, especially baby boomers, to heirs and charities over the next two decades. Cerulli Associates estimates that nearly $124 trillion will change hands through 2048, with about $106 trillion going to heirs and the balance going to charity:¹

How could the Great Wealth Transfer reshape wealth management?

As younger generations inherit more assets, their expectations of how they manage wealth may differ from those of their parents. According to Bank of America Private Bank research, younger investors are generally more willing to explore alternative investments, private equity, digital assets and direct investments in companies. They are also more likely to seek customized portfolios that reflect their individual goals and interests.

Lauren Sanfilippo, a senior investment strategist with the CIO, believes this shift could increase demand for digital tools and investment platforms that give investors greater control over how they allocate and diversify their assets. As more wealth moves to Gen X, millennials and Gen Z, wealth managers may need to provide more personalized advice, flexible investment solutions and technology-enabled planning tools to meet evolving client preferences.³

Will real estate remain a core investment?

Yes. Real estate stood out in Bank of America’s survey similarly preferred by older and younger wealthy respondents. By a healthy margin, Ultra-high-net-worth (UHNW) investors identify investment real estate as their top growth opportunity (38%), up sharply from 2024 (23%).² UHNW portfolios look structurally different than those of other high-net-worth individuals, with fewer stocks and more alternative investments on average than the general study population. UHNW individuals invest broadly across real estate categories and half participate in private equity, likely due to greater access to investment opportunities and a higher tolerance for illiquidity.

Millennials still face barriers such as higher interest rates and housing supply challenges, but inherited assets could help more buyers fund a down payment, become homeowners, trade up or add a second home.

Future housing choices may reflect several forces at once:

• Smaller families
• Interest in compact or urban living
• Remote-work flexibility
• Growing attention to climate risk and energy efficiency in the home
   

What principles still apply after an inheritance?

The Great Wealth Transfer may expand the menu of investment choices, but it does not replace foundational planning. Sanfilippo says younger investors will still need to think about capital appreciation, equities and bonds as part of a foundational portfolio allocation, and the importance of diversification.

• Diversify across asset classes instead of concentrating inherited wealth too narrowly.
• Align investment choices with time horizon, liquidity needs and risk tolerance.
• Review tax implications before selling, reallocating or distributing inherited assets.
• Consider charitable goals and whether new wealth can support heirs or favorite causes.
   

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¹Cerulli Associates, “The Cerulli Report: U.S. High-Net-Worth and Ultra-High-Net-Worth Markets 2024,” December 5, 2024.

²Bank of America Institute and Bank of America Private Bank, “2026 Study of Wealthy Americans,” accessed August 2026.

³Forbes, “The Great Wealth Transfer Is Really A $28 Trillion Investment Story,” August 11, 2026.

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