Next-generation wealth transfers will play a pivotal role in shaping the wealth management industry over the next 23 years. With a significant volume of intergenerational wealth expected to change hands in the coming decades, there is a growing need to empower and actively engage younger generations in holistic family planning.

According to Cerulli Associates, an estimated $124 trillion in wealth transfers is expected to occur by 2048. Of that amount, approximately $105 trillion is projected to pass to heirs, while the remainder will be directed to charitable causes. This 'Great Transfer of Wealth' anticipates that nearly 80% of the total will be transferred from the Baby Boomer generation and older to Generation X and younger.

With the rise in intergenerational wealth transfers, it’s important to recognize the challenges the wealth management industry is projected to face, and how Busey Wealth Management’s core values proactively position our team to stay ahead of these challenges while effectively engaging younger generations.

Four Tips on Teaching and Working with the Next Generation

Tip 1 - Empower the Next Generation

To effectively empower and engage younger generations, it’s important for parents and advisors to start early and make financial concepts relatable. It’s never too early to involve children, starting in adolescence, by connecting lessons to their everyday experiences. For example, using a piggy bank can help teach basic saving habits in a hands-on way.

As children grow older, they can be included in family conversations about money and even invited to sit in on meetings with your wealth advisor. This gives them the opportunity to learn directly from a professional about family finances and foundational financial concepts. Providing an allowance—earned through chores or small jobs—can further instill a sense of responsibility and an understanding of the value of earning. This tip aims to foster greater financial responsibility and literacy in the next generation as they grow.

Tip 2 - Start Developing Financial Literacy

Financial literacy helps create the foundation of successful wealth management. To prepare heirs for long-term financial responsibility, they should develop a strong understanding of key concepts such as:

• Budgeting and managing cash flow
• Investment principles and risk management strategies
• Tax implications of financial decisions
• The strategic use of debt and leverage in building wealth
• Behavioral finance and emotional decision-making

Enrolling heirs in financial literacy classes, seminars and other hands-on learning experiences can help lay a strong foundation for their financial education. Busey Wealth Management offers Financial Pathways courses and resources, providing valuable opportunities for families to engage the next generation in meaningful financial learning. Practical exercises, such as managing a portion of the family vacation budget or helping choose charitable causes for family giving, can make financial concepts more applicable and engaging.

Involving the next generation in wealth management meetings or investment portfolio reviews with your advisor can also provide valuable insights into your family’s current financial situation. These experiences not only help them take on more responsibility over time but also encourage a relationship with your trusted advisor.

Tip 3 - Establish Clear and Effective Succession Plans

A well-structured estate plan is essential for ensuring a seamless transfer of wealth across generations. Beyond drafting wills and setting up trusts, it’s equally important to communicate openly about the expectations, roles and responsibilities tied to inheritance.

Trusts can serve as highly effective vehicles for passing on wealth. They provide control over how and when assets are distributed, while also offering protection from risks such as creditors or divorce proceedings.

Equipping heirs with a solid understanding of these legal and financial structures is just as critical. When the next generation is informed and prepared, they’re more likely to honor your intentions, manage assets responsibly and contribute meaningfully to refining the family’s long-term financial strategy.

Tip 4 - Build a Legacy Rooted in Shared Values

True wealth extends beyond financial assets, it reflects the principles and purpose that guide a family through generations. Establishing a clear set of shared values helps ensure that your wealth is not only preserved but also used in ways that reflect your family's identity and aspirations.

One meaningful way to strengthen your family’s foundation is by creating a family mission statement. This process encourages thoughtful reflection and shared vision. To get started, consider discussing the following questions together:

• What is the purpose of our family?
• What do we hope to achieve as a family over the next ten years?
• What kind of legacy do we want to leave for future generations?
• How do we define success as a family?

By creating a family mission statement you can articulate your collective vision, clarify your long-term goals and serve as a backbone for making thoughtful financial decisions. When values lead the way, wealth becomes a way to create lasting impact and unity within your family.

Preparing the Next Generation for Purposeful Wealth

As we approach one of the largest intergenerational wealth transfers in history, families have both a unique opportunity and responsibility not just to pass on wealth, but to ensure it is managed with purpose. By promoting financial literacy, encouraging open communication and rooting decisions in shared values, families can build a legacy that is both lasting and impactful.

At Busey Wealth Management, we are committed to guiding families through intentional, holistic family planning. Our team is here to support you in empowering the next generation with the knowledge, confidence and values they need to carry your legacy forward. To learn more about our services or find an advisor near you, visit busey.com/wealth-management.

This is not intended to provide legal, tax or accounting advice. Any statement contained in this communication concerning U.S. tax matters is not intended or written to be used, and cannot be used, for the purpose of avoiding penalties imposed on the relevant taxpayer. Clients should obtain their own independent tax advice based on their particular circumstances.

This material is provided for educational purposes only and should not be construed as investment advice or an offer or solicitation to buy or sell securities.

This presentation is for general information purposes only. It does not take into account the particular investment objectives, restrictions, tax and financial situation or other needs of any specific client.