More Than $100 Trillion to Be Handed Down From Elderly to Heirs, Study Predicts

As Baby Boomers, the wealthiest generation in U.S. history, age, financial analysts are watching the so-called “Great Wealth Transfer,” a projected $124 trillion shift in assets over the next two decades. According to analysts, $105 trillion could go to heirs and $18 trillion to charities. Boomers and the Silent Generation currently hold a majority of the nation’s wealth, and by 2035, their heirs are expected to become the wealthiest generation. Younger investors are more likely to pursue higher-risk, higher-return strategies, including cryptocurrencies, real estate, and alternative assets, compared to the traditional stock-and-bond approach favored by their parents.

Despite fears that Boomers retiring would harm the markets, the past 15 years have seen continued stock growth. But with younger generations inheriting more wealth, preferences are shifting toward diversified and riskier portfolios. This transition may fuel innovation and economic growth but could also increase volatility. Real estate trends may also change, with younger Americans potentially valuing urban living, smaller homes, and alternative investments over suburban houses. However, experts caution that this wealth transfer will be gradual, and most inheritances will be received by Gen X individuals in their 50s and 60s, not Millennials or Gen Z.

Still, many analysts warn that much of this wealth may never be passed down. Studies show most wealth is lost by the second or third generation, especially when heirs lack financial discipline or investing experience. In addition, Boomers may spend more than expected on themselves, especially in retirement. Data shows consumption increases with age, and rising medical costs could significantly reduce the amount Boomers leave behind. Health care, assisted living, and long-term care are expected to consume large portions of retirement savings, leaving the scale of the Great Wealth Transfer uncertain.

For more information see Kevin Stocklin “More Than $100 Trillion to Be Handed Down From Elderly to Heirs, Study Predicts,” June 24, 2o25.