Case Study: Generational Differences
A family with a strong patriarch and adult children came to Prime Quadrant for help. The children were not interested in running the business, were not prepared to manage the substantial wealth they were due to inherit and are very socially conscious. There was some friction between the generations because of these differences.
Initial discovery meetings as a group, and then with each individual family member, provided a foundation for agreement that an educational program for the second generation could help alleviate some of the friction.
Prime Quadrant's initial role was to implement this educational program to:
- Provide an understanding of best practices relating to the stewardship of wealth
- Learn the terminology of investing
- Develop and engage in collaborative investment decision-making
After delivery of the education program, a pool of capital was established with the adult children contributing some of their own capital so they could make their investment policy and allocation decisions together.
In addition to serving as investment advisor to the group for this pool of capital, Prime Quadrant also assists with third party due diligence on certain direct investments, supports the family with their private foundation and works with various family members on their own portfolios.