For many ultra-wealthy inheritors—individuals who have received or are heirs to at least $100 million in assets—philanthropy is both a personal interest and a defining characteristic. But in today’s world of social entrepreneurism, it’s about more than charitable gifts and actions and increasingly about using wealth and resources to make a significant, positive impact on the world.

A number of factors contribute to the philanthropic motivations of ultra-wealthy inheritors:

• A belief that wealth carries social responsibility and those that have the resources and the wherewithal to be philanthropic should do so.

• Core values that have been ingrained into their thinking and decision-making by ancestors and extended family relations.

• Sociological influences that come via their peers, other multigenerational families with similar interests, the charitable community and the media.

Room For Improvement
Despite the charitable efforts of the wealthy, 65.8% of 114 ultra-wealthy inheritors we surveyed said they feel they can do a better job at being philanthropic.

Part of the problem may be that only 26.3% of this group have clearly defined philanthropic goals. Those with such goals know exactly what they want to accomplish—the causes they have prioritized, the level of financial and personal commitment they are willing to make, and the legacy they want to create and leave for themselves and their families. 
Frequently, they employ structures to achieve their charitable agendas, such as foundations and trusts.

More telling is that 52.6% of the ultra-wealthy inheritors have only directional philanthropic goals (21% are unsure of their goals). Many inheritors in this segment have a broad sense that philanthropy is important to them, but have not yet outlined their precise goals and plans in a way that is actionable. This uncertainty is often related to a desire to keep all options open; as a result, no steps are taken toward solidifying a charitable agenda.

Connecting With Other Philanthropists
While we’ve observed some significant commitments to charitable causes among ultra-wealthy inheritors because of the assets they control, they’re often open to new ideas. This includes going beyond charitable causes to the mechanics of being philanthropic. Nearly three-quarters of them (74.6%) are interested in how other wealthy families and individuals are approaching philanthropy. They want to understand what their peers are doing across a spectrum of activities. By sharing with their peers, ultra-wealthy inheritors are able to expeditiously move up the learning curve.

Inheritors are more inclined than wealth creators to rely on their peers as a critical source of information and knowledge in philanthropy, as well as other endeavors. About seven out of 10 ultra-wealthy inheritors (69.3%) are highly interested in being introduced to like-minded individuals in order to expand their networks, access new resources and expertise, learn about new opportunities and understand best practices in various functional areas.

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