Family wealth advisor Scott Winget is new to Chicago-based Cresset Family Office, but not to the business of family wealth management. With more than 25 years of experience, Winget knows how to work with high-net-worth families seeking to grow their finances and make the world a better place.

Both a licensed CPA and an attorney, Winget began his career as a senior tax consultant with Arthur Andersen in 1992. That was followed by stops at various other companies that entailed tax and personal financial counseling. Most recently, he was senior managing director at Ascent Private Capital Management, where he served as head of the wealth sustainability team that provides family governance, legacy, wealth planning and CFO services. This year he became senior managing director of family enterprise consulting at Cresset Family Office, whose national headquarters are in Chicago.

A socially conscious environmentalist who enjoys outdoor activities with his family, Winget partnered with the non-profit Mountain Area Land Trust (MALT) in Colorado during his employ with Ascent to promote high-net-worth investment in the organization's mission to preserve and protect the state's open spaces.

Winget discussed the business of family wealth management and sustainable investing with Financial Advisor.

FA: How have family dynamics changed in the 25 years you have worked in the wealth management field?

Winget: I don't believe that family dynamics themselves have really changed. Families are still families and conflicts still arise. However, I've seen more willingness on the part of senior generations to listen and involve the rising generation earlier and more fully. Also, it seems that the rising generation is demanding to be involved earlier. Whenever the generations come together like this, it's a good thing.

FA: Is there a deeper divide between the generations today than there was a generation ago?

Winget: No, I don't believe there is a deeper divide between generations today. That said, the differences are still real. There’s a reason that researchers have divided society into separate generations, and that is because each generation is unique and don't always fully understand each other, but that's always been the case. But as all of us are increasingly interconnected, I would argue that baby boomers, Gen X and Gen Y are more on a similar plane than that of earlier generations.

FA: What were some of the factors affecting family finances 25 years ago compared with those affecting them today?

Winget: Impact investing really didn’t exist 25 years ago as an option for most families.  A family could always create their own impact opportunity, but having professional, curated offerings from investment and private equity firms has blown it open. For example, at Cresset we are very excited about our new Qualified Opportunity Zone fund and the impact that can make on disadvantaged communities.

FA: What are some of the new trends in family giving?

Winget: Families are more interested in seeing an impact from their giving.  It's no longer as acceptable for many to make a gift and assume that nonprofits will actually make effective use of the money.  Donors are more often requesting data and reports demonstrating that their gifts are being implemented effectively. They want to see outcomes.

FA: To what factors do you attribute the rise in impact investing?

Winget: Part of it is simply awareness. It wasn't an option several years ago. Today, people understand how conscious capitalism can be very effective in making a difference as an option or complement to traditional philanthropy, and they appreciate the ability to leverage their gift over and over again through reinvestment.

FA: How have technological advancements accelerated these new trends, or have they had any effect at all?

Winget: Technology has had an effect in multiple areas. First, it makes is easier to perform research, to find out where the needs are and what is currently being done to address them. Second, it makes it easier to connect to like-minded donors, so that people are collaborating more on their giving. Third, it makes it more possible to receive feedback and data from end-users on the effectiveness of programs at nonprofits.

FA: Have high-wealth millennials had the greatest impact on the increased popularity of sustainable investing?

Winget: The younger generations do seem to often be the ones pushing new ideas within their families. But in the end, the decision-makers still tend to be the older generations, and they need to be convinced. It's a joint effort. Bringing the different generations together to talk about their values and the impact they want to have is a wonderful thing.

FA: Is sustainable investing a fad or do you believe it is a lasting trend?

Winget: I believe sustainable investing is a lasting trend, but it’s still in its infancy. There are a lot of things that need to be worked out and standardize. For example, how do we decide whether a particular investment should even be considered an impact or sustainable investment? But people are more and more buying into the general tenets of sustainable investing.

FA: What impact will the aging of baby boomers have on the redistribution of family wealth?

Winget: Certainly the amount of wealth being transferred will be huge. Studies have speculated that over the next 30 to 40 years as much as $30 trillion will pass from the baby boomers. But there’s also a change in how that wealth will be managed. Baby boomers are generally more comfortable with the traditional advisor-led model, while the rising gen increasingly demands more control and transparency.

FA: How can families best build wealth and save the Earth at the same time?

Winget: Great question. To be effective in their giving, families need to first decide what their common values are. At Cresset we put an emphasis on bringing families together to align on a shared vision for their wealth and the impact they want it to have. We believe that wealth truly is about more than money. Once families accomplish that, they can begin to outline the purpose and goals of their philanthropy, and then work on solutions. The challenges are enormous, but the good news is that families have more options than ever to make a real difference.