I do not mean the mega rich of the country, I have no clue how a Azim Premji or a Mukesh Ambani talk about money to their families. I am talking of people much lower in the order..but would be worth a few MILLION US $. So let me call them $ millionaires.

• Money problems arise by not talking enough about money, not by over communication.
• Many of these families are still doing a common business and staying together.
• Staying together may mean staying in 3 flats in the same building for convenience, but the kitty is common.
• Children are kept out of financial discussions till about 12-13, after that they participate
• Daughters are allowed to participate, daughters in law are also encouraged to participate.
• Financial literacy is assumed to be by Osmosis – rarely is an attempt made to teach.
• I have made some inroads for financial literacy for the family members, but early days yet.
• Financial goal conflicts are resolved by the eldest member. Iron hand.
• Some have very clear lines/rules for spending. Even phones and vacations are discussed.
• Parenting becomes very difficult if one father is more indulgent!!
• Children have huge access to cash and this means small crimes (betting losses) can be hidden for too long.
• Age group ‘groupism’ is more powerful than other types of groupism.
• Investment decisions are mostly joint except when it comes to equity investing.
• Equity investing, wealth creation, etc. is handled by one/ two persons and family discusses it monthly.
• Some have rules that business talk can happen in only one room designated for that!!
• Women rule the dining table! Many have rules about no phones, no tv, no book at the dining table.
• Women plan. Servants execute is EXACTLY how most families run.
• Huge shift over the last 20 years in whom to ‘ask’ for money matters. Qualifications and Trust matters.
• In a few cases I have heard “He has said, so it will be done”. Advisers have a huge, huge, huge role.
• One bank RM was asked to join the family business to look after the Rs. 200 crore portfolio. Good decision.
• CA rules. Completely, financial advisers can take a walk!! Better to approach such families through their CA.
• Wealth Advisers should be very, very well equipped. They like to hear “I do not know, but will learn”.
• Younger gen getting qualified with CA, Ivy League, top draw education. Happy to spend.
• Almost all of them have a open purse for education. Buying a house abroad so that kids can stay there is common.
• Lots of philanthropy – and scope for Advisers to do audits of how the money is being used. Do as part of your CSR.

Just some random thoughts…experience…decide on how to use it…some of the kids in your houses read my posts too 🙂