By Vern Gowdie for Gowdie Family Wealth (Australia) –
If you have wealth and do not educate your children on the responsibilities of prudent financial management, you run the risk of them finding out the hard way what can happen without the appropriate level of knowledge to protect them.
This thinking is hardly new or revolutionary.
‘Be careful to leave your sons well instructed rather than rich, for the hopes of the instructed are better than the wealth of the ignorant.’
— Greek philosopher Epictetus
The fate of the Vanderbilt and Woolworth families prove Epictetus was wise beyond his years
Studies show around 70% of wealthy families lose their wealth by the end of the second generation. That number rises to 90% by the end of the third generation.
Not talking about something doesn’t make it go away. It just compounds ignorance.