Wealth management and succession planning in French-speaking Switzerland

The country's appeal stems from its political stability, legal and fiscal certainty, and the quality of its institutions. Together, these traits make Switzerland a highly attractive financial services sector, which expects to see growth of around 6% between 2025 and 2030¹.

But beyond these fundamentals, wealth management in French-speaking Switzerland is undergoing a far-reaching transformation: clients are becoming more professional, their expectations are becoming more complex, and service models are evolving as a result.

Entrepreneurs, executives and wealthy families want to base their assets in Switzerland so they can access a wide range of services covering multiple jurisdictions. This shift requires firms that can support their clients over the long term by leveraging different kinds of expertise beyond pure wealth management and relying on a global platform that enables them to meet increasingly international needs.

In this competitive environment, being able to combine core values with a high level of expertise is a key differentiating factor. A long-term view, a responsible approach to business and an entrepreneurial mindset continue to play a critical role in meeting the expectations of a discerning clients, whose aspirations are evolving in the wake of the Great Wealth Transfer —the historic transfer of wealth from the baby-boomer generation to subsequent generations.

In Switzerland, close to USD 80 billion are likely to be transferred over the next five years as people enter retirement and companies are sold². The generations set to benefit from these transfers often have different priorities: greater transparency, a growing interest in private assets, sustainability or philanthropy. Consequently, these families are seeking a trusted partner able to support them over the long term, both in structuring their wealth and in passing on their values.

The question of succession brings its own set of changes, opportunities and risks. Four out of five small and medium-sized enterprises (SMEs) in Switzerland are owned by families, and almost half of them plan to pass the company on to the next generation³. For those who do not plan to keep the company within the family, selling the business adds a layer of complexity to the process of transferring wealth to the next generation.

Families adopt a wide range of organisational models to manage their wealth when confronted with these situations. Some prefer a centralised form of support by a trusted partner, while others set up more elaborate governance structures, notably in the form of single-family offices, and others select hybrid solutions combining in-house and external expertise as part of a governance system adapted to their particular situation.

Since 2019 the single-family office segment has developed substantially in Europe and is likely to grow by 58% between now and 2030⁴. Its progress illustrates wealthy families’ shifting expectations and the growing need for more complex, more transparent and more personalised solutions.

An integrated and multi-generational wealth services offering

Clients continue to view Switzerland as a prime location for managing their wealth. However, adapting to these new breeds of clients entails coming up with a genuinely integrated offering: bespoke investment management, tax support, legal and wealth structuring, consideration of family governance, retirement schemes and philanthropic services. The Great Wealth Transfer and the growing internationalisation of families are driving the demand for global, coherent solutions that address challenges  beyond financial performance alone.

As a result of this evolution, private bankers are stepping into new roles. They are no longer merely portfolio managers. They are becoming genuine wealth “conductors”, able to coordinate a whole range of expertise to suit a family's complex needs. In this model, the banker becomes both a trusted partner and project manager. To do this, they need the time, tools and necessary skills to understand the multiple facets of their clients’ situation.

Drawing up tailor-made wealth management plans, incorporating family governance, jurisdiction constraints and succession-related questions, becomes a centrepiece of the relationship. It is no longer enough to simply invest in products. What families need now is a long-term wealth management plan that can be adapted to their individual situations and adjusted as they go through different life phases, and as markets and regulations evolve.

Moreover, families are tending to involve the new generation earlier in their relationship with their bankers. This creates a growing need for training and specific programmes dedicated to the future heirs as well as structured support for the next generations. Teams are thus being created, bringing together senior bankers and younger professionals in multidisciplinary groups that are able to support families over the long term, while protecting their wealth and helping them achieve their goals.

This professionalisation of clients is also reflected in growing demand for solutions based on institutional standards. These solutions need to offer greater transparency, advanced and customised reporting, an open architecture and access to a wide range of specialists, whether for traditional management or alternative investments. The players with real asset management platforms and a track record in private and alternative assets are particularly well placed to rise to the challenge.

A long-term vision for a changing sector

In this context, strategic asset allocation and long-term investments are playing an increasingly important role in wealth management considerations. Many clients who are more informed and more involved in the investment decisions are seeking solutions based on the best institutional practices. Private assets are part of this evolution as they offer diversification opportunities for clients ready to adopt a long-term approach.

The Great Wealth Transfer is both increasing clients' needs and adding greater depth to the service models in the wealth management sector. Clients are looking for stable, trusted partners who are capable of mobilising specialised expertise, providing access to broad networks and thoroughly understanding their challenges.

More than ever, the future of wealth management is no longer based on financial performance alone but on the ability to support families with their increasingly complex needs. As clients become more professional, they are redefining their expectations, as well as the service models and even the role of the private banker.

Meeting these new needs requires a genuine bespoke service. This means being the wealth management anchor point, mobilising expertise that has adapted accordingly and keeping up with clients' changing needs. In view of these developments, French-speaking Switzerland offers some unique advantages. Thanks to its stability, renowned expertise in global banking and its innovative mindset, the region remains an anchor point for families seeking a long-term partner.