Charles Schwab High Net Worth Client Pulse Survey Finds Affluent Investors Are Continuing to Gift Their Assets Despite Economic Uncertainty
WESTLAKE, Texas--(BUSINESS WIRE)--May 28, 2025--
Despite a backdrop of market volatility and economic uncertainty during the first half of 2025, High Net Worth (HNW) retail investors are continuing to gift their assets, according to the latest Schwab HNW Client Pulse Survey.
Half (51%) of HNW Schwab retail clients, defined as those with at least $1 million in assets at Schwab, plan to gift some amount of their wealth this year. Among those gifting, 25% plan to increase the amount of their gifts this year as compared to last year, and only 7% plan to give less.
This continued momentum in wealth transfer reflects the confidence among HNW clients that their financial plans are resilient amid market volatility and uncertainty. While a majority (59%) of HNW clients surveyed describe their market outlook as bearish, over half of those with bearish sentiment feel confident they have a plan in place to withstand any potential market correction. In fact, 67% of HNW clients overall remain confident in their decision-making.
Looking forward, 57% of HNW Schwab clients surveyed plan to gift some of their assets in the next five years, and three-quarters (74%) plan to do so over the course of their lifetime.
'HNW investors may be cautious about the markets, but they're still acting with intention and making decisions that align with their long-term goals, whether that means giving now or planning to transfer wealth over time,' said Susan Hirshman, Director of Wealth Management for Schwab Wealth Advisory and Schwab Center for Financial Research. 'Confidence doesn't always mean optimism about the market, but it does mean having clarity in your strategy and financial plan, and the discipline to follow it.'
The Who, How and Why of Gifting
Among HNW investors surveyed who are making gifts in 2025, most are focused on supporting their immediate families. The vast majority (84%) say they plan to give assets to their children, with 91% of those gifts intended for children over the age of 18. Half (50%) say they've already had—or plan to have—conversations with their children about the gifts.
While cash remains the most common form of giving, nearly one in four HNW clients plan to transfer investments, highlighting the use of appreciated assets as part of tax and estate planning to reduce capital gains and estate taxes.
Even with tax efficiency in mind, gifting is driven by more than financial optimization. The top motivations cited by HNW clients include general financial support for family (66%), estate and tax planning (34%), and funding for education (30%). Additionally, 21% aim to help with significant life milestones, such as a wedding, home purchase, or starting a business.
'Gifting is about more than passing down wealth—it's about passing down purpose,' said Hirshman. 'Yes, tax and estate strategies are important, but the conversations around gifting often center on values, legacy, and preparing the next generation to be thoughtful stewards of what they receive.'
About the Midyear 2025 HNW Pulse Survey by Charles Schwab
The Schwab HNW Client Pulse Survey explores the outlooks, expectations, investing patterns and points of view of clients at Charles Schwab who have more than $1M in investable assets. The study included 183 HNW clients at Charles Schwab and was fielded from April 1 – 14, 2025.
About Charles Schwab
At Charles Schwab, we believe in the power of investing to help individuals create a better tomorrow. We have a history of challenging the status quo in our industry, innovating in ways that benefit investors and the advisors and employers who serve them, and championing our clients' goals with passion and integrity.
More information is available at aboutschwab.com. Follow us on X, Facebook, YouTube, and LinkedIn.
Disclosures
The information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. All expressions of opinion are subject to changes without notice in reaction to shifting market, economic, and geopolitical conditions.
Data herein is obtained from what are considered reliable sources; however, its accuracy, completeness, or reliability cannot be guaranteed. Supporting documentation for any claims or statistical information is available upon request.
Investing involves risk, including loss of principal.
(0525-ZUE3)
View source version on businesswire.com:https://www.businesswire.com/news/home/20250528516370/en/
CONTACT: Hibah Shariff
Charles Schwab
415-667-0507
[email protected]
KEYWORD: TEXAS UNITED STATES NORTH AMERICA
INDUSTRY KEYWORD: FINANCE BANKING PROFESSIONAL SERVICES ASSET MANAGEMENT FINTECH
SOURCE: The Charles Schwab Corporation
Copyright Business Wire 2025.
PUB: 05/28/2025 11:36 AM/DISC: 05/28/2025 11:35 AM
http://www.businesswire.com/news/home/20250528516370/en
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
an hour ago
- Yahoo
Can You Guess What Single Asset Makes Up 30% Of The Average American's Portfolio? It's Not a 401(k)
When most people imagine the average American's wealth, they picture 401(k)s, mutual funds, maybe a pile of cash stashed in a bank account. But if you dig into the data, it turns out the biggest piece of the pie is something you drive by every day: a house. According to the Federal Reserve's 2022 Survey of Consumer Finances — the most recent data available — primary residences make up 30% of the average American household's total net worth. That's right. The roof over your head often holds more weight in a family's finances than any stock ticker ever could. The report, which surveys thousands of households across income brackets and age groups every three years, gives a unique look into what the typical American portfolio really looks like. Don't Miss: Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing — Peter Thiel turned $1,700 into $5 billion—now accredited investors are eyeing this software company with similar breakout potential. Learn how you can Here's how the rest of it breaks down: Retirement accounts like 401(k)s and IRAs come next, accounting for 25% of household wealth. It's the kind of savings most people don't touch until they're older, but for many, it's their biggest long-term bet. Public equities and mutual funds make up 15% of net worth. These are the traditional stock market investments — the kind you'd expect to see topping the list. But for most households, it's just a slice of the pie, not the main course. Private business ownership or equity stakes account for 12%, though this is more common among wealthier households and small business owners. It's a high-risk, high-reward category — one that can heavily tilt net worth upward or downward depending on success. Trending: Maximize saving for your retirement and cut down on taxes: . Other real estate, including rental properties and vacation homes, makes up 10%. Not everyone is in the landlord game, but those who are tend to diversify here. Cash and deposits — the checking, savings, and emergency funds — only make up 5% of household wealth on average. It's enough to pay bills, but hardly the driver of long-term financial growth. And finally, "other" assets like vehicles, collectibles, and miscellaneous valuables total just 3%. While they might feel like assets in the garage or attic, they don't move the needle much on paper. So why does this matter? Because the way wealth is held in America isn't just about the number in your retirement account — it's about where your money lives. And for most households, that's still in real estate. It's a reminder that while investing is important, owning a home is still the biggest building block of wealth for everyday Americans. Read Next: Invest early in CancerVax's breakthrough tech aiming to disrupt a $231B market. Image: Shutterstock Up Next: Transform your trading with Benzinga Edge's one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today's competitive market. Get the latest stock analysis from Benzinga? APPLE (AAPL): Free Stock Analysis Report TESLA (TSLA): Free Stock Analysis Report This article Can You Guess What Single Asset Makes Up 30% Of The Average American's Portfolio? It's Not a 401(k) originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved.
Yahoo
2 hours ago
- Yahoo
Can You Guess What Single Asset Makes Up 30% Of The Average American's Portfolio? It's Not a 401(k)
When most people imagine the average American's wealth, they picture 401(k)s, mutual funds, maybe a pile of cash stashed in a bank account. But if you dig into the data, it turns out the biggest piece of the pie is something you drive by every day: a house. According to the Federal Reserve's 2022 Survey of Consumer Finances — the most recent data available — primary residences make up 30% of the average American household's total net worth. That's right. The roof over your head often holds more weight in a family's finances than any stock ticker ever could. The report, which surveys thousands of households across income brackets and age groups every three years, gives a unique look into what the typical American portfolio really looks like. Don't Miss: Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing — Peter Thiel turned $1,700 into $5 billion—now accredited investors are eyeing this software company with similar breakout potential. Learn how you can Here's how the rest of it breaks down: Retirement accounts like 401(k)s and IRAs come next, accounting for 25% of household wealth. It's the kind of savings most people don't touch until they're older, but for many, it's their biggest long-term bet. Public equities and mutual funds make up 15% of net worth. These are the traditional stock market investments — the kind you'd expect to see topping the list. But for most households, it's just a slice of the pie, not the main course. Private business ownership or equity stakes account for 12%, though this is more common among wealthier households and small business owners. It's a high-risk, high-reward category — one that can heavily tilt net worth upward or downward depending on success. Trending: Maximize saving for your retirement and cut down on taxes: . Other real estate, including rental properties and vacation homes, makes up 10%. Not everyone is in the landlord game, but those who are tend to diversify here. Cash and deposits — the checking, savings, and emergency funds — only make up 5% of household wealth on average. It's enough to pay bills, but hardly the driver of long-term financial growth. And finally, "other" assets like vehicles, collectibles, and miscellaneous valuables total just 3%. While they might feel like assets in the garage or attic, they don't move the needle much on paper. So why does this matter? Because the way wealth is held in America isn't just about the number in your retirement account — it's about where your money lives. And for most households, that's still in real estate. It's a reminder that while investing is important, owning a home is still the biggest building block of wealth for everyday Americans. Read Next: Invest early in CancerVax's breakthrough tech aiming to disrupt a $231B market. Image: Shutterstock Up Next: Transform your trading with Benzinga Edge's one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today's competitive market. Get the latest stock analysis from Benzinga? APPLE (AAPL): Free Stock Analysis Report TESLA (TSLA): Free Stock Analysis Report This article Can You Guess What Single Asset Makes Up 30% Of The Average American's Portfolio? It's Not a 401(k) originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Forbes
8 hours ago
- Forbes
Making Money Matter More: The Power Of A 'Massively Transformative Purpose'
Net worth is easy to measure. But what makes it worthwhile? What justifies the effort, investment, or sacrifice required to pursue financial success? And how is that—financial success—even defined in the first place? And then, once you've reached whatever definition of financial success you've determined, what gives your wealth meaning? (A question worth considering) Redefining Financial Success We've long been taught to measure financial success with numbers: net worth, portfolio returns, retirement dates, income generated, gifts granted, taxes paid and avoided, inheritance left behind. Yet one could check every box—and still feel unfulfilled. In fact, many people go to great lengths to achieve supposed financial success—but at the expense of their time, influence, health, and relationships. This all-too-common phenomenon begs the question: What's it really worth? This nagging question is one that has plagued my firm since its inception, nearly 30 years ago. And it's why we coined our own term—Net Worthwhile®—designed to remind us and our clients that our pursuit is not solely numerical…that a mountain of wealth can be worthless without purpose while bringing meaning to money can empower families, both personally and financially. Behavioral Science Meets Financial Planning Here, we're taking concepts rooted in behavioral science, like Self-Determination Theory (SDT)—which suggests that identifying with a purpose enhances intrinsic motivation, boosting persistence, engagement, and performance when tasks align with personal values—and extrapolating it to wealth management. Others have done the same in other fields. For example, building on Jim Collins' BHAG concept (Big Hairy Audacious Goal), Peter Diamandis and Salim Ismail introduced us to the concept of the Massively Transformative Purpose (MTP) in their ode to entrepreneurs in their book, Exponential Organizations. What's A Massively Transformative Purpose? Hyperbolic by design, a Massively Transformative Purpose for a business is a clear, aspirational statement that articulates an organization's deeply held purpose to create meaningful, large-scale impact. 'It establishes a long-term goal for the company so sweeping and profound that it is always within reach yet always unreachable,' Ismail suggests. 'It inspires employees and customers. And it galvanizes employee morale and retention.' For example, at my company, we review our version of an MTP with the entire firm every quarter: 'We are going to impact the lives of 10,000 families by 2030 because financially healthy families and individuals change the world.' This infuses our collective efforts with a purpose well beyond profit, while providing a standard against which all of our individual initiatives and decisions can be gauged. What's Your Net Worthwhile®? The concept of Net Worthwhile®, therefore, can be used to help those families we impact with a similar plumbline for their financial planning. Net Worthwhile® helps bring money to life (and life to money) in three key ways: At its simplest, your Net Worthwhile® is the completion of this sentence: For the relationally oriented, Net Worthwhile® serves as a family financial mission statement. For the practically minded, it becomes a clear set of marching orders from client to advisor. For the analytical, it provides the standard by which goals and next actions in the plan are evaluated. And for the experimental, it may serve as a catalyst to expand what's typically considered possible in financial planning. For some, Net Worthwhile® serves as a phrase or sentence. For others, a paragraph or bullet points or even pictures. Its effectiveness is judged not by its articulation but by its power to activate and motivate. So, what's yours? What's the Massively Transformative Purpose that gets you up in the morning, that inspires you to push through when you face resistance, that gives you clarity in the midst of confusion, that brings meaning to money? What's your Net Worthwhile®?
