Families preparing for the transfer of wealth, business ownership, or philanthropic leadership often focus on succession, but wealth advisor Flora Dong argues that a more fundamental stage comes first: determining whether the next generation is ready to participate and what that participation should look like. Dong, founder and managing partner of Ardenwood Advisors, LLC, which does business as Arden Global Family Offices, has spent more than 25 years in wealth management working with multigenerational and international families. Her perspective highlights a growing need for families in Long Beach and across Southern California to navigate complex conversations that blend financial, emotional, and governance considerations.
Dong points out that succession can sound like a single event, but families may have many conversations before reaching that point. Questions arise about what younger family members know, what they want to know, and what responsibilities they are prepared to take on. Those answers may differ for each person. There is no universal age for beginning these discussions, according to Dong. Maturity, interest, family circumstances, and the nature of the information being discussed all influence when and how conversations occur. She distinguishes between helping someone understand the family's broader financial structure and giving that person decision-making responsibility, noting that those steps do not have to happen simultaneously.
For families with businesses, shared assets, or philanthropic entities, the challenge intensifies when siblings have different levels of interest. One may be deeply engaged in the family enterprise, another may have built an unrelated career, and a third may want to stay informed without an active role. Dong cautions against interpreting those differences too quickly, as they do not necessarily reflect how much someone cares about the family. Geographic distance and cross-border legal or tax considerations can further complicate matters for internationally connected families, requiring coordination with appropriate legal and tax professionals.
Dong also separates transparency from responsibility. Providing information does not mean a family member should immediately participate in every decision, and assigning responsibility without sufficient context may create its own problems. She suggests families ask two separate questions: what does this person need to understand, and what is this person currently prepared to be responsible for? The answers may not be identical. This distinction matters most when a family has a business, shared entities, philanthropic activities, or financial interests spanning several generations.
Readiness can change over time, Dong emphasizes. Someone uninterested in family financial discussions at 25 may become more engaged later, while another who initially expected to join the family enterprise may choose a different path. The older generation may also find their own expectations shifting as conversations unfold. The goal is not to force an answer but to understand where each person stands. By focusing on readiness rather than simply succession, families can build a more thoughtful, individualized approach to involving the next generation.
