The rich are indeed getting much richer, thanks to a bull stock market, but their children won't necessarily reap the rewards.
According to the Capgemini/RBC Wealth Management World Wealth Report, global wealth among those with at least $1 million in investable assets is forecast to grow 22 percent from 2013 to 2016 and reach a new high of $64.3 trillion.
The fear of creating lazy rich kids
With the explosion in wealth, experts are buzzing about a huge transfer of fortunes in the next 20 years. While children of the rich certainly will benefit, many parents fear they'll instill laziness in their children if they give them too much money. That's led many to pledge a large chunk of their fortunes to charity.
Sting, former lead singer of Police, is the latest celebrity to publicly say his six children will have to do as he did and earn their own living.
In an interview with the Daily Mail, the 62-year-old said he expects to spend most of his fortune as an employer to the approximately 100 people on his payroll. But even if there were a pile of cash, it wouldn't go to the kids.
"I certainly don't want to leave them trust funds that are albatrosses round their necks," he said.
Allow them to succeed on their own merit
Sting joins a list of self-made celebrities and businessmen, including billionaire investor Warren Buffett, Microsoft founder Bill Gates and Chef Nigella Lawson, who have prepared their kids for the fact that they won't inherit much beyond a work ethic.
The preparation is the key. Springing the fact on a child who has expected to inherit doesn't do him or her any favors.
As Sting said: "They have to work. All my kids know that and they rarely ask me for anything, which I really respect and appreciate. Obviously, if they were in trouble, I would help them," he added, "but I've never really had to do that. They have the work ethic that makes them want to succeed on their own merit."
Meet eight rich tycoons who won't leave their wealth to their kids.
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