Center for Family Legacy | January 2025 Strengthening the family bond

One of the cornerstones of successful multigenerational wealth transfer is family cohesiveness. Why? The stronger connection that results from a family’s work in this area ultimately leads to more effective stewardship of their family legacy. Most important to increasing cohesiveness is a family’s efforts to explore, embrace, and bond around their shared values. Family cohesiveness is a key element in the 16-year 120-family study conducted by the Truist Wealth Center for Family Legacy.

The findings in the research study, Bridging beliefs and behaviors: Key insights into effective wealth transfer across generations, show that study participants’ perceived importance of shared values has increased over time. Yet many families are not as engaged or cohesive as they could be or should be. How can your family be more engaged and bonded? Truist Wealth specialists discuss several best practices and the research findings that reinforce those practices’ value.

Preserving your family’s story is one of the best ways to foster cohesion across generations. A shared narrative is vital to a sustained bond. “Storytelling is central to how we think about sharing family history and culture,” says David Herritt, head of the Truist Wealth Center for Family Legacy. “The further next-gen family members get from the generation that created the wealth, the harder it is for them to connect back to it.”

The solution? A deliberate approach to capturing and sharing family stories. Families document their shared histories in many ways. Some are very formal, using videographers or writing books, while others take a more informal approach, using notes and in-person family interviews. “There’s usually one member who naturally takes on the role of family historian,” says Silke Shilling, senior governance associate. Emory University research indicates that children who know their family stories, such as how their grandparents met or overcame early challenges, tend to feel more connected to the family as a whole.

“Family history work can and should be a multigenerational project,” says Carolann Grieve, managing director of family governance. Encouraging younger family members to interview their grandparents and elders offers them a first-hand understanding of family history. “It’s a great way to build resilience and connect younger members to the larger family narrative,” Grieve says. This process begins to familiarize the next generation with family governance, enabling them to start learning about the family’s values and purpose from an early age.

“As the families share their family stories and honor the accomplishments of their predecessors, it’s important for them to understand that every day, they are adding to the story of their family through what they are doing in their own lives,” says Daisy Medici, managing director of governance and education. This reminder matters because the success of previous generations can sometimes weigh heavily on younger family members. They may feel they couldn’t possibly live up to the achievements of their parents and grandparents. “Each person has an opportunity to leave their mark as a valued contributor to the family legacy,” Medici notes. “And there are many ways this can be accomplished.”

Throughout their experience working with families, the Truist Wealth Center for Family Legacy found that families who regularly share stories of their history and culture across generations experience a stronger family identity and alignment of values. While 95% of respondents agreed this was an important practice, over the 16 years in the research study, engagement rates hovered between 60% and 64%, indicating a continued opportunity gap. The Center for Family Legacy offers guidance and resources for families who want to document their history in self-led and professional services.

Values influence everything from choosing friends and careers to where to live and how to give back. “Values are foundational to how families work together and how they transition these principles across generations,” says Herritt. They are central to family cohesion and become especially crucial as families grow and diversify. Herritt explains that he and the team of specialists at the Center for Family Legacy use a proprietary process to help families identify individual and shared values.

For many families, the concept of a family mission statement is foreign territory. The Center for Family Legacy team facilitates a discovery process to help families craft their mission statements. “Following their shared values work, we capture their thoughts around their purpose and mission and guide them through a wordsmithing process until each word resonates with who they are as a family,” Medici says. The result is a mission statement that reflects their collective identity and ambitions.

Once they’ve finished their mission statement, families are proud of their work and feel even more closely aligned as a family and excited about their future. A mission statement is not just words on a page that will never be referenced again. Instead, it’s the true north for a family and an especially beneficial tool for families facing the complexities of wealth. It reinforces the responsibilities that come with financial resources, helping to mitigate risks such as entitlement, financial dependency, or family entropy.

Grieve names some ways she’s seen families use their mission statement. “Some families display it at every family meeting or add it to agendas to reflect on how they’re living up to it,” she notes. They may have it framed at home, in the office, or in another location where the family gathers. Mission statements can guide decisions about family businesses, family philanthropy and giving, and many other areas of wealth stewardship.

A well-crafted and intentional mission statement brings peace of mind, particularly for the older generations who want assurance that the family’s future aligns with their vision.

Understanding family dynamics is at the foundation of improving communication. “We help educate families to understand that in relationships, the only person you can truly change is yourself,” Medici says. This principle encourages family members to focus on self-awareness, understand how their behavior impacts others, and adjust those behaviors to foster positive interactions.

The Truist Wealth Center for Family Legacy team uses various educational tools, like the Myers-Briggs Type Indicator (MBTI), to help family members understand each other’s communication styles and preferences. The facilitators and other team members also organize team-building exercises like escape rooms, scavenger hunts, and strategy games to foster even better communication and collaboration. “These activities are designed to help family members work through challenges and build trust in a fun, low-stakes environment,” Herritt says. Ideally, they’ll take those experiences and apply them to real-world decisions in the family.

Mental, physical, and spiritual well-being has become a top priority for many families. “In our assessments, well-being consistently ranks high, reflecting the importance families place on the health and happiness of their members,” Medici says. Engagement in practices supporting family well-being has increased by 15% as families place greater importance on mental, physical, and financial health.

At a recent conference of family office professionals, Herritt observed that some colleagues talked about client families appointing “family well-being officers” to oversee members’ health needs. “The well-being officers’ role can range from ensuring regular health checkups to arranging medical transport in emergencies,” Herritt explains. This dedicated role underscores how seriously families take their commitment to well-being, reflecting a proactive approach to handling health crises and ensuring each member has the support they need.

Openness can promote more support for family well-being. Topics previously considered unmentionable are now receiving attention. “Mental health, once stigmatized, is now recognized as a crucial part of a healthy family system,” Herritt says. “Families are more comfortable discussing mental health openly, ensuring that members receive the support they need. It’s recognized now that a family’s wealth is only as valuable as the well-being of its members.”