Zurich — UBS, in its Global Wealth Report 2025, has warned that governments are likely to tap into the “Great Wealth Transfer” valued at more than US$80 trillion to address rising national debt. The report describes this generational handover of assets, primarily from Baby Boomers to their heirs, as one of the largest financial shifts in modern history.
According to UBS, approximately US$83 trillion will change hands over the next two decades, with the United States accounting for the largest share through property, equities, and family businesses. While this transfer represents a major opportunity for millions of households, it also presents governments with a fiscal lever: inheritance taxation and wealth redistribution could be used to stabilize public finances.
The warning comes at a time when global debt has surpassed US$110 trillion, with advanced economies such as the United States, Japan, and Italy facing unsustainable debt ratios. UBS suggests that policymakers may increasingly look to the wealth transfer as a means of balancing budgets and reducing deficits.
Beyond fiscal implications, the report highlights the social dimension of the transfer. Women and younger generations are expected to be the primary beneficiaries, particularly in the U.S., where inheritance increasingly involves ownership of stocks and private enterprises. This demographic shift could reshape economic participation and influence wealth management trends worldwide.
UBS emphasizes that the Great Wealth Transfer is not merely about inheritance, but about policy, taxation, and global economic stability. If governments act on this opportunity, the trajectory of fiscal policy and wealth distribution could be significantly altered, with long‑term consequences for both public debt management and private wealth planning.
