29/03/2026

ON SUNDAY March 29, 2026 X theSunday Special

Rethinking legacy More Malaysian families are beginning to structure their assets for future generations

He noted a growing trend: “Insurance was becoming a new asset class in clients’ portfolios.” Beyond that, advisors emphasised stress-testing wealth structures – asking families to imagine worst-case scenarios and assess whether their plans could withstand real-life shocks. Philanthropy, ESG and the future of Malaysian legacies Philanthropy has long been part of Ma laysian culture, whether through zakat, temple donations, clan associations or family foundations. But Chan observed that wealthier families were becoming more intentional. “Philanthropy was an integral part of legacy building,” he highlighted. Many families now use charitable trusts or donor-advised funds to pass down values – not just assets. He added that the firm also encouraged families to incorporate ESG thinking into their LQYHVWPHQW VWUDWHJLHV WR EDODQFH ¿QDQFLDO returns with long-term social impact.

BY DAYANA SOBRI

Wealth is more than just numbers – it is about protecting family values, legacies and aspirations.”

Chu

Family Office Report by BNP Paribas Wealth Management and Campden :HDOWK ZKLFK IRXQG WKDW IDPLO\ Ṙ FHV in the region were maturing fast – trans forming from simple asset custodians into “sophisticated architects of value creation and legacy.” “It’s important for Malaysians to see that building a family office mindset is about stewardship, not status,” he emphasised. Managing risk in a volatile world Between rising inflation, geopolitical uncertainties and volatile markets, Ma laysian families are more aware than ever of the need to protect their assets. Andrew Chan, partner at Lioner International Group, emphasised that GLYHUVL¿FDWLRQ ± ERWK LQ DVVHW FODVVHV DQG jurisdictions – remained essential. “Insurance remained a powerful LQVWUXPHQW IRU OLTXLGLW\ FUHDWLRQ DQG wealth preservation, while trust structures helped ring-fence assets from business or personal liabilities,” he explained.

A CROSS the country – from thriving SMEs in Johor to multigenerational fam ily businesses in Penang and high-earning professionals in Kuala Lumpur – more Malaysians are DVNLQJ GL̇ FXOW TXHVWLRQV DERXW VXFFHV sion, governance and what it truly means to preserve a legacy. This shift is not limited to the ultra-rich. As the middle and upper-middle classes expand, more households now have assets WKDW UHTXLUH ORQJ WHUP SODQQLQJ $ report by Knight Frank projected that the number of Malaysians with at least US$1 million (RM4.16 million) in wealth would DOPRVW GRXEOH IURP RYHU LQ WR PRUH WKDQ E\ ± D FOHDU sign that wealth stewardship is becoming a mainstream concern, not an elite one. For many Malaysians, wealth is tied to hopes for their children, a sense of duty to family and the desire to leave something meaningful behind. “Wealth is more than just numbers – it is about protecting family values, legacies and aspirations,” Leonard Chu, CEO of Lioner Singapore, shared his insights. Many Malaysians still see life insurance as a standalone product – something bought once and left to its own devices. But Chu stressed that this mindset can leave families unprepared for the complexities of real life. He argued that insurance VKRXOG QRW EH D RQH R̆ WUDQVDFWLRQ EXW part of a broader legacy strategy. In Malaysia, most wealth sits not in VWRFNV RU OLTXLG SRUWIROLRV EXW LQ SURS erties, land or family businesses. This creates its own challenges: Assets may be valuable but not easily converted into cash when a family needs to settle debts, pay WD[HV RU HTXDOLVH DQ LQKHULWDQFH “Conventional life insurance becomes WKH OLTXLGLW\ HQJLQH RI OHJDF\ ,W SURYLGHV cash at death, free from probate delays,” Chu said. M HDQZKLOH WUXVW RU IDPLO\ Ṙ FH VWUXF tures bridge the gap between insurance proceeds and long-term governance,

helping prevent wealth dissipation and allowing families to control timing, access and distribution. There are also cases observed in Ma laysia where life insurance is purchased WKURXJK FRUSRUDWH VWUXFWXUHV ± D UHÀHFWLRQ of how deeply interwoven business and IDPLO\ ¿QDQFHV RIWHQ DUH No longer just for the elite To most Malaysians, the phrase “family Ṙ FH´ VWLOO FRQMXUHV LPDJHV RI ELOOLRQDLUHV But that perception is evolving, especially as the government positions Johor’s For est City as a regional wealth-management KXE XQGHU LWV 6LQJOH )DPLO\ 2̇ FH 6)2 incentive scheme. According to Chu, this shift created an opportunity to educate a wider audience. H H UHIHUHQFHG WKH $VLD 3DFL¿F

Philanthropy was an integral part of legacy building.”

Chan

Advice for Malaysians in their 40s and 50s As Malaysia’s population ages and busi ness owners approach retirement, a new generation is initiating serious conversa tions about legacy. Chan’s advice was simple yet profound: “Start early and start with clarity.” He emphasised identifying family SULRULWLHV ¿UVW ± ZKDW WR SURWHFW SUHVHUYH and pass on. He stressed that legacy planning was not a one-time exercise, but “an ongo ing journey.” In the Malaysian context, where businesses, family dynamics and regulations continually evolve, having a long-term advisory partner can provide stability amid change. Malaysia’s wealth landscape is chang ing – faster than many realise. As more households accumulate assets, run busi nesses or invest abroad, the need for structured planning becomes increasingly urgent. F RU 0DOD\VLDQ IDPLOLHV WKH TXHVWLRQ LV no longer “Do we need wealth planning?” but rather “How do we begin?” As Chu and Chan emphasised, the an swer starts not with products or portfolios but with clarity, culture and the desire to build something lasting for the next generation.

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