Lombard Odier: MidEast Succession Planning is Lagging
While wealth is booming in the Gulf, very few of the family businesses in the region have sufficient succession plans, according to a survey by Lombard Odier.
Fewer than one-fifth (18 percent) of family businesses in the Gulf region have a comprehensive succession plan in place, according to a study by Lombard Odier.
Difficulty reaching agreement (45 percent), limited access to expert guidance (43 percent) and tensions between traditional expectations and modern leadership approaches (41 percent) were cited as top challenges. What’s more, 49 percent of high net worth (HNW) families continue to postpone the process.
79 percent of next generation respondents also stated their intention to change from their parents’ wealth advisor.
NextGen Optimism
Nonetheless, families are optimistic about their successors. 96 percent of respondents from the older generation and 93 percent of the younger generation expressed confidence in the next generation’s ability to take on leadership. Women are also playing a more active role with one in three families including females in senior leadership. Strong benefits were reported across innovation (58 percent), governance (45 percent), and generational collaboration (45 percent).
«In this region, private wealth is growing rapidly. The question is no longer whether the next generation is ready, but whether we are doing enough to prepare them. That means moving beyond just protecting assets. It is about preserving purpose, values and relationships,» said Ali Janoudi, head of new markets at Lombard Odier.
This study is based on the views of 300 HNW individuals residing in the UAE, Saudi Arabia, Qatar, Kuwait and Bahrain with a minimum of $1 million in investable assets, including those from family businesses and those without such ties. The survey was conducted online by CoreData Research in February and March 2025.
