"Patrimonio literally means “the duty of the father towards the things he owns”, which is why managing it is so dear to people."

Can you tell us about the structure of the Wealth Management department at your firm?

We co-head the department, which is made up of four partners and six associates with thorough, in-depth understanding and consolidated experience. Marco is an accountant and auditor, particularly focused on tax matters; Giovanni’s in-depth experience sees him regularly deal with the different areas of civil and commercial law. Alongside our team we offer clients all-round assistance on asset protection and development, extraordinary transactions, generational handover and litigation.

What kind of services do your clients benefit from?

We combine focused tools with the classical generational handover instruments to better satisfy our clients’ needs. With a balanced and flexible approach tailored to the client’s specific needs, we assist them in adopting the instruments to fully achieve their purposes and goals, including analysis of their direct and indirect taxation, through, among other things: structuring and drafting of wills and donations, the creation of national or cross-border foundations, capital and real estate funds, the planning of insurance policies, the implementation of family pacts (‘patti di famiglia’) and constitutions, corporate reorganizations, business restructuring, operations of  development capital, leveraged buyout and family buyout transactions. We also assist in the planning, implementation and execution of fiduciary mandates, the set up, management and execution of trusts and of other instruments for the protection and management of wealth, assets and art collections. Moreover, we advise on capital transactions and corporate governance and compliance reorganizations, creation of holdings, including family holdings, and the management of control groups together with the planning of the tax profiles of the related corporate structures.

We offer to our clients an all-round assistance on asset protection and development, extraordinary transactions, generational handover and litigation.

What characteristics distinguish Pavia e Ansaldo’s offer?

Our wealth management and asset protection and development expertise is fine-tuned through the continuous search for the best solutions to meet the client’s targets, granting prompt responses to safeguard our clients’ asset and their business decisions. We pay particular attention to the national and supranational tax planning of family assets, their ownership and transfer, privileging the solutions that best suit each specific case. We regularly adopt the so-called “four-eyes principle”, to ensure the client gets the best possible advice: all our activities are checked at least by one of the partners before final approval.

Moreover, synergies with other professionals at the firm allows the department to cover the client’s every need in such a delicate task as the management and protection of their assets. The clients who entrust their interests to Pavia e Ansaldo’s advice receive complete and customized assistance, with particular attention also paid to the human aspect of this engagement since, in most cases, the management and protection our clients’ seek goes hand-in-hand with a desire to ensure their loved ones are provided for.

What kind of clients normally seek out your firm?

We regularly provide highly specialized spot or continuous assistance to asset owners, entrepreneurs and companies, related both to asset protection and generational handover. We also assist Italian and foreign clients, high and ultra-high net worth individuals, banks, trust companies, arrangers, investors, private equity funds, and leading companies in their domestic and international activities, providing them with the qualified support they need to finalize transactions of all types.

Why do you think wealth management has a specific importance for individuals?

The Italian language is a rich source of inspiration. In Italy, the wealth of an individual is called “patrimonio”. It is a term deriving from two latin words: pater, that means father, and munus, that has two meanings. The first meaning of munus is “duty”, the second one is “assets”. Basically, “patrimonio” means “the duty of a father in relation to the things he owns”. We think that no more words are needed to explain why wealth management has such importance for individuals: the idea of ownership cherished by everyone. In our experience, beyond the material need of transmission to relatives, or of an egoist–c - or altruist–c - use of one’s assets, wealth management is often a way for the client to leave their mark in the world.

We expect the legislator (and the Courts) to pay even more attention to “wealth need” in the next years, with the recognition and regulation of the structures currently used under cross-border laws.

What common difficulties do people usually encounter by not planning ahead financially?

Assets’ planning and segregation have many vantages. Often, the first thing our private clients are worried about is aging. The typical question is: which problem could I face if my health deteriorates in old age? Setting up a plan for personal finances once over 65 is always advisable. Often, for high-net-worth individuals, this simply involves setting up a trust, so that a trustee ring-fences assets and uses them for the needs of the old age. Moreover, it is a way to avoid inheritance disputes among children and their relatives once succession occurs. It is well-known that inheritance disputes are often rough, long and very expensive. We think that no one wishes their heirs or relatives face such disputes, or have to use their assets to pay lawyers’ fees!

What aspects of wealth management do you see evolving in the next couple of years?

In Italy, the wealth management market underwent a huge evolution during the past 30 years. Before the 90s, Italian people used to write a will, or let the law regulate their inheritance. Only the few, richest, Italian families used to plan their finances. It was a fact of Italian tradition and typical culture: just accumulation and transmission to heirs. However, the extension of the average lifespan progressively developed a thoughtful attention to the personal needs. Besides, when the first private banks opened their Italian branches, they brought with them a new culture and the idea of segregation and planning of the wealth started to take hold. The legislator acknowledged such a new culture and started to adopt some modifications to the traditional rules on the “wealth” matters. Trusts were recognized in early 90s, the institution of “patti di famiglia” was allowed under law in 2006, several tax facilities and benefits have been provided for along the years also in relation to finance planning instruments. We expect the legislator (and the courts) to pay even more attention to “wealth need” in the coming years, with the recognition and regulation of the structures currently used under cross-border laws (primarily: certain kind of funds, trusts and private foundations).