What does the new, new world look like for you? Key takeaways from the Global Elite dinner in Newport Beach, USA.

The private client community is categorised and defined by change in 2019; but what are the pros and cons to adapting to the “new norm” of change?

On the 26th March 2019 at Pelican Hill, Newport Beach, the Global Elite brought together 15 of the world's leading private client litigators and planners to discuss their strategies in overcoming increased compliance and competition, the impact of Generation Y and the skillset required in maneuvering technology.

Due to the timing of the dinner, a significant part of the discussion focused on the impact of politics, primarily that of Brexit. Will London private client lawyers stay unscathed and potentially benefit from increased litigation on enforcement of orders, for instance? Or will it become a less attractive jurisdiction to overseas clients? The general feeling was that whatever the outcome of Brexit, London- as a key financial centre, will continue to attract wealthy clients from all over the world who will bring with them complex and interesting cases, with colourful backdrops.

Many of those present at the dinner then turned to the overwhelming need to give clients what they need – reliable, predictable and simple advice – regardless of the enhanced regulatory and compliance demands in 2019. The group spoke of the fact that quality clients are understanding and willing to work with the private client community on these unpredictable matters, but were certain that the regulatory and compliance impact is increasing the cost to all clients and slowing the pace of business. The only exception to this seems to be the jurisdiction of the USA, which is perhaps the only developed country whose leader has pledged to reduce regulation.

The conversation then turned to the impact of staying connected to clients and remaining relevant in new ways, particularly for Generation Y. Many participants spoke of communicating with their clients via channels such as Whatsapp, and the need to preserve professionalism and detail against this backdrop of informality. Additionally, as Artificial Intelligence will soon take over in more transactional fields of law (and to some extent matrimonial law with the introduction of online divorce), building longstanding client relationships with the matriarchs, patriarchs and next generation is key. You must seek to be the confidante and lynchpin in their lives, with the voice of longevity, sense and practicality in an increasingly throw away world. Additionally, developing enduring relationships with referrers is equally important, given the need to keep replenishing and generating work.

In the same vein, the private client community turned their attention to the impact of Generation Y inside their own firms. As a nomadic workforce, how do you go about retaining good staff? Generation Y seemingly do not want partnership and do not want to stay long in each role – they want to live an alternative life, with flexibility and a great work/life balance. Private client advice cannot be given from a 'general practitioner,' so how can we make our workplaces more modern, forward thinking and inspire them to stay? How can we remove the silos we all know so well? Whilst there was not a definite answer to this, everyone was in agreement that collectively firms needed to focus on this as a priority.

Lastly, an ever present risk for the private client community is the alternative competition, who are becoming increasingly savvy in creating offshoots of firms which operate cost efficiently. The community needs to change and adapt from the norm to attract the newer, forward thinking clients. Alternatively, on the other side of the fence are those law firms who attract the more traditional clientele, who have successfully (but silently) built up their private client practice over the past 10 years and have been immune to the increased reporting and scrutiny to keep their flourishing businesses private. From both sides of the fence, the community needs to be wary of their competitors and stay up to date with developments, so that they do not find themselves lagging behind.

Private Client Global Elite members mark their first discussion in Newport Beach, USA

If you are interested in becoming a member of the Global Elite and taking advantage of our 25+ global dinner discussions, please contact Angela Moran at [email protected].