According to Cerulli Associates, the United States alone is prepared to see a staggering $84 trillion in assets change hands, making this the largest intergenerational wealth transfer in history. As over 70 million baby boomers get ready to transfer their money to ensure the future prosperity of succeeding generations, this enormous transfer includes cash savings, real estate holdings, personal property, stocks, and works of art.
But because of the old, complicated, and difficult present estate transfer procedure, this shift won’t be easy. Without providing a full answer, it requires a blend of analogue and digital duties, forcing family members to find many web passwords and frequently requiring the engagement of CPAs, trust administrators, and attorneys.
The newest frictionless wealth transfer platform globally, Alix, is about to revolutionize this process. By combining empathic AI with professional live support, Alix hopes to help clients at every level of the estate settlement procedure.
Alix recently revealed the successful conclusion of a $5.5 million initial round of fundraising that was oversubscribed. Initialized Capital of San Francisco, along with Magnify, Scribble, American Family Ventures, and Alumni Ventures, led the investment. Alix has already signed up paying customers and developed business relationships with funeral homes and life insurance providers in less than six months.
A Kindness-Based Wealth Transfer Approach
Alix provides every family with the tools necessary to compound wealth through generations, starting with estate settlement, as stressed by Jen Wolf, Managing Partner at Initialized Capital, which led the seed round. The thing I value most about Alix is how it not only modernizes and simplifies the complex task of wealth transfer, but also does so compassionately at a moment when you most need it.
Alexandra Mysoor, co-founder and CEO of Alix, said in an exclusive interview that the money will allow the business to attract top personnel, grow its technological platform, and speed relationships. Mysoor, a multi-national business veteran, is also a member of Security National Financial Corporation’s board of directors.
To co-found Alix, Mysoor teamed up with seasoned fintech expert Hugh Tamassia, the former CTO of JP Morgan Chase and Acorns. Tamassia emphasizes the significance of passing wealth down through the generations, calling it one of the most important financial wellness initiatives families will ever engage on. In the event that they don’t even know where to begin, he observes that this process is frequently time-consuming and difficult.
Reforming a Failed System
Only one-third of Americans do any estate planning, and even then, it doesn’t always lead to a simple resolution. According to data by Estate Exec, even a straightforward estate, such inheriting a small home, can take the average American tens of thousands of dollars, close to 600 hours, and 16 months to settle. This process, at best, proves to be a substantial time and cost strain; at worst, it may cause family members to become estranged.
“Most people who have a trust or will in place think that there is a magical button that will transfer their assets to the next generation upon their deaths,” Mysoor observes. Because it does not exist, Alix enters the picture. When you pass away, your loved ones will have to use the dusty plastic binder that modern trusts live in as a digital version of paper maps. At Alix, we’re developing a real magic button that will let family members transfer estates to one another without any hassle.
Alix is not an estate planning company, just to be clear. Instead, the platform focuses on modernizing estate settlement, a field with a lot of untapped potential. Because of its intricacy and the strong human emotions involved, no one has had the audacity to tackle estate settlement up until this point, according to Mysoor. “We are here to change everything,”
Humans First, AI Support
The AI-powered Alix platform is complemented by a skilled human workforce and estate-settlement experts. It is an easy-to-use tool created to completely automate, expedite, and simplify the estate settlement process. Regardless of when or where they begin, users are guided through estate settlement using Alix’s platform in conjunction with human-powered concierge services.
Mysoor and Tamassia stress an approach to AI and technology that puts people first. With Alix, they hope to address the issue of “Can AI be used for good in the right hands?” Alix’s inventions, which combine human touch and empathic design, are made to help families in a delicate situation right after a loved one passes away.
“After seeing family friends go through the stress of settling their parents’ estates in 2022, Mysoor was motivated to co-found Alix. We wanted to provide regular folks a more positive experience during a trying moment in their life, she explains. “Alix’s goal is to promote wealth transfer between generations.” To address a fundamental human issue, we are combining AI with human intervention.
The goal of Alix’s strategy is to significantly reduce the burden that comes with handling a loved one’s estate so that families can once again concentrate on what’s most important—their relationships. In line with Mysoor’s statement, “We are excited to continue growing the world’s first empathetic, family-centric AI-driven financial services company.”
In a world where technology is constantly changing the financial environment, Alix stands out as an innovator, utilizing AI to pave the way for the enormous asset transfers that are still to come.