The Fiduciary Case for Facilitating Family Lending

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If informal family loans are happening anyway, helping structure them is squarely in the client's interest.

Clients lend to their children with or without their advisor's involvement. When it happens off the radar - an untracked wire, a handshake - it introduces tax risk, family conflict, and assets leaving the managed relationship. Ignoring it is not neutral.

Bringing that lending onto a structured platform is a fiduciary-aligned service: it protects the client from avoidable tax exposure, documents the arrangement, and keeps capital within the household. It is a rare case where the right thing for the client is also the right thing for the practice.