Top execs say the $124 trillion Great Wealth Transfer, women entrepreneurs, and veterans are poised to remake the financial landscape

The financial landscape is undergoing a transformative shift, with prominent executives highlighting the pivotal roles of the Great Wealth Transfer, a new generation of entrepreneurs, and veterans.

During Fortune's 26th annual Most Powerful Women conference in Santa Barbara, Beth Meagher, the U.S. federal health sector leader at Deloitte, emphasized the significant influence women will have in determining how wealth is allocated and invested. According to Cerulli Associates, approximately $124 trillion is expected to be transferred by 2048, with projections indicating that $54 trillion will be directed to women, $52 trillion to children, and $18 trillion to charitable organizations. Additionally, women entrepreneurs are emerging as one of the fastest-growing sources of wealth accumulation, showing an increase of more than 125% over the past decade. Furthermore, women veterans are gaining traction in this area, having achieved nearly 300% growth in just a couple of years, as noted by the Deloitte executive.

"These trends are changing everything," Meagher stated in a conversation with Fortune's executive editorial director, Diane Brady. "While we often focus on frontier models and geopolitical issues, this shift presents us with a tremendous opportunity to take a leadership role."

Seema Hingorani, managing director and senior client advisor at Morgan Stanley, recognized this trend over a decade ago. While working at the New York City Pension Fund in the early 2010s, she observed a concerning pattern: despite being approached by numerous asset managers, very few had women on their investment teams. These firms attributed the lack of representation to a "pipeline issue," but Hingorani found this explanation unsatisfactory. Consequently, she founded the nonprofit organization Girls Who Invest to encourage more women to enter the finance industry; since its inception in 2011, the program has benefited approximately 5,000 college women, receiving around 4,000 applications each year and supporting 700 women annually.

In addition, Hingorani pointed out that Morgan Stanley has operated an incubator for the past seven years focused on investing in women-led tech startups. As these businesses scale to billion-dollar valuations and achieve significant success, there will be an increasing demand for women advisors to influence critical decision-making.

"[Women are] poised to possess substantial wealth," Hingorani remarked. "[For] those women—you all—would you prefer a male financial advisor or a female financial advisor if given the choice? Many firms are recognizing this need and are hiring my women because they understand this shift."

Beyond investment management, women are also redefining expectations regarding the utilization of their wealth. Carmen James Randolph, founding president and CEO of the Women's Foundation of the South, is observing a considerable change in her region. Randolph stated that the South is among the fastest-growing areas in the country, with 41.5% of women of color residing in the region, creating new opportunities for wealth creation and investment. She noted that traditional philanthropic models are evolving to emphasize measurable impact.

"Having worked in philanthropy for approximately 28 years, I recognize that, at its best, philanthropy can be a catalyst for what is achievable. Whereas older models viewed philanthropy merely as charity, new wealth holders do not perceive it in that light," Randolph articulated during the discussion. "They seek to understand and witness the real effects their financial contributions can make."

Both Meagher and Hingorani concur that the investment preferences of women differ markedly from those of previous generations, with a pronounced emphasis on social impact alongside financial returns. Meagher highlighted that women poised to inherit significant wealth are prioritizing investments in three primary sectors: health, education, and justice. She observed a growing trend among wealth advisors who are offering specialized health services, while Randolph noted her foundation's commitment to enhancing maternal healthcare accessibility in Southern states where such services are lacking. Hingorani also pointed out that every trustee demonstrates interest in affordable housing, even if it translates to lower returns compared to those obtainable at a venture fund.

"Women are seeking to consolidate their investments to achieve a more significant impact," Meagher concluded.