Cross-border wealth management is becoming more relevant as affluent clients increasingly live, work, invest, and hold property across multiple jurisdictions. The scale of international wealth makes this increasingly important. Experts estimate that cross-border wealth reached $15.6 trillion in 2025, with the top 10 booking centers accounting for more than 90% of new cross-border flows. At the same time, 142,000 millionaires relocated internationally in 2025, with the number forecast to reach 165,000 in 2026.
For RIAs, that means international tax planning can no longer be treated as an issue that appears only when a client moves abroad. It needs to be considered whenever a household’s assets, residence, or financial interests cross jurisdictions.
How Should RIAs Approach FATCA and CRS Compliance?
Foreign accounts create reporting obligations that can exist even when the underlying assets generate little or no taxable income. For U.S. persons, the FBAR requirement generally applies when the aggregate value of foreign financial accounts exceeds $10,000 at any point during the calendar year. The requirement can cover bank accounts, brokerage accounts, and other financial accounts, and whether an account actually produced taxable income does not determine whether it is reportable.
Form 8938 creates a separate reporting regime for specified foreign financial assets. For an unmarried taxpayer living in the United States, the threshold is generally more than $50,000 at year-end or $75,000 at any point during the year. For married couples filing jointly in the U.S., the thresholds rise to $100,000 and $150,000, respectively. Taxpayers living abroad face substantially higher thresholds.
That makes accurate account classification and tax-residency information increasingly important. Clients should not assume that an account held outside their home country is outside the reporting system.
How Can RIAs Use Tax Treaties and Foreign Tax Credits?
Cross-border clients can face taxation in more than one country on the same income. Foreign dividends, interest, business income, and gains may be subject to tax where the income originates and again in the client’s country of residence.
Tax treaties can change the result further by providing reduced withholding rates, exemptions, or rules determining which country has taxing rights. The IRS specifically advises taxpayers to examine the relevant treaty provisions rather than assuming that a treaty automatically eliminates foreign tax.
What Happens to Estate Planning When Wealth Crosses Borders?
Estate planning becomes more complicated when the client, heirs, and assets are connected to different countries. A U.S. estate may have to consider foreign real estate, foreign securities, trusts, or inheritance rights under another country’s law.
Estate-tax treaties can help determine which country has taxing rights and whether foreign death taxes can be credited. The United States currently has estate and/or gift tax treaty provisions with 15 countries, including Canada, France, Germany, Italy, Japan, Switzerland, and the United Kingdom. The treaty can affect situs rules, available credits, and the treatment of property located abroad. The IRS notes that where a treaty applies, the credit for foreign death taxes can depend on the treaty’s specific provisions and is generally limited to the U.S. estate tax attributable to the relevant property.
When Should RIAs Bring in Local Experts?
Cross-border planning is rarely something one adviser can handle alone. Tax residency, local inheritance law, property ownership, and treaty provisions can all depend on the specific jurisdictions involved.
The RIA’s role is to coordinate the overall financial picture. Early coordination matters because some decisions are much easier to make before a move or transaction occurs. Establishing residency, transferring assets, or creating a trust can produce consequences that are difficult or expensive to reverse later.
What Other Areas Can Help RIAs Deliver More Client Value?
Cross-border clients can also have financial opportunities that sit outside traditional investment management. Securities class action recovery is one example.
In 2025, securities class action settlements totaled approximately $8 billion. Platforms such as 11th.com automate settlement monitoring, holdings matching, claim filing, and payout delivery, making it easier for RIAs to identify recovery opportunities and ensure eligible clients receive the money they are entitled to.
For clients with assets in multiple countries, finding these opportunities is another way for RIAs to help clients get the most value from their wealth.
What Will Cross-Border Wealth Management Look Like in 2026 and Beyond?
For RIAs, the strongest framework is therefore collaborative. The advisor can own the overall financial strategy while bringing in specialists for country-specific tax and legal questions. As international mobility continues to grow, that coordination will become increasingly important for protecting wealth and avoiding problems that only become visible after a client has already crossed a border.
FAQ
What is cross-border wealth management?
It is the management of assets, investments, taxes, and estate planning when a client has financial or residential connections to more than one country.
What is the difference between FATCA and CRS?
FATCA is a U.S. regime focused on identifying foreign financial accounts held by U.S. taxpayers, while CRS is a broader international framework for automatic exchange of financial-account information.
When can clients claim a foreign tax credit?
Generally, qualifying foreign income taxes paid or accrued can reduce U.S. tax on the same foreign-source income, subject to specific limitations.
Can estate taxes apply in more than one country?
Yes. Estate-tax treaties and foreign tax credits can sometimes reduce double taxation, but the outcome depends on the countries and assets involved.
Should RIAs handle international tax planning themselves?
RIAs can coordinate the overall strategy, but country-specific tax and legal issues should generally be handled with qualified local specialists.
