Heirloom Questions

Hi. I'm on the latest patch. On lionslayer difficulty. I have an heirloom item already. But when I died, it was not inherited by the next character. I've also invested quite a lot in the scollo but my next character did not inherit this. Is this a new mechanic? Should I retire before the heirloom and scollo investments can be inherited? If I die without retiring, the next character inherits nothing?