[SIUYA]

not sure about US laws but family trusts may be a better option.

[MightyMouse]

Originally Posted by SIUYA »

not sure about US laws but family trusts may be a better option.

In the US if the entity is a device that has an intent of circumventing tax payment or exclusion from countable assets, they are challenged by the IRS or state attorney generals.

[SIUYA]

thanks MM, as every country is different you never know.

What I have is a structure that is a family trust and utililises a number of companies.
None of them are used to circumnavigate taxes, but they allow for distribution of profits to various family members, are easily transferable (no equity issues such as those when dealing with companies shares) and flexible, and in the unhappy event of my demise, the entity exisits without me and without onerous taxation and ownership issues. This is only applicable when dealing with enough money to make it worth while for the added accounting and setup costs of course.
If just using a simple brokerage account, again depending on different jurisdictions, an executor of a will should be able to access the proceeds much the same as any account.

When it comes to what to do with regards actual open positions and closing them out and going to cash, there is a combination of stops in place, but also I have a friend (one I trust implicitly and also understands markets) who can get access to my trading platform (not my cash just in case he develops a crazy gambling habit ) to close things out for me. After that the executor of the estate can look after it.

It should be a part of a trading plan - all part of treating it like a business, with documented processes that anyone can follow.

[mohsinqureshii]

Originally Posted by Avarice »

We're all young and healthy. The world is our oyster. So quite naturally none of us like to think about the inevitable. I for one plan to outlive y'all but -- just for the sake of argument -- let's suppose you drive off a cliff in that new Maserati you bought with last week's proceeds.

What happens to your trading account? Your open positions won't close themselves magically, how do you handle this? My broker doesn't permit physical delivery so I guess my positions will get auto-closed once the contracts start expiring. But how do stock people manage this eventuality?

How do you make sure your spouse and/or kids have access to your funds after you start pushing up daisies? Will your trading account be handled like any other bank account?

I guess I should talk to my broker about these things. But I thought it couldn't hurt to throw the question at you guys first. So, any thoughts?

I asked a broker about this and he replied me that my trading account will be blocked if some one will inform about the death of his client , Once the broker will be sent by some official document ( Like Death Certificate ) - The Broker will send the funds back to the authorized bank account of the client and from the bank account "The Next of Kin" written being authorized in the bank account can withdraw the funds.

I have seen many broker's application forms , there is no column for "Next of Kin" - there must be one as in Bank Account form.