web analytics
December 20, 2014 / 28 Kislev, 5775
 
At a Glance
Blogs
Sponsored Post
8000 meals Celebrate Eight Days of Chanukah – With 8,000 Free Meals Daily to Israel’s Poor

Join Meir Panim’s campaign to “light up” Chanukah for families in need.



Should You Sell Your Inheritance?

Dougie[1]

 Just because someone else owned them, it doesn’t mean they’re good investments.

What did you do when you received a purple vase decorated with green stripes and gold roses as an inheritance from your late Aunt Minnie? Did you give it a place of honor in your breakfront, hide it away in the attic, or did you follow your spouse’s instructions and “sell that hideous thing because at least you might get some money for it”? Chances are that you wouldn’t dare sell the vase, simply because of its sentimental value.

When it comes to a financial inheritance, such as stocks or bonds, you would be surprised how many people keep holding onto these positions for sentimental reasons.

If you do inherit some money in the form of stocks or bonds, you have two possible options:

1. You could sell the positions and start from scratch.

2. You could keep them and try to maintain the portfolio.

Under the right conditions, either decision could work for you.

For example, if the original owner didn’t have a solid reason for holding them, but did so anyway because at the end of his life he really wasn’t thinking so clearly about money anymore, why do you need to keep them? If these investments aren’t doing so well, do you really need them?  Even if these investments were suitable and worked well for the person who left them to you, consider if they are appropriate for you and fit in with your overall financial plan. You may well be better off selling them and investing the money into something else that would be a lot more suitable for your personal situation and aspirations. And last, but by no means least, an investment is not an old vase. Whereas the worst thing that could happen to you by holding onto Aunt Minnie’s vase is that you have another dust collector in your living room, holding onto an investment for sentimental reasons can have a negative impact on your portfolio.

On the other hand, this doesn’t mean that you should automatically sell the investment just because you have inherited it. Take a look at it (preferably with the help of your financial adviser) and ask yourself whether you would have invested in this particular position if you didn’t inherit it. If the answer is positive, then keep it.

Sometimes, a person receives an inheritance and doesn’t know what to do, simply because they have never invested before.  The world of stocks, bonds, and mutual funds may not be familiar territory for everyone. If this is the case for you, consider taking the free course on “3 Tips to Dealing with Inheritances.”  If you anticipate receiving, or giving, an inheritance one day, this is knowledge you must have.

About the Author: Douglas Goldstein, CFP®, is the director of Profile Investment Services, Ltd, a financial planning and investment services firm located in Jerusalem. He specializes in working with clients who live outside of the United States and want to maintain a U.S. brokerage account. Doug’s newest book, co-authored with Susan Polgar, about how using chess strategies to improve your finances, Rich As A King can be purchased at www.richasaking.com. He is a licensed financial professional both in the U.S. and Israel. Securities offered through Portfolio Resources Group, Inc., Member FINRA, SIPC, MSRB, FSI. Accounts held at Pershing LLC., Member NYSE/SIPC, a subsidiary of The Bank of New York Mellon Corporation. Neither Profile nor PRG gives tax or legal advice. Before immigrating to Israel, it is advisable to consult with a tax attorney who is knowledgeable about Israeli law. Contact at doug@profile-financial.com


If you don't see your comment after publishing it, refresh the page.

Our comments section is intended for meaningful responses and debates in a civilized manner. We ask that you respect the fact that we are a religious Jewish website and avoid inappropriate language at all cost.

If you promote any foreign religions, gods or messiahs, lies about Israel, anti-Semitism, or advocate violence (except against terrorists), your permission to comment may be revoked.

No Responses to “Should You Sell Your Inheritance?”

Comments are closed.

SocialTwist Tell-a-Friend

Current Top Story
Posted to Twitter in Ferguson, MO by St. Louis County Police: "Bricks thrown at police, 2 police cars burned, gun seized by police. Tonight was disappointing."  Their motto is, "To protect and serve."
Prosecutor in Ferguson Case: ‘Witnesses Lied Under Oath’
Latest Blogs Stories
Alan Gross (L)

Did Cuba apologize for their spies the way Israel apologized for Pollard?

Torah scroll. (illustrative only)

Nothing binds Jews together more than Torah observance; Or so one would think.

tinsel-314750_1280

Sukkah tinsel decorations enjoy a robust market but are invariably manufactured for “another”holiday

PM Benjamin Netanyahu with Yishai and Tamar Fogel, survivors of an Arab terror attack which killed their parents and 3 siblings.

A number of Israeli papers regurgitated a biased AP article on settlement growth, but they should have read it more carefully before hitting publish.

Many of the battles of the Maccabees were right here in the Shiloh area.

Both Labor and Likud are expected to get more seats in the upcoming elections.

Get a straight answer from Edward de Bono to the question: What is lateral thinking?

Jewish communities worldwide commemorate Yehudit during Chanukah by eating dairy foods in her honor

Israel’s problem isn’t Indyk, Obama, UN, NGOs or even the media; Our problem is much closer to home.

None of the attacks on Jewish & property should come as a surprise in light of the Temple Mount.

No surprise! Israel is now being blamed for Ziad Abu Ein’s death.

How does the new U.S. tax amnesty affect American citizens living in Israel and abroad?

The party chiefs are acting drunk and childish – making stupid mistakes and inadvertently showing their true selves – just like on Purim.

A day dedicated to Torah&tradition; a day of great joy and of great sadness- a brit and a burial.

Who was this Minister of Rage, Ziad abu Ein, and what did he do to qualify for his position as a senior minister in the PA?

JoeSettler explains the electoral mess we’re in, and a possible solution for fixing it.

More Articles from Doug Goldstein, CFP®
Doug Goldstein

Get a straight answer from Edward de Bono to the question: What is lateral thinking?

Doug Goldstein

How does the new U.S. tax amnesty affect American citizens living in Israel and abroad?

Emerging adulthood and how young adults can achieve economic independence in today’s financial world

Doug talks with Steve Repak about the nature&meaning of wealth and how you can eliminate your debts.

How can you turn your physical books into E-books?

Find out how to set goals and take better care of your finances.

Today”s discussion: “The effects of current geopolitical situation around the world on investing.”

Printed from: http://www.jewishpress.com/blogs/goldstein-on-gelt/should-you-sell-your-inheritance/2012/07/27/

Scan this QR code to visit this page online: