Some folks like the feel of paper, while others prefer going paperless. When it comes to your stocks and bond, do you prefer paper or digital? There are solid arguments either way. However, when it comes to estate planning, the answer may surprise you.
Take the case of Ronald Read of Vermont.
He passed away last year at age 92 with an $8 million estate, mainly from his hard work, thrift and investing savvy. His will was but six pages long and he left the lion's share to charity.
And he apparently preferred paper over digital when it came to his portfolio.
While his estate passed without a lot of hassles, that is more a testimony to the record-keeping and organization of Mr. Read himself. His "paper" was easy to track to a safety deposit box and to transfer agents.
That is not always the case.
This was the subject of a recent article in the Wall Street Journal titled “Should You Invest Like Ronald Read?”
According to experts cited by the WSJ, say that many investors do not cotton to the idea of holding physical stock certificates. They can also create headaches for heirs, as finding paper certificates and all of the holdings can be a nightmare.
So, what is the alternative?
Consolidate your investments into a brokerage account and then transfer the brokerage account (and with it all of the investments held therein) into a revocable living trust.
Contact an experienced estate planning attorney. He or she can help you find the best alternative for your unique circumstances.
Reference: Wall Street Journal (March 20, 2015) “Should You Invest Like Ronald Read?”
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