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distribution of RE sale profits for LO(little one)
Old 06-20-2008, 12:40 PM   #1
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distribution of RE sale profits for LO(little one)

Say you had a property on the East Coast, bought many yrs ago and paid off prior to marriage. And then you sold it recently.
B/c you want the money to go to your son in case of death (one's own), and not to any future stepchildren or wives for example, the money is sitting in an account, designated where to go in case you die.
Kid is 2.5 yo.

Please help. How would you distribute/ allocate? Kid already has separate college fund, etc. Inertia/ indecision/ ?fear is keeping this money from being more profitable than sitting in a MM.
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Old 06-20-2008, 12:42 PM   #2
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You could probably do worse than opening an UTMA/UGMA account at Vanguard and putting the proceeds into Wellington, Star or balanced index.
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Old 06-20-2008, 01:11 PM   #3
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Thanks Brewer! Question though, do you worry about international exposure? I was thinking Wellington, but it's all US based. But then there's the argument of international presence in much of that US based. or just do something now, and tweak over LO lifetime.:confused:
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Old 06-20-2008, 01:16 PM   #4
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Thanks Brewer! Question though, do you worry about international exposure? I was thinking Wellington, but it's all US based. But then there's the argument of international presence in much of that US based. or just do something now, and tweak over LO lifetime.:confused:
I don't spend a lot of time worrying about it. Actually, I believe that Star includes international exposure, or you could pick more than one fund if you wish. Depends on how much money we are talking about and how fancy you wish to get.
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Old 06-20-2008, 01:23 PM   #5
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okay, thanks Brewer! (the kick in the pants I need, chicken little)
hehe...I have to admit, there have been many times I thought to myself: hmmm, wonder if Brewer offers counselling services.
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Old 06-20-2008, 01:26 PM   #6
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hmmm, wonder if Brewer offers counselling services.
Have given it some thought in the past, but the idea of doing hand-holding all day, whoring for new clients who don't really want to hear the truth anyway, and lining up the appropriate liability insurance are enough to keep me an amateur.
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Old 06-20-2008, 01:27 PM   #7
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Have given it some thought in the past, but the idea of doing hand-holding all day, whoring for new clients who don't really want to hear the truth anyway, and lining up the appropriate liability insurance are enough to keep me an amateur.
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Old 06-20-2008, 01:36 PM   #8
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Thanks Brewer! Question though, do you worry about international exposure? I was thinking Wellington, but it's all US based. But then there's the argument of international presence in much of that US based. or just do something now, and tweak over LO lifetime.:confused:
Wellington claims to have 13.5% foreign holdings.
Does that help?

Dan
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Old 06-22-2008, 11:15 PM   #9
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Thanks Dan, that does!
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Old 06-23-2008, 02:18 PM   #10
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You could probably do worse than opening an UTMA/UGMA account at Vanguard and putting the proceeds into Wellington, Star or balanced index.
I wouldn't go this way unless you are giving it to the kid now... I thought it was 'in case I die'.... the UGMA is giving it right now and when they become 18 it is THEIRS... well, really it is before then, but you have control over it...


IF you want to keep it and have it go to the kid IF you die, then put it in an account and have the beneficiary the kid.... it is still YOUR money as long as you live.... also, have the wife to be sign an agreement that all proceedes from this money will be considered separate property.... you don't want to get messed up with that in case of divorce...
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Old 06-23-2008, 06:18 PM   #11
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how about a 529 plan?
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