I don't know if this type of financial question is appropriate to this forum or not, and if not, I apologize.
The question is about how an executor can best re-structure an estate trust investments. Basically, the way the trust works is that all the annual "income" from the trust goes to the trust "beneficiary" until that person passes away and then the assets are given to the beneficiary's children. The current beneficiary can restructure how the trust assets (stocks, bonds, cash, etc. ) are now to be allocated but they can not actually take the asstes out of the trust; just any annual income (i.e.: interest, dividends, gains on the sales of stock, etc.) that it generates.
Now here's the situation and issue: the current beneficiary does not need or want any income from the trust for the nex 5-7 years. They want to invest the current trust assets into things that will not loose value, that will grow, and that will not generate current annua income that will just be taxed before it is needed -- i.e. the beneficiary wants the assets to grow so there may be capital gains in the future, but not income now.
Wonder if anyone has encountered a similar problem and how they solved it. Wonder what specific things people would recommend as investments for a situation like this.
The question is about how an executor can best re-structure an estate trust investments. Basically, the way the trust works is that all the annual "income" from the trust goes to the trust "beneficiary" until that person passes away and then the assets are given to the beneficiary's children. The current beneficiary can restructure how the trust assets (stocks, bonds, cash, etc. ) are now to be allocated but they can not actually take the asstes out of the trust; just any annual income (i.e.: interest, dividends, gains on the sales of stock, etc.) that it generates.
Now here's the situation and issue: the current beneficiary does not need or want any income from the trust for the nex 5-7 years. They want to invest the current trust assets into things that will not loose value, that will grow, and that will not generate current annua income that will just be taxed before it is needed -- i.e. the beneficiary wants the assets to grow so there may be capital gains in the future, but not income now.
Wonder if anyone has encountered a similar problem and how they solved it. Wonder what specific things people would recommend as investments for a situation like this.