A Fin24 user is wondering will happen to his share portfolio after his death. He writes:
Can my share portfolio be transferred to anyone upon my death or does it have to be sold and the money put into the estate?
Angelique Visser, chairperson of the Fiduciary Institute of South Africa responds:
The share portfolio can be transferred to the beneficiary and does not have to be sold in the event of death.
If there is however no cash in the estate to cover debts and administration costs, the executor may consider selling shares to cover the costs.
There may also be capital gains tax payable when the shares are transferred, and one has to ensure that provision is made for this tax liability.
It would be best for the Fin24 user to speak to a fiduciary practitioner who can assist him with his estate plan. He can also visit www.fidsa.org.za to find a Fisa member in his area.
Do you have a pressing financial question on wills and trusts? Post it on our Money Clinic section and we will get an expert to answer your query.
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