How do I instruct my Executor(s) to purchase a financial product for my beneficiary?
If you foresee a particular beneficiary having challenges managing the inheritance given to them, you can consider giving instructions to your Executor(s) to use the inheritance to purchase a financial product to give to them instead of giving them a lump sum of money.
Please note that any financial product(s) once purchase and put under the beneficiary’s name would now belong to the beneficiary, to be handled as the beneficiary deems fit.
Under Select Clauses >> Other Instructions, key in the following:
As my {Relationship}, {Name}, {Identification Number/details}, may face challenges in managing large sums of money, in the event that he/she is entitled to a share of my estate, my Executor(s) shall (from his/her share of the estate) purchase a {type of financial product} for him/her.
If there are multiple financial products to be purchased;
As my {Relationship}, {Name}, {Identification Number/details}, may face challenges in managing large sums of money, in the event that he/she is entitled to a share of my estate, my Executor(s) shall (from his/her share of the estate) distribute it to him/her in the following manner:
- XX% to purchase a {type of financial product};
- XX% to purchase a {type of financial product};
- XX% to purchase a {type of financial product};
for him/her.
If you intend to give a lump sum of money with the remaining balance to purchase a financial product;
As my {Relationship}, {Name}, {Identification Number/details}, may face challenges in managing large sums of money, in the event that he/she is entitled to a share of my estate, my Executor(s) shall (from his/her share of the estate) distribute it to him/her in the following manner:
- a lump sum gift of S$XXXX;
- the remaining balance of his/her share of the estate shall be utilised to purchase a {type of financial product} for him/her.
If you intend to use a lump sum of money to purchase a financial product with the remaining balance to be given to the beneficiary;
As my {Relationship}, {Name}, {Identification Number/details}, may face challenges in managing large sums of money, in the event that he/she is entitled to a share of my estate, my Executor(s) shall (from his/her share of the estate) distribute it to him/her in the following manner:
- the purchase of a {type of financial product} using a lump sum of S$XXXX;
- the remaining balance of his/her share of the estate shall be given to him/her as a lump sum gift.
If you intend to give a lump sum of money with the remaining balance to purchase multiple financial products:
As my {Relationship}, {Name}, {Identification Number/details}, may face challenges in managing large sums of money, in the event that he/she is entitled to a share of my estate, my Executor(s) shall (from his/her share of the estate) distribute it to him/her in the following manner:
- a lump sum gift of S$XXXX;
with the remaining balance of his/her share of the estate to be utilised as such:
- XX% to purchase a {type of financial product};
- XX% to purchase a {type of financial product};
- XX% to purchase a {type of financial product};
for him/her.
You can also add the following paragraph as well if you have a particular trusted financial advisor to assist in this regard.
In this regard, my Executor(s) can seek assistance from my trusted financial advisor, {Name of advisor}, {MAS Rep No.}, who can be contacted at {Contact Details}. {Name of advisor} will be able to assist by providing various financial solutions. My Executor(s) shall exercise his/her discretion, diligence, and reasonable care in overseeing the advice and proposed solutions provided by {Name of Advisor}.