Divorce might be something emotional to have to come to terms with, but it doesn’t have to be contentious as well. When high sums of money are at stake, though, it can definitely change the playing field for some, causing a divorce to heat up fast.
High asset divorces are unique from an average divorce in that they many times involve claims to a myriad of investment accounts, interest in companies and different assets. Making quick moves in an attempt to reach an expedited dissolution of a marriage in these cases can result in financial errors, ultimately costing you considerably more money in the process.
Because of this, it’s important that if you do have assets, that in addition to hiring an attorney, that you also hire a valuation expert. The role of the valuation expert is to serve as an impartial party to provide a honest assessment of the value of assets a couple might share. In most cases, your accountant can refer you to a valuation expert that can handle the particulars of your case.
In some cases, depending on the nature of your invested assets, though, you might find it prudent to enlist the help of your wealth manager, familiar with the ins and outs of assigning values to investment portfolios as well. This is particularly important given that the sale, trade in or otherwise making of changes to these investments is a decision that can carry with it significant consequences.
The contingencies and other hefty financial consequences associated with the distribution and transfer of ownership of these types of financial instruments can be particularly financially imprudent if not done strategically. Speaking with your financial planner will provide you with added insight into the implications of selling off investments such as pre-IPO stock shares and rights to concentrated equities.
In working collaboratively with your accountant, financial planner and divorce attorney, it protects spouses with high-value assets from making financially imprudent decisions in settling their divorces. This includes being forced to separate yourself from your most valuable assets, financial interest. It can also be helpful in mitigating the risk of your spouse being awarded significant alimony payments as well.
If you or someone you know is considering getting divorced and you wish to protect your investments and other assets, a Houston, Texas, high asset divorce attorney can provide advice and guidance in your legal matter.
Source: Forbes.com, “Getting the most from a high dollar divorce,” Russ Alan Prince, accessed March 24, 2017