What happens to my investments if I pass away?

When an individual passes away, the fate of their investments typically depends on several factors, including their investment accounts, the ownership structure of those accounts, and any estate planning measures they may have implemented. Investments held in individual accounts often become part of the deceased's estate. This means they will go through the probate process, which is the legal procedure for settling an estate. During probate, a court determines how the estate’s assets, including investments, are distributed according to the deceased's will, if one exists, or according to state laws if there is no will. Additionally, investments that are held in joint accounts or have named beneficiaries may bypass probate. In joint accounts, the surviving account holder generally retains full ownership of the assets. Similarly, accounts designated as transfer-on-death or those with named beneficiaries will pass directly to the beneficiaries without going through probate. It is essential for investors to have a clear estate plan in place, which may involve consulting with legal or financial professionals. This can help ensure that their investments are managed according to their wishes and that their beneficiaries are adequately protected. For personalized advice or support, one may want to refer to the relevant resources on the Pacific Investment Management Company LLC website or consult a financial advisor.