Investment Accounts

Protecting Your Rights in the Division of Investment Accounts

You have worked hard throughout your life to build financial security. You know the contributions you made to your marriage—whether financial, practical, or emotional—were meaningful, and you deserve a fair and equitable share of the marital investment accounts accumulated during your marriage. Yet during a divorce, it is common to worry about how these assets will be divided, particularly when a spouse takes an aggressive approach to claim more than their equitable share.

At Stange Law Firm, PC, we understand these concerns. Divorce can create significant uncertainty about your financial future, especially when your marital estate includes investment accounts, retirement plans, and other complex assets. We know how important it is to move forward with confidence and to ensure that your long-term financial stability is protected. This is particularly true for families with children, where careful and accurate handling of investment assets can affect everyone’s future well-being.

Investment accounts must be treated with precision and transparency. Regardless of whether the investments originated through your employment or your spouse’s, it is essential that all assets—stocks, bonds, retirement accounts, deferred compensation, profit-sharing plans, real estate holdings, and more—are fully disclosed, properly valued, and accurately categorized as marital or separate property. Only then can a fair and lawful division occur.

Dividing Investment Accounts in Divorce

Investment accounts often represent a significant portion of the marital estate. Their division requires a sophisticated understanding of financial structures, tax implications, long-term growth projections, and property division laws. At Stange Law Firm, PC, we provide strategic guidance and experienced representation for high-net-worth individuals and spouses involved in complex property division matters.

When you work with our firm, we help you evaluate key questions such as:

• Who contributed to the accounts?

Analyzing contributions to pensions, IRAs, 401(k)s, and other retirement plans helps determine how much of an account is marital versus separate property.

• What types of accounts are involved?

Investment portfolios may include profit-sharing plans, stock options, RSUs, deferred compensation, brokerage accounts, annuities, and more—each with different rules and valuation methods.

• Did marital contributions increase the value of the investments?

If marital income or financial decisions enhanced an account’s value, some or all of that growth may be considered marital property.

• How much has the account appreciated?

Determining fair market value requires careful review of statements, market data, and sometimes expert valuation.

• Was there transmutation or commingling?

If separate funds were mixed with marital assets or investments were retitled in both spouses’ names, the account may have become marital property.

• What tax considerations apply?

Investment divisions may involve tax liabilities, penalties, or special rules for qualified domestic relations orders (QDROs) in retirement accounts.

• Is real estate part of the investment portfolio?

If investment strategies include real estate holdings, those assets must also be valued and properly classified.

Each of these issues plays a role in determining how your investment accounts will be divided and how your financial future will be shaped.

Are Your Investments Marital Property or Separate Property?

Protecting your financial interests begins with properly characterizing investment accounts as either marital or separate property. While this may seem straightforward, high-net-worth situations can involve overlapping contributions, market-driven appreciation, and the need for expert tracing.

At Stange Law Firm, PC, we work with independent financial experts to ensure:

All assets are properly identified and fully disclosed
Accurate valuations reflect both present value and future implications
Tracing methods are used to determine separate versus marital portions
Market trends and account histories are thoroughly analyzed
Complex accounts such as stock options or deferred compensation are properly examined

In cases where a prenuptial or postnuptial agreement designates certain accounts as separate property, further litigation may be required to determine whether:

The separate asset increased in value due to marital efforts
The non-owning spouse made intangible or indirect contributions
Commingling occurred during the marriage
The appreciated value should be subject to division

Even when an investment account remains separate, the marital partnership may still share in active appreciation, depending on state law and the specifics of the case.

Supporting Your Financial Future Through Skillful Representation

Investment accounts represent more than numbers on a statement—they reflect years of work, discipline, and planning. Ensuring that your rights are protected requires an attorney who understands both the legal and financial complexities of dividing investment portfolios.

At Stange Law Firm, PC, we bring experience, insight, and dedication to every high-asset divorce case we handle. Our goal is to help you move forward with your financial security intact and with a clear understanding of how your investments will shape your future.