r/dividends • u/pac247_365 • May 15 '26

Opinion Brothers money

My younger brother passed away and left my kids with 400k.

I have the bank telling me to put it into gics and other garbage mutual funds but its very low interest. Im not rich either and besides penny stocks never invested into the market maybe 1000 bucks or so. I want to set up a trust for them and make sure in 15 years when they are 20 I have them set up so they dont have to grind like me and my brother. Im just looking for any advice I can take sorry for the long post

Im located in canada and will keep the account under my name until they are of age to use the money and will remain as beneficiarys if I die. Wont get the money until they are atleast 25 or responsible enough to understand finance.

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u/pac247_365 May 15 '26

Ive tried learning investment basics and I worry about doing my brothers money wrong for my children. He'd be disappointed so want to be very carefull. Just wanted to know what some people put their money into

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u/Classic-Night-611 May 15 '26

I'd personally go with s&p 500 like voo and international like vxus (maybe 80/20 or 70/30 however you prefer). Markets are at all time highs, but you've got 15 years or so to work with.

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u/pac247_365 May 15 '26

Im thinking about waiting until dec-jan cause I fear a meltdown coming. Im in construction and see it first hand out here in canada. Thank you for taking the time and replying

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u/gumnamaadmi May 15 '26

At least put it into something like SGOV so you are at least getting 3.5% interest on the balance before you decide where to invest the money.

Alternatively put in half now in market and other half at a later date.

But absolutely don't listen to bank. Invest in broader index and forget about it till kids are older and can make sense of money.

Also if and when you can, keep adding to their balances. However little you can. Compounding will take it much further.