Your securities holdings are treated like other assets in a divorce, starting with an initial classification of the type of property. Whether the property is marital, separate, or part marital and part separate will determine how the court divides the property, if it divides it at all.
One important step at the outset is determining the value of the property when it was purchased, whether that was before or after the marriage. Next, you need to carefully assess how the property accumulated value—whether through contributions of marital or separate property—and what the current value is.
There are various scenarios depending on the type of security and how it has increased or decreased in value over time. It’s crucial to gather all this information at the beginning of your case to ensure that your property is treated properly and that you protect your assets.
