The “buy-borrow-die” strategy is a 🏷️#wealth-management approach in which individuals, often the ultra-wealthy, accumulate assets such as stocks, borrow against the value of those assets rather than selling them, and ultimately pass them on to heirs after death. By borrowing instead of selling, they avoid triggering 📝Capital Gains taxes, as loans are not considered taxable income. Upon the original owner’s death, the assets typically receive a “step-up” in cost basis, minimizing capital gains taxes for heirs. This method exploits differences between how income, capital gains, and debt are taxed in many jurisdictions.
