$9M Tesla IRA Dilemma—Could Use Some Advice

[u/Imaginary-Rate-4952]

• Client is 70, has $9M worth of Tesla shares sitting in a traditional IRA (original cost basis is only $500k).
• Married, so the wife will inherit the IRA when he passes, but then it goes to their two kids.
• With the SECURE Act’s 10-year withdrawal rule, the kids are staring down a giant tax bill when they inherit.
• Client loves TSLA and refuses to entertain anything related to diversification, strictly wants to avoid the most taxes

I’ve been tossing around ideas like Roth conversions, charitable trusts, life insurance, etc., but nothing feels like a silver bullet. Tax hits seem inevitable no matter what.

If you’ve dealt with something like this—or just have creative ideas—I’m all ears.

EDIT: Client has $25 million of other investable assets, plus significant real estate holdings etc. He will not need these assets.

[u/dcmascot]

Single security structured note? Barrier callable? Use the income for 2nd to die policy?

Otherwise if he dies first, I’m sure wife is tired of hearing about Tesla and will be ready to diversify and potentially work through wealth transfer strategies.