My dad left me 400 shares of Exxon/Mobil stock. What should I do?

[begley]

My father died about six months ago. I knew he had some stock, but I didn't know what, exactly, until the attorney handling his estate sent to each of us these shares of Exxon (now Exxon/Mobil) stock.


I feel a little guilty having it with the price gouging and all. But the dividends are nice. He bought the stock in the late 70s, so the basis is so low that I would get killed taxwise if I sold it. What is a person to do?

[Finder]

1. Give it away...

I'll take it.:rofl:

[onehandle]

2. Just live with it. It doesn't make you an oil executive.

Or a Bush cabinet member.

Anyone with a retirement fund is invested in some pretty horrible industries.

I wouldn't worry about it.

[begley]

17. Good point, We don't know what all stocks pension funds contain.

[MADem]

3. Use the dividends to buy renewable energy technologies

Get yerself a solar heating system! Use it for the hybrid car payments!

Or, you could sell it and reinvest it in something more to your liking.

Best bet is to talk to someone with financial smarts to walk you through the pros and cons.

Paying taxes on it, right now, you know where that money will end up--in Iraq....

[Rufus T. Firefly]

4. Might as well profit from it.

Don't let them keep it ALL. :-) Consider it a renewing rebate against the high gas prices.

But kudos for having a conscience and being concerned about it. :thumbsup:

[begley]

19. Thank you. That makes me feel good.

I know it sounds like a Richie Rich type problem, but I wasn't trying to set myself up for kudos. Thanks, though.

[Dyedinthewoolliberal]

5. Assuming you have voting rights,

keep the stock and become a gadfly, a pain in the ass to upper management. Critique their decisions, ask lots of questions about their business philosophy,lobby for a changes in the direction the company is moving.
Cash the divedend checks and invest in green companies or donate some to local non-profits that work for the common good.
Of course I offer this advice but can't say for sure what I would do were I in your spot. This is what I hope I'd do......... :shrug:

[benburch]

6. Keep it.

You can always use your status as a shareholder to crash annual meetings and cause trouble...

[Haole Girl]

7. Follow your conscience

It's obviously a good time to sell whenever you can take the money (at least that's how I feel about it). Now what you do with the money, that will probably take some soul searching, I'd think. I never touch Exxon stock, myself.

[DemoTex]

8. Hold 'em. Attend shareholders' meetings.

Raise hell with the Fat Ba$tard$.

[begley]

15. I guess I could do that

but I'd have to go to Dallas or someplace.

[DemoTex]

29. Some Exx-Mob meetings are held at the Meyerson Symphony Center in Dallas.

That might not be practical for you. However, there are other ways corporate gadflies can be effective. Check out this link:

http://www.lens-library.com/info/gadfl.html

[begley]

31. interesting link

thank you:)

[hippiechick]

23. Keep every 'prospectus' and anything that looks like ...

... info that the general public might not be privy to (pending legislation, military stuff, tax changes, whatever), which might possibly indicate that they 'know' something the rest of America doesn't, that they're passing on to their shareholders to 'paint an encouraging picture'.

Etc. Etc.

[bluerum]

9. Sell high - buy low. Strike while the iron is hot.

Also - I don't think that you have to pay capitol gains taxes on it if you sell it. You got it at close to it's current price. I am not even sure that you need to claim it as income unless you sell it. You do need to pay taxes on the dividends.

I think the oil companies have another year or two of obscene profits.

You know, if you sell some investment banker will buy the shares and they will use part of their profits to fund RW repukian candidates who are related to * and Cheney.

I would rather see someone like you using the windfall.

[begley]

21. I thought I would have to pay big taxes if I sold

Not sure what he paid for it in 1977 but Im told it has split three or four times since then. Somebody said I would get my ass kicked in taxes if I sold it now.

[bluerum]

33. Your purchase price is the current cost or cost when you came

into posession of it.

But certainly check with a tax accountant before doing anything.

[roody]

10. Install solar panels on your house.

I did it 3 years ago with utility intertie and once a year my elec company sends me a small rebate because I produce more than I use.

[coffeenap]

11. I have a similar situation--my parents inherited oil leases and when

they died, they passed them to us. Now what?

[Joe Chi Minh]

27. Have them exorcised, first of all.

[Warpy]

12. My pop died 3 months ago and left me with a competitor's oil stock

For now, I'm letting it ride. HOwever, I'm considering converting to one of the socially conscious funds in the future, like Dreyfus Third Century. There are others out there, and they have outperformed other funds across the board, although they don't outperform oil stocks in a rising market.

I'm also putting some of it into tax free bonds and a little is getting invested overseas. I'm doing it all very slowly, though, and waiting to see how each thing pans out before I tackle that oil stock. I'm new to this, althought I've been watching it all for a very long time.

You're right, the dividends are great. The cost may not be. You have to ask what sort of weasel you're supporting. Mr Platinum Parachute might have me acting a little sooner. The only thing I can say about the company my pop invested in is that the CEO isn't quite as greedy.

In any case, take it slowly. You don't have to act today. Do your research and figure out what your own financial needs are and then act accordingly.

[orwell]

13. If you have ethical problems with it...

...sell it and invest the money in one of the ethical mutual funds run by Pax World, Domini, Evergreen or others.

It is important to invest your money for the long term in industries and businesses that are both ethical and who are building a more sustainable future. In other words, put your money where your heart is.

Just my two cents...usual disclaimers apply... ;)

[roody]

14. You can also go to shareholders meetings

and introduce progressive actions. I forgot the word for "motions" since I own no stock.

[Lost-in-FL]

16. Re-invest on Biodiesel shares

I think they will go up. I hope so.

[peacetalksforall]

18. Sell it and do some good with a per cent of it - like buy some gas for

a group of people who help the poor - that involves transporting them or food trucks.

Get it off your mind, especially when you see photos of the dead birds and animals and know that they obstinately refuse to pay their debt for the spill, excessivle reward their ceo's, met with Cheney to plan the killing, and then sneer at us.

Especially when you know that this President does not want to disturb the absurd Exxon/Mobil profits.

[electron_blue]

20. Keep it and demand as a stockholder that they change their ways

Just imagine what would happen if all their stockholders felt the way you did.

[acmavm]

22. You get to vote on company issued, don't you? If you vote for what is

right and good, that's all you can do. But don't feel guilty. It's not your fault that the company is almost a criminal enterprise. That's only because criminals are running it. I'd be more pissed because you would probably be getting higher dividends if the CEO and other crooked board heads weren't lining their own pockets.

Hey, you have an opportunity to become a pain in their ass. There have been small stockholders of other corporations who, because they felt the need to speak their conscience, and because they had the right by ownership to do so, made their opinions well known.

[Ian David]

24. I can't and won't give you financial advice, but...

you can donate some of the shares to environmental groups, which would then be able to bring voting issues to the board.

There's a saying that "Before you can do good, you must first do well." In other words, you're not going to be able to help a whole lot of poor people if you're poor yourself.

Don't "give away the store" out of conscience.

If you need the value of the stocks, keep them. If you're already rolling in dough and trying to decide between a vacation home and a yacht, then do what feels good.

However, if it were me, I'd find out how many shares you need to put an issue before the board, and maybe donate some shares to environmental groups for that purpose.

But don't ever take financial advice from me.

I put a few hundred dollars in SpaceHab and SpaceDev back in 2000... if my past performance is any indication of future results, you're best ignoring my advice on such things.

Also, my condolences on the passing of your father.

[Jayhawk Lib]

25. You have nothing to feel guilty about..

Your dad bought it as an investment that would grow. It has done very well especially in the last couple of years.

Just remember one thing. Bubbles always burst sometime. Oil is in a bubble for now. Mark my word one of these days that oil bubble will burst. It may be in several months or several years but eventually it will burst.

This is easier said than done but sell it before it bursts.

[kaygore]

26. Start a revolt among stock holders to limit CEO and Executive pay and

compensation.

[Danieljay]

28. I'll take it if you don't want it (read on)

Email me and I send you my contact information. Ha just kidding, unless you really want to. ; )~

Anyway, I'm with some of the previous posters. Buy low, sell high. Your father bought that stock not from greed but to secure a future for him and his family. Do yourself a favor and keep it and maximize your profits or if you "feel a little guilty" sell high and buy stock in more environmentally friendly futures.

I for one wouldn't feel guilty. YOU didn't do anything knowing it was the wrong thing to do. Don't take on anyone else's "guilt" or guilt projected at you because its oil stock. Your father left you a gift. It was an act of Love that he put you as a beneficiary. Respect that; look deep within you; and do what you think is right for you and your family. Its your choice.

Its ok to have money. Its ok to get rich. If you make a ton of money you can do a lot more good in the world and help more people than not having it. Look at Bono, Bill Gates, Donald Trump, etc. I personally think there is little virtue in taking a vow of poverty. You can have money, be rich, AND do the right thing. It's your intention that determine's your integrity. I think your father had good intentions. Take the gift, examine YOUR intentions, and then choose.

Blessings to you and your family with the loss of your father.

[man4allcats]

30. Give it to me.

I promise I'll only spend the dividends in ethical ways. Trust me. ;)

[brokensymmetry]

32. Keep it.

I firmly believe it's going higher. A lot higher.

And you'll need the money to pay for gasoline...

[NNadir]

34. I think you are ethically compelled to sell it.

I don't think you should necessarily feel compelled to give the money away, although I'm not a big fan of inheritance, truth be told.

But it is immoral to profit by a company that is doing what Exxon is doing - which is to engage in the funding of global climate change denial propaganda.

I would sell that stock the instant I had full title to it.

[The Backlash Cometh]

35. Sell high and buy low,

When it's time to divest, just do something with the money that will help you remember the good times with your father.

[Geoff R. Casavant]

36. The basis went up

When he died the stock got a new basis to its fair market value as of the date of death. So the capital gain would not be nearly as bad as you fear.

Beyond that, neither you nor your dad bought the stock during this latest price gouging -- I would not think any less of you if you just kept it.

[Vogon_Glory]

37. Think First...

Think before acting. You might want to talk with a qualified accountant before doing something rash.

Don't feel too guilty about actually owning the shares in the interim. I myself might be a social democrat and think that there is at least some room for the private market in a truly just and equitable society, but I fully agree with the thought behind VI Lenin's famous quip about the capitalists selling the rope that they'd be hanged with.

If you feel like giving away either the stock or the money from the sale, consider using the proceeds to fund something that will make the world a better place.

[GOPBasher]

38. Keep them but put the dividends in renewable energy, like others said. n/t

[bloom]

39. Link about Shareholder activism:

http://www.foe.org/international/shareholder/


From the Exxpose Exxon action center:

http://www.exxposeexxon.com/action/