Quora Answer: If You Inherited a Large Sum of Money, How Would You Invest It to Maintain Enough Income for Retirement?

The following is my answer to a Quora question: “If you inherited a large sum of money, how would you invest it in order to preserve the amount, and also receive enough income from it to retire?”

If we are talking a large sum, I would assume that it would have to be in the region of US$10 million or above.  The first thing would be to create a vehicle to run and manage the funds through to mitigate the tax lability.  I would create an irrevocable trust, with me as the trustee and beneficiary.  Next, I would put it over several types of investments, from index funds to property, and let it grow.  Structured properly, it will, at least give between 6 to 11% per annum.