Lump sum investing
Inheritance, a property sale or savings built up over years, invested with a clear plan matched to your goals and how long you can leave it.
What it is
Lump sum investing means putting a single larger amount to work. Whether it comes from an inheritance, selling a property, a redundancy payment, a maturing policy or savings, the aim is to grow it in real terms rather than let it lose value to inflation sitting on deposit. The right approach depends on your goals, how long you can leave the money invested, and how comfortable you are with risk, and on getting the tax treatment right from the start.
Who it is for
- People who have received an inheritance or a gift
- Anyone with money to invest after a property sale or downsizing
- Savers with cash earning little on deposit
- People with a maturing investment or policy to reinvest
How it works
We agree your goals and timeframe, set a risk level you are comfortable with, and choose a diversified mix of funds. The plan is reviewed regularly, and access depends on the product you choose.
The tax, planned from the start
Tax makes a real difference to what you keep, so we factor it in from the outset. The main options are taxed differently:
| Where the money sits | How the gains are taxed |
|---|---|
| Life-assurance investment fund | 38% exit tax on gains, with a deemed disposal every 8 years |
| Deposit account | 33% DIRT on the interest |
| Directly held shares | 33% Capital Gains Tax, with a small annual exemption |
| Inheritance or gift received | Up to 33% Capital Acquisitions Tax above your threshold |
The exit tax on Irish life-assurance funds fell from 41% to 38% in January 2026. The eight-year deemed disposal still applies, meaning tax can fall due on gains every eight years even if you have not sold. Which structure suits you depends on your goals and your wider tax position.
What could a lump sum grow to?
Money sitting on deposit feels safe and quietly loses value to inflation. Enter an amount, a timeframe and a growth assumption, and this shows what it could be worth, what exit tax would take on the way out, and what you would be left with. Returns are never guaranteed and this is an illustration rather than a forecast. What it is good for is a sense of scale, and a starting point for a conversation about the right structure and the right funds.
Lump sum projection
What a lump sum could grow to, and what exit tax would take on the way out.
Fill in the fields above and press Calculate.
Why talk to BDS
As a whole-of-market brokerage we select funds across the market rather than one provider’s range. We build the plan around your goals and time horizon, keep charges honest through comparison, and structure it to be as tax-efficient as your circumstances allow.
Common questions
Life-assurance funds carry 38% exit tax on gains, deposits 33% DIRT, and directly held shares 33% CGT. We choose the structure that fits your position.
That depends on the product. We build in the level of access you are likely to need rather than lock everything away.
Deposit protects your capital but loses value to inflation over time. Investing carries risk but aims to grow your money in real terms. Some life companies also offer capital-protected investment options for a middle ground — we match the balance to you.
Other ways we invest
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Important information
Tax rates, reliefs and thresholds referred to here are set by Revenue and apply to the 2026 tax year, including the exit tax reduction to 38% from January 2026. They can change in future Budgets and Finance Acts, and the right approach depends on your own circumstances. The examples are illustrations, not projections of return.
David Sheahan Insurance & Investments Ltd t/a BDS Financial is regulated by the Central Bank of Ireland. Reg. no. 115813. Offices in Limerick, Dublin and Galway.
This content is general information and is not financial advice. The value of investments can fall as well as rise.
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