Alfred Ip talks to Hannah Bisson (Director of Business Development at Trident Trust) and Henno Boshoff (Counsel at Harneys) about the main reasons clients set up a Trust – might these be for ringfencing business assets or for giving back to the community or for tax reasons.
They discuss the issue of how to choose an independent professional Trustee to whom to transfer assets and who can take a proactive role in protecting beneficiaries’ interests and understand family ever-changing dynamics. Also, they highlight who to appoint as a beneficiary of the Trust and what information to disclose to them.
They go on speaking about the typical Trust structures, reserve and protector power (which sometimes is given to a committee or a corporate entity), as well as the importance of letters of wishes in guiding the principles and discretion for distribution to beneficiaries.
Moreover, the speakers discuss what assets are usually included in the Trust and how settlors understand specific elements related to such assets, including how lately more and more volatile crypto-assets form part of the Trust. They make specific considerations on pros and cons of different types of Trusts and the (off-shore/on-shore) jurisdiction chosen to set up the Trust.
Lastly, they examine one-off and recurring fees related to a Trust.
SHOW NOTES:
00:26 Speakers introduction
01:50 Main reasons for setting up a Trust
09:37 How to choose a Trustee?
14:27 Who to add as a beneficiary?
18:02 Most common Trust structures
35:24 Understanding assets to be included in the Trust
39:48 Inter-vivos Trusts vs Will Trusts: pros and cons to consider
42:42 Setting up a Trust in an off-shore vs on-shore jurisdiction
48:47 Fees for setting up and managing a Trust
This video is for informational purposes only. Its contents do not constitute legal or professional advice.
