Loyal Bank offers trust establishment and administration services. A trust is an agreement under which money or other assets are held and managed by one person for the benefit of another. Different types of trusts may be created to accomplish specific goals. Each kind is different, offering a varying degree of flexibility and control.
The Trust (deed) is an individual document containing the terms and conditions of the trust and authority of the Trustee. The Trust is an agreement between three parties:
The Settlor is the transferor of the assets into the trust. Which kind of assets can be transferred? Funds, shares, cars, yachts, real estate and even patents or rights.
The Trustee is the person or corporation which is the official and legal owner of the transferred assets and is the official manager of the Trust. The Trustee administers the Settlor's wishes as expressed in the Trust.
The beneficiary is the person(s) who receives the assets from the trust in accordance with the Trust Deed. A Settlor may also be a Beneficiary. The class of Beneficiaries may also include charitable organizations and for purposes which are both charitable and non-charitable.
The Settlor may name a Protector - third party individual - in order to check that the Trust is administered according to his wishes.
Benefits of the trust registration
- Reduce tax liability
- Providing personal and financial safeguards for family and other beneficiaries (protect the family wealth)
- Restructure the distribution of assets
- The Settlor can settle any assets into the trust, therefore legally he does not own them
- Establishing means of controlling or administering property
- Meeting other social or commercial goals
What property may be subject to an international trust?
Property of any description may be the subject of a Trust regardless of where it is situated, including any share or interest therein.
For more information about formation of an international trust please contact us.