What is a Trust?
A trust is a legally binding arrangement whereby one or more persons – the trustees – will hold legal title to certain assets gifted by a settlor for the benefit of third parties known as “beneficiaries”.
The trustees hold and administer the assets within the terms of the trust. It is common practice for the settlor of a trust to provide the trustees with a letter of wishes which, although not legally binding, will serve to guide the trustees in regard to the exercise of their powers and discretions.
Trusts may be established for all manner of objectives:
- to make tax or succession planning arrangements
- preservation of family property and protection against political risk
- avoidance of inheritance laws or probate formalities
- to defer or avoid the incidence of both income and capital taxes
- for estate planning: a trust can continue beyond the settlor’s death, ensuring continuity of ownership and management of a family’s property
Volaw can create and manage the optimum structure for your wealth structuring and succession planning needs using one of more type of Jersey trust:
- Employee benefit trusts
- Employee share option schemes
- Charitable trusts
- Purpose trusts
- Trading trusts
- Unit trusts
- Ownership of special purpose vehicles