You’ve likely been advised that establishing a trust or foundation is an effective way to hold, protect and manage your wealth. Here we summarise why you might want one of these – to let you know what you’re getting into and how you will likely benefit.
Advantages of a trust
- Trusts are very flexible - they can be adapted to take into account the changing needs and circumstances of a family.
- A trust allows the settlor to ensure that the trust assets are used to benefit his chosen beneficiaries in accordance with his wishes.
Advantages of a foundation
- A foundation has a corporate personality. Foundations are popular in civil law jurisdictions where the use of trusts is less common.
- Foundations are very flexible - they can be adapted to take account of the changing needs and circumstances of a family and a family business.
Read our guide for the full list of advantages and features of trusts and foundations.
Trusts or foundations often form a key part of structures set up to provide a means of sharing, managing and maintaining a family’s wealth, protecting it for future generations.