TRUSTS
What is a Trust?
Generally, a trust is a relationship between three parties:
-
The Settlor - The person who sets up the trust by transferring property to the Trustee.
-
The Trustee - Receives the property from the Settlor and holds legal title to the property and administers the trust for the benefit of the Beneficiary(s).
-
The Beneficiary(s) - The person(s) who receive the benefits of the trust property.
A trust is a fiduciary relationship and is created when a Settlor transfers property to a Trustee for the benefit of the Beneficiaries.
The two most common types of personal trusts are:
-
Testamentary Trust – Is a trust that is created in person’s Will but only comes into existence when that person (Testator or Testatrix) dies.
-
Inter-vivos Trust (or living trust) – Is a trust that is created and comes into existence during the lifetime of the Settlor.
Why establish a Trust?
Trusts are extremely flexible and can be used for many beneficial reasons including:
-
Generational transfer of wealth
-
Business succession planning
-
Asset protection
-
Privacy - Inter-vivos (living) trusts are not subject to probate
-
Tax planning
-
Philanthropy
What is a Corporate Trustee?
A Corporation which has been authorized and is regulated by legislation to offer its services as a trustee and executor to the general public. Sorrell Private Trust is a Corporate Trustee.
Why Choose SPT as a Corporate Trustee?
The benefits of choosing Sorrell Private Trust over an individual trustee/executor include the following:
-
Professional experience and expertise - In the administration of trusts and estates which are often complex owing to changing laws, tax matters and diverse investments.
-
Objectivity – Impartial and objective decision making free from family bias.
-
Continuity – A primary objective for establishing a trust is typically to benefit future generations of family members. The choice of a Corporate Trustee/Executor ensures the longevity of the trust as it is not subject to the human frailties of an individual trustee.
-
Confidentiality – An impartial, objective, and professional Corporate Trustee/Executor has a fiduciary duty to maintain a client’s privacy and keep their matters in strict confidence.
-
Regulation and Compliance – Corporate Trustees/Executors are regulated and monitored by legislation and are held accountable to higher standards than are individual trustees.
It would be our pleasure to serve as a Corporate Trustee/Executor in the following capacities:
-
Trustee
-
Co-Trustee
-
Agent for Trustee
-
Charitable Trustee
-
Executor
-
Co-Executor
-
Agent for Executor
-
Power of Attorney