Family Trusts

What is a Family Trust?

A family trust is a mechanism to protect assets for the benefit of specific persons (beneficiaries). 

A family trust can provide you with peace of mind, and continued security for your family. A properly planned trust deed will protect your assets against the risks of tomorrow and provide financially for future generations too. 

How do they work?

When the settlor, who originally owns the assets, decides they want to establish a family trust, they do so by creating a trust deed. The deed carefully outlines the trustees, beneficiaries, and how the trust is to be managed. The settlor gives their assets to the trust or trustees. Those assets then belong to the Trust. The Trustees use that property for the benefit of the beneficiaries who are specifically named individuals, groups or entities under the terms of the trust.

Why have a Family Trust?

Trusts allow you to:

  • Keep assets within the family, for instance pass on wealth from generation to generation and preserve it from becoming relationship property or part of a blended family.
  • Assist your children or grandchildren with funds for specific purposes such as education and maintenance.
  • Provide ongoing support of those with special needs, addiction or those who have difficulty managing their own finances. Trustees can pay for living and maintenance expenses from the trust, while keeping the bulk of the fund prudently invested.

Contact one of our Trust Managers to find out if a family trust is right for your circumstances.