Trust: a solid approach to the succession and protection of family wealth

A Trust is a fascinating legal instrument that provides a solid basis for ensuring the continuity of family assets and facilitating the generational transfer of wealth

Originally created in medieval times and later developed in the context of Anglo-Saxon common law, the Trust was conceived to overcome legal obstacles and protect family assets.

Origins and modern developments

The idea of entrusting one's property to someone else for the benefit of others is not new. As far back as ancient times, land was entrusted to third parties to achieve specific objectives. In the Anglo-Saxon context, the Trust emerged as a means to overcome legal limitations in the management and transfer of property ownership. In this way, beneficiaries could access the benefits of the wealth without formally being owners.

A key step in the adoption of Trust in non-Anglo-Saxon countries was the Hague Convention, which opened the door to this legal figure worldwide. This enabled its use in wealth and succession planning to ensure a smooth transition between generations.

Main benefits of Trust

Trusts are characterized by their versatility and unique advantages:

1. Protection: a Trust offers robust protection from creditors, allowing assets to remain intact for future generations.

2. Continuity: it is a perfect tool to ensure the continuity of family or business activities, avoiding undesired interruptions.

3. Flexibility: its adaptable nature allows it to be adopted for different purposes, such as the management of children's assets or charity.

4. Generational change: a trust facilitates generational change, allowing younger people to benefit from the family's assets in an efficient and fair way.

5. Confidentiality: privacy is a concern; the Trust permits information about beneficiaries to remain confidential.

Planning for the future

A trust is a powerful and versatile tool that protects assets and simplifies the generational transition. With its historical roots and modern adaptability, it is an ideal solution for families wishing to ensure a stable and sustainable future for the next generations.

Read the other articles of the Magazine

Cookie bar

We use cookies and other tracking technologies to improve your experience and analyse our website traffic.

Please consult our Privacy Policy for more information.

By clicking on “Accept”, you consent to your data being collected

You can change your cookie settings and disable cookies, except for essential functional ones, at any time.