A family trust is a type of private trust. A family trust is any trust vehicle that you've set up to benefit members of your family. The family trust is a popular vehicle in estate planning. You know your family best, and a family trust can help you customize how you provide for your family, both during your lifetime and after your death.
The initial trust property of a family trust can be:
· Current assets (e.g., cash, securities, fund units)
· Fixed assets (e.g., land and real estate, art, antiques, and collectibles)
· Contracts and agreements (e.g., including insurance contracts, private contracts, commercial agreements)
Benefits of a Family Trust:
· Avoid expensive court procedures for the application of probate while the estate might be frozen during the probate period.
· High confidentiality. Estate information does not become a public record like a Will.
· Promote family harmony since family trust is very difficult to refute or challenge.
· Prevent squandering money for pleasure in the next generations. A family trust can distribute the property exactly as you want to avoid future generations being profligate.
· Scalable. the establishment can increase assets at any time as needed.
· When the client loses the legal physical and will judgment ability, it is not necessary to appoint an asset manager through a certified court.