The form of trust which is usually established offshore. The 'discretions' are vested in the trustee who can usually decide which of the beneficiaries is to benefit, when and to what extent. Discretions are exercised under advice of, or suggestions from, the settlor/protector.
trust under which no individual has a right to an interest in possession. Generally, the trustees have the power to decide who should receive the capital or income from the trust.
A trust that allows the trustee to distribute or withhold distribution of the trust's income and/or principal to beneficiaries at the trustee's discretion.
trust which can select from a wide variety of investments.
A trust which allows the trustee discretion in making distributions of income or principal to the beneficiary.
This is a trust created in your will in which the Trustees are empowered to provide in their own discretion for the needs of the heirs concerned.
In the context of mutual funds, refers to a mutual fund or unit trust whose management decides on the best way to use the assets without restriction to a specific type of security. In the context of trusts, refers to a personal trust in which a trustee has the power of decision as to how much income or principal each beneficiary receives.
a trust that gives the trustee discretion to pay the beneficiary as much of the trust income as the trustee believes appropriate
a commonly-used type of trust that is set up so that all income and benefits from the assets held in the trust are distributed at the discretion (hence the name) of the trustees
an arrangement where the trustee may choose, from time to time, who (if anyone) among the beneficiaries is to benefit from the trust, and to what extent
a special kind of trust fund you set up for your child in which the money, property, possessions, etc
a trust in which some or all of the beneficiaries do not have a fixed entitlement to any part of the trust property
A trust where the trustee has full power to decide when and which members of a group of beneficiaries are to receive their income or capital.
A type of trust where the trustee can control the allocation of income and capital to beneficiaries.
A trust where property is given to trustees who have a discretion as to which members of a specified class of persons they will pay the income of the trust property or transfer the capital to, and in what proportions. It is a trust whereby a beneficiary may have no automatic right to any part of the capital or income of the trust fund and where the trustees have full discretion as to when to make payments in respect of the capital part of the fund or the interest generated by it and as to whom those payments are made. Close
A trust where the trustees have discretion over who, within a specified group of individuals, shall receive benefits and in what proportions.
allows a trustee (who holds an interest in property for the benefit of another who is known as the beneficiary) complete discretion to distribute capital and income to the beneficiaries specified in the Trust Deed. A non-discretionary trust would restrict the trusteeâ€™s freedom. Discretionary trusts are used mainly for a familyâ€™s affairs.
A legal device by which one person (the settlor) transfers assets owned by him/her to a second party (the trustee) who holds the assets for the benefit of a 3rd party (the beneficiary). Leaves the distribution of wealth from a trust up to the trustee.
A trust where the benefits are payable at someoneâ€(tm)s discretion (usually the trustees).
Where property is left in a Will to trustees whose discretion it is to decide who should receive it
A trust that lets the trustee decide to pay the beneficiary or not. For example, the Trustee can decide not to distribute funds if it is for the repayment of the beneficiary's debts.
A trust in which the settlor has given the trustee full discretion to decide which (and when) members of a group of beneficiaries are to receive either the income or the capital of the trust.
This gives full power to your trustees to administer the trust assets of your estate at their own discretion. This can be useful for tax planning purposes where assets can be passed to children in order to reduce the tax liability of the deceased person.
A trust that allows the trustee to distribute or withhold distribution of the trust's income and/or principal to beneficiaries at his or her discretion.
A grantor trust in which the trustee has complete discretion as to who among the class of beneficiaries receives income and/or principal distributions. There are no limits upon the trustee or it would cease to be a discretionary trust. The letter of wishes could provide some guidance to the trustee without having any legal and binding effects. Provides flexibility to the trustee and the utmost privacy.
Arrangement in which the TRUSTEE has the authority to make INVESTMENT decisions and has control over investments within the framework of the TRUST instrument.
This is a type of trust where the trustees can decide who will benefit from the trust and how much they will get.
Mutual fund or unit trust where the management decides on the best way to invest the assets. The fund is not limited to a specific kind of security. See: Mutual Fund; Unit Investment Trust
A trust in which the trustee (the person responsible for governing the trust) has the authority to use or not use the trust funds for any purpose, as long as funds are expended only for the beneficiary.
A discretionary trustSometimes referred as a family trust in Australia is a trust where the beneficiaries and/or their entitlements to the trust fund are not fixed, but are determined by the criteria set out in the trust instrument by the settlor. Where the discretionary trust is a testamentary trust, it is common for the settlor to leave a letter of wishes for the trustees to guide them as to the settlor's wishes in the exercise of their discretion.