Can a Testamentary Trust provide asset protection?
The kind of risks to which your assets, and therefore your family’s inheritance, are potentially exposed include, for example: • family break-downs and divorce; • the challenges of blended families; • insolvency; • professional negligence; • drug and alcohol abuse and dependency; • being sued by vicious creditors; • the inability to manage one’s own affairs. By bequeathing your assets into a Testamentary Trust structure, the legal ownership and control of these assets is separated from the people who are to enjoy the benefit of the inheritance – but without exposing them to these risks. So your family achieves the best of both worlds. They have the ability to access the income and capital how and when needed but at the same time, their inheritance is protected by the structure set up in your Will.
