A Trust is not a corporate entity, but rather a legal relationship between three key parties: the settlor, the trustees, and the beneficiaries. Offshore Trusts are among the most secure and effective financial planning tools available, offering confidentiality and asset protection while safeguarding your assets from financial risks. Offshore Trusts are recognized in many jurisdictions worldwide.

Benefits of Forming an Offshore Trust:

• Privacy:
  The terms of the trust are not made public, ensuring the confidentiality of the arrangement.

• Asset Protection:
  Trusts offer a way to protect assets. For example, by placing a property in a trust, the settlor ensures they are no longer the legal owner, thus protecting the asset from external claims.

• Holding Vehicle:
  Offshore Trusts can serve as a holding vehicle for other companies or structures. For instance, a trust can act as the Director and Shareholder of an Offshore International Business Company (IBC), providing additional flexibility in business arrangements.

Unlike a standard Offshore International Business Company (IBC), an Offshore Trust is structured around three main parties: the Settlor, the Trustee, and the Beneficiary.

What is a Settlor?

The Settlor is the person who places assets into the trust. The Settlor decides how the assets in the trust should be used, typically outlined in a document called the trust deed. In some cases, the Settlor can also be a beneficiary and benefit from the trust’s assets.

What is a Trustee?

The Trustee is the person responsible for managing the trust. They hold legal ownership of the assets within the trust and are tasked with managing them according to the Settlor’s instructions. Trustees are also responsible for handling the trust’s day-to-day operations, paying any taxes due, and making decisions on investments or asset use.

What is a Beneficiary?

The Beneficiary is the individual or group who benefits from the trust. This can include a family or a specific group of people. Beneficiaries may receive income from the trust (such as rental income from property held in the trust) or capital (such as shares in the trust that are distributed when the beneficiary reaches a certain age).

Why Set Up a Trust?

There are many reasons why individuals choose to establish a trust, with one of the primary benefits being the ability to control and protect family assets. For example, a property could be held within the trust, or the trust could be set up to pass on assets upon the Settlor’s death (a “will trust”).

Others choose to create a trust to maintain privacy, as the details of the trust are not publicly recorded, ensuring that beneficiaries can enjoy full confidentiality. Trusts offer an excellent way to protect assets, manage wealth, and ensure the privacy of all parties involved.

At Rezora Management, we can assist you in setting up and managing your Offshore Trust, ensuring it meets your specific needs for privacy, asset protection, and financial planning.