Private trust companies (PTCs) are commonly used by HNW families in their wealth structuring, for a variety of reasons. PTCs act as the sole corporate trustee to a specific trust or a number of trusts, which together hold the family’s varied interests. As the sole trustee to the family’s structure, the PTC is dedicated to managing their wealth, with the board comprising family members and trusted advisors, who are involved in decision making alongside established fiduciaries. PTCs therefore offer enhanced confidentiality versus appointing institutional trustees who operate many separate trusts. Foundations are similarly private structures used by HNW families, often for charitable or philanthropic purposes. The Foundation’s charter sets out its specific objective, with its council administering the foundation’s assets towards the furtherance of that objective. The council will usually comprise trusted advisors and fiduciaries, alongside key family members who help apply the family’s long-established values and ethos to the Foundation.
- Private and confidential structures for managing entirety of family’s wealth
- Family members can be intrinsically involved in decision making
- Family’s values, ethos and legacy can be secured
- An UHNW politically exposed person was referred to us by his private bank, as he was seeking to structure his family’s significant wealth in a single overarching structure. A number of specific trusts were established to manage different segments of the family’s wealth, with a PTC providing coordinated administration of these trusts. Key family members were appointed to the board of the PTC, alongside trusted lawyers and asset managers who were selected for their knowledge on the family’s affairs and aims. Dominion directors were also appointed to the board to safeguard governance and compliance standards.
- We established a foundation for a high – profile individual from Central Europe who wanted to transfer part of his operational business into the foundation for asset protection purposes as well succession planning. He also, with our assistance, created a mechanism for appointing guardians and council members to the foundation to allow for his children to start participating in the family business.