What are Trusts?

Trusts are a common tool used to transfer wealth. Trusts are administered by Trustees for the exclusive benefit of the beneficiaries. Among the responsibilities of a Trustee are protecting the assets in the trust, supervising the investment or management of the assets, and distributing the assets in according with the terms of the trust.

For a variety of reasons, managing Trusts can be a complicated and risky proposition. Among the complications and corresponding risks include:

  • A variety of complex provisions and strategies,
  •  Constantly changing laws in multiple jurisdictions,
  • Complicated and sometimes contradictory tax laws
  • Beneficiaries with conflicting interests and desires
  • “Family Dynamics” and “Changing Cultural Norms”
  • Reliance upon the performance of 3rd parties

The role of Trustee often is thrust upon an individual with little advance notice when a friend, family member, or client asks them to undertake the duty. As a result, many individual Trustees are not prepared for the role and they’re not equipped with specialized training or experience.

That, in large part, was the genesis of the Private Trust Consortium, to serve the needs of Trustees who need education, training, and other supporting programs to support the important role they are playing to manage the affairs and activities of Private Trusts.