The trust is as a legal relationship created inter vivos or upon death by the settlor, having its assets placed under the control of a trustee for the benefit of a beneficiary or for a specified purpose.
– They can be testamentary / inter vivos/ long – short term/ family, business – financial – tax and even management motivated. There is not a law of trust as an isolated abstract entity; each shall be analyzed in accordance with the competent field.
– Trusts can be used by individuals in the financial markets as investment or mutual funds; they can be used as a fiduciary administrator model; in the asset protection context or even as part of a meticulous tax or succession planning.
– Trusts can also be used by companies in commercial transactions, in the solicitation of public offerings, as an alternative to shareholder agreements or in the hedging process as substitutes of pledges and fiduciary deposits. They may also be used to liquidate a company, as part of a stock option plan or of an international bond issue.
Trusts can be many things, but most of all they can be offshore…