A trust is a legal relationship where one person or organisation (the trustee) manages the assets for another person or organisation (the beneficiary).
People often establish trusts to provide ongoing financial security for friends or family who may be vulnerable or have a legal incapacity including:
- children under 18 years
- people with an intellectual or physical disability
- people who need ongoing financial support or assistance.
Trusts can also be established to protect assets (such as investments or real estate) during the lifetime of a loved one or for a specified timeframe, with the asset to be distributed to other persons or organisations as part of the estate.