Trusts and Foundations have an important role in the holding of wealth, particularly if you have assets outside of the UAE. In the right circumstances they can allow wealth to be preserved, protected and effectively passed onto future generations. So, whether you require estate management, succession planning or asset protection, Trusts and Foundations are a beneficial way to protect your assets in safe and tax neutral jurisdictions.
Even though Trusts and Foundations hold a similar end goal for the client, they both have their differences and largely depend upon the type of Trust/Foundation, and location of the structure.
What is the difference?
A Foundation is a term commonly used to refer to a separate legal entity without needing other members or shareholders, established under the wishes of a founder, whereas, a Trust is a legal arrangement by deed and not a registered entity. It is formed for the purpose of placing assets onto the name of a trustee, who holds the legal title of assets for the benefit of its intended beneficiaries.
At Alderley Global, we have experienced Trust professionals to help you effectively set up a Trust or Foundation.