For many commentators , Trusts are all about Tax. In fact, the UK system of Trusts predates our tax system by several centuries!

Meeting a potential new client, we were reminded that ‘It’s never just about the money’.

In this case the client had more assets than most of their peers, but, for a variety of reasons, were not ready to share this with their children yet. One reason for this is that, unfortunately, one of them is disabled and has a Trust established for them.

Again, bright and capable clients, but life had conspired to make things a little more complicated than it should have been.

Simply put, our role was to:

  • Act as a sounding board
  • Ensure that the investment of the trust was suitable for the Trust, not just for the general portfolio
  • Start to work with the rest of the family to improve their Financial Literacy and Education
  • Improve the tax efficiency of the overall portfolio – the Trust was NOT about tax saving
  • Reduce the portfolio risk – there was a large historic concentration risk

As ever, a reminder that its not about the money, its never about the products and it certainly has nothing to do with the funds chosen. It is always all about making sure that the family wealth does what it is supposed to do – secure the financial well being of the family!