An offshore trust company is an agreement for the holding and administration of property under which the property or legal rights are vested by the owner of the property, also known as the Settlor in a person or persons known as the Trustees. The trustees manage the trust assets and distribute them to the Beneficiaries according to the trust deed and the proper law of the trust. The flexibility and protection offered by trust agreements have become an important part of long term wealth management.
By using an offshore trust company, it is possible for family assets to be preserved over succeeding generations free from taxation, probate requirements, succession laws, expropriation and foreign exchange controls.
An offshore trust company can only be created by an instrument in writing which should state the object, subject, intention and duties and powers of the trustees.
The trust company created by a written document can be classified as follows:
The most popular jurisdictions where trust companies are created include Cook Islands, Nevis, Isle of Man, Belize, Switzerland, Sweden and other countries in Europe. The laws in these jurisdictions provide unsurpassed asset protection and strong privacy laws that favor Beneficiaries.