The trustee becomes the manager of the assets and is responsible for safeguarding them for the benefit of the named beneficiaries in accordance with the terms of the trust deeds.
Subject to certain conditions, there will be no local taxes applicable to the assets and income of the trust.
Trusts may be used to hold the following kinds of assets, amongst others, for the benefit of the beneficiaries:
- stocks and shares
- investment portfolios
- real estate
- intellectual property rights
Advantages of a trust are:
- privacy - in the Isle of Man there is no public recording of trust deeds
- asset protection
- recognition in common law jurisdictions
- useful for international tax and estate planning