The most common forms of trusts are settled trusts which can be either:
- Discretionary trusts, the trust deed permitting the trustees to exercise discretion in making distributions to beneficiaries.
- Interest in possession trusts, where the beneficiary has an absolute entitlement to the income of the settlement.
The form of trust to be used will depend upon individual circumstances. The services of local trust companies operated by firms of accountants, banks and advocates in the Islands and by independent trust companies are available. Further details regarding the establishment and operation of trusts are set out in chapter 10.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.