How a Delegated Trust Works – American Personal Rights

Trustees can also invest their assets. The following is an review of how trusts delegated are used and what their advantages and disadvantages are.

When you work with an adviser-friendly trust firm the client chooses who their financial advisor will be and the choices they can decide for you. this advisor chooses a custodian. The trust may also be placed in any state it chooses. This allows you to more effectively manage your money.

There are disadvantages associated with trusts delegated to others. They are subject to a fiduciary liability when you make investment decisions in the hands of an investment advisor. Should a crisis arise then both advisors and you will be equally responsible. Costs are also more expensive. The fees you pay to your trustee are usually about 10-15% more.

When you’re creating the trust documents that stand alone or one that’s part in your will it’s important to be aware of what your options are. An attorney can assist you in incorporating all the components that you’d like to include in a trust.


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