Trust & Estate Planning
A trust is an entity created to hold assets (or property) managed by a designated individual or a company (known as the trustee) according to instructions of an individual or company (known as the settlor) typically set out in a trust deed. Normally, the trust is created by the settlor’s signed declaration instructing the trustee regarding ownership, investment and distribution of assets designated to be owned under the trust.
Hong Kong is not considered a “tax haven” and therefore enjoys a deserved reputation for business and financial legitimacy. Jurisdictions which attempt to hide assets through private registries and obstructive procedures are justifiably targeted by foreign authorities and have little relevance to legitimate pension planning and management. Hong Kong, conversely, provides an established, straightforward, low-tax system that attracts legitimate and transparent pension planning for both international and local clients.
Three Treasures for the Elderly
It is prudent to plan ahead for the future legally and have your affairs organized according to your wish.
A will is a private legal document setting out how you would like to give or manage your assets and, where appropriate, give guidance for the guardianship of your children in the event of your death. Without a will, property and money is distributed to family members in shares as described under laws of Hong Kong.
Upon an individual’s death, his or her assets (known as the estate) must be processed through probate. Essentially, probate is the management and/or distribution of the estate according to the deceased’s will (if one exists, if not under the applicable probate rules) in the accordance with the laws of Hong Kong.