A trust is a legal arrangement in which the trustees hold and manage legal ownership of assets for the benefit of one or more beneficiaries. The trustee is responsible for overseeing the assets according to the terms set forth in the trust agreement, ensuring that the interests of the beneficiaries are upheld.

Establishing a trust can offer several benefits, including:

• Succession Planning: Ensuring a smooth transfer of assets to heirs or beneficiaries.
• Confidentiality: Maintaining privacy regarding the distribution of your estate.
• Probate Avoidance: Streamlining the process to avoid lengthy and costly probate proceedings.
• Protection for Minor Beneficiaries: Safeguarding assets for children or dependents until they reach maturity.
• Vulnerable Beneficiary Protection: Protecting assets for individuals who may require special care or management.
• Complex Family Structures: Addressing the needs of blended or extended families.
• Asset Consolidation: Simplifying the management of multiple assets.
• Tax Efficiency: Strategizing to minimize tax liabilities.

In Singapore, common types of trusts include:

• Revocable Trusts: Can be altered or revoked by the settlor during their lifetime.
• Irrevocable Trusts: Cannot be changed or revoked once established.
• Discretionary Trusts: Trustees have discretion over how and when to distribute assets.
• Fixed Trusts: Beneficiaries receive specific shares of the trust assets.
• Charitable Trusts: Set up for charitable purposes.

Trustees have several key responsibilities, including:

• Fiduciary Duty: Act in the best interest of the beneficiaries.
• Asset Management: Oversee and manage trust assets prudently.
• Distribution: Distribute assets according to the terms of the trust deed.
• Record Keeping: Maintain accurate records of all transactions and decisions.
• Compliance: Ensure compliance with relevant laws and regulations.

Yes, you can typically change your trustee later on. Trusts often allow for flexibility in choosing trustees, and you can usually amend the trust document to appoint a new trustee if needed. It is advisable to review your trust agreement and consult with legal professionals to ensure any changes comply with the trust’s terms and legal requirements.