A financial trust is a legal agreement that allows you to preserve a portion of your assets under the management of a trustee for the benefit of a designated beneficiary like a child, spouse, relatives or a philanthropic cause. If you are in the process of setting up a trust, it is highly important to find dependable trustee management services that can assure you that your assets will be properly managed. To help you get started, this is a quick guide on what to know when in search of trustee management services in Nigeria.
What is Trust Management?
Trust management is the professional handling of a Trust by an appointed trustee, who is also known as a trust manager, on behalf of designated beneficiaries. Trustee management services are offered by legal and financial institutions to individuals or businesses who have set up a trust. These services include estate administration responsibilities, financial planning and accounting duties, as well as investment management services to ensure the preservation of wealth for beneficiaries of the trust.
Types of Trustee Management Services in Nigeria
1. Private Trustee Management Services
Private trustee management services cater to high net-worth individuals and families and provide financial and legal expertise in handling private trusts such as a living trust, education trust, charitable trust or family trust.
What do Private Trustee Management Services Involve?
Private trustee management services typically provide financial and legal services such as:
- Estate Administration
This involves creating and executing a comprehensive and integrated estate plan for the distribution of your assets in the event of death.
- Will Writing
This ensures that your wishes for the handling and distribution of your property and assets in the event of your demise or incapacitation are well documented.
- Investment Management
Ensures wealth preservation through careful management of assets, investments and businesses according to the wishes of the grantor.
Involves keeping track of client funds held in trust and reporting income and taxes to the government as well as beneficiaries
2. Corporate Trustee Management Services
Corporate trustee management services provide a wide range of financial and legal solutions designed for the handling of corporate trusts. Corporate trusts are used by business entities and institutions to transfer the management of their assets and other specialised aspects of their finances to a trustee.
What do Corporate Trustee Management Services Involve?
Corporates trustee management services involve various complex financial solutions:
- Securities Trusteeship
Requires a Trust company to act as the point of contact between a borrower and lender.
- Corporate Bonds Trusteeship
This involves giving a trustee the fiduciary capacity to implement a bond on behalf of the issuing entity.
- Escrow Services
Involves entrusting a Trust company with custody over cash or significant assets on behalf of two parties that are in the process of completing a transaction.
- Share Trusteeship
Involves entrusting a Trust company with custody of the documents of ownership of shares for a company’s employees.
- Syndicated Loan Arrangements
Involves a trustee arranging syndicated loan agreements where a group of lenders collaborate to give cash to a single borrower.
Benefits of Trustee Management Services
With seasoned financial and legal experts at your disposal, individuals, as well as corporate entities can benefit greatly from professional trustee management services. Here are some of the major benefits:
- Professional administration of assets and investments
- Tax minimization
- Succession planning
- Asset preservation
- Tax minimization
- Financial privacy
Get the Best Trustee Management Services in Nigeria From FBNQuest
FBNQuest is a leading provider of trustee management services in Nigeria. Our individualised services support individuals and institutions to preserve wealth and manage their assets towards any financial goal.
To learn more about our trustee services, visit fbnquest.com/trustees/solutions/