Pacific TrustPlan
A Pacific TrustPlan is set up for the maintenance, education and benefit of children and grandchildren. The main aim is to provide for the daily needs of Beneficiary/ Beneficiaries and payment of their educational expenses.
Trust Benefits
- Assets and monies are properly invested
- The Trustee manages, and administers the Trust Assets independently
- Trust Fund monies are utilized for the intended Beneficiary/ Beneficiaries
- The terms of distribution are decided by the Settlor (owner)
Who should set up this Trust
- Parents or key providers of young children
- Anyone who has invested in insurance policy/ policies and has dependents
A life assurance policy can be assigned to Pacific Trustees absolutely to create an Insurance Trust instantly in favour of the spouse and/or children named as Beneficiary/ Beneficiaries in the policy. When the insured dies, the insurance proceeds do not form part of his/ her estate and consequently no Grant of Probate or Letter Administration is required in making claim. Furthermore, the insurance proceeds are protected from creditors subject to Section 52 of the Insolvency Act.
A Care Trust is the most common living trust created by a Settlor to provide regular maintenance (e.g. living, educational and medical expenses) to his/ her dependents or those who require special need or care.
- Suitable for widows/ minors/ elderly parents/ spendthrift children/ handicapped children or dependents, etc.
- Trust administration will take effect immediately upon creation of the Trust
- Funded by liquid assets or income-generated assets
- Can be fixed or discretionary (power given to Trustee to decide on the distribution)
- Trustee holds and manages the trust asset and provides maintenance to the Beneficiary/ Beneficiaries monthly/ quarterly/ yearly
- Settlor can impose certain conditions to be fulfilled by Beneficiary/ Beneficiaries to receive the benefit from the Trust (e.g. upon completion of tertiary education)
A Pacific Insurance Trust (PINT) is created by using insurance policy/ policies where only the Trust will receive the insurance monies (Trust Asset) upon the triggering event (the insured’s death) to benefit his/ her Beneficiary/ Beneficiaries.
- Trust administration will take effect only upon the insured’s death (triggering event)
- Easily-funded trust whereby Settlor will continue to pay low premiums
- Settlor can include additional insurance policy/ policies from time to time
- Ready fund to maintain dependents upon the insured’s death
- Settlor can allocate a special fund for the Beneficiary/ Beneficiaries for specific purposes, such as educational expenses and business capital
- Settlor can ensure the insurance proceeds are used wisely by the Beneficiary/ Beneficiaries
An Investment Trust is an accumulative trust created using investment funding to benefit the Settlor or his/ her Beneficiary/ Beneficiaries.
- Trust administration will take effect immediately upon the creation of the Trust
- Funded by investments such as unit trusts, shares, cash and real estate
- Settlor can either use his/ her own expertise or engage an investment advisor
- Return on investment to grow the size of the Trust
- Settlor and Beneficiary/ Beneficiaries can receive the benefit of the Trust during their lifetime
- Beneficiary/ Beneficiaries can continue to receive their entitlements after Settlor’s demise
A Protective Trust is a private purpose Trust created by the Settlor to provide maintenance, education or medical expenses to his/ her dependents, such as handicapped or spendthrift children, and elderly parents.
- Trust administration will take effect immediately upon the creation of the Trust
- Funding is through liquid assets
- Settlor will determine fixed maintenance amount for Beneficiary/ Beneficiaries during his/ her lifetime
- Trustee will continue to pay Beneficiary/ Beneficiaries’ entitlement(s) of benefits according to the terms and conditions stated in the Trust Deed
A Protective Trust is a private purpose Trust created by the Settlor to provide maintenance, education or medical expenses to his/ her dependents, such as handicapped or spendthrift children, and elderly parents.
- Trust administration will take effect immediately upon the creation of the Trust
- Funding is through liquid assets
- Settlor will determine fixed maintenance amount for Beneficiary/ Beneficiaries during his/ her lifetime
- Trustee will continue to pay Beneficiary/ Beneficiaries’ entitlement(s) of benefits according to the terms and conditions stated in the Trust Deed
Charitable Trust/ Foundation
A Charitable Trust is created by a Settlor to benefit the community with the purpose of relief of poverty, education, religion, etc.
A Charitable Foundation is a charitable body which requires incorporation with the Companies Commission of Malaysia. It can receive funds from the public and make donations to the community.
- Charitable Foundation can apply for tax exemption for itself and tax deduction for donors.
- The Foundation can exist in perpetuity.
A Business Succession Trust is a trust arrangement where business partners agree to transfer their portions of business shares to surviving partners upon each other’s death.
- The business set-up will make a valuation and purchase life insurance policies on each partner’s life and assign the policies to Trustee absolutely
- Each business partner will transfer his/ her shares to Trustee
- Trust administration will take effect upon the death of any partner (triggering event)
- Trustee will receive the insurance proceeds and pay to deceased partner’s family and transfer his/ her shares to surviving partners
- Smooth transfer of deceased partner’s business interest to surviving partners
We also provide professional advisory consultation in structuring and creating customised Trusts whereby Pacific Trustees acts as the Trustee to safeguard the best interest of Beneficiary/ Beneficiaries. With our vast expertise and experience, we can tailor-make a Trust that works best for you. Please contact us for a personalised plan to meet your specific criteria.
Trust Benefits
We also provide professional advisory consultation in structuring and creation of Trust whereby Pacific Trustees Berhad acts as the Trustee to safeguard the best interest of Beneficiaries.
Trust administration involves overseeing the assets held within a Trust. It is a necessary process that occurs after the Settlor’s death. The Trust Administrator oversees the distribution of assets within the Trust according to the Settlor’s wishes.
Offshore Trust Creation and Administration
- Singapore Offshore Trust
- Labuan International Business and Financial Centre
- Other offshore jurisdictions