Offshore Asset Protection Trust
An offshore trust is an asset protection tool utilized by those whose primary goal is to ensure the preservation and safekeeping of their assets. The offshore asset protection trust is often used to protect against potential lawsuits, avoid probate costs, and secure assets during economic instability. To effectively protect your assets the offshore asset protection trust must be created and funded prior to any credible threat to your assets, thus being in compliance with the Uniform Fraudulent Transfer Act.
When you create your trust, you transfer your assets from your ownership to the ownership of the trust. You name a trustee, who can be yourself, a family member, another trusted individual, or trust company. The trustee manages the assets on behalf of the beneficiaries. The beneficiaries are the named persons or entities who you choose upon creation of the trust.
Professionals commonly use the offshore asset protection trust as a supplement to professional liability insurance, or as a protection against investments and activities that they are involved in that is not covered by their professional insurance. Additionally, the nature of the offshore asset protection trust allows you a great amount of privacy, which can encourage settlement negotiations with creditors. The offshore asset protection trust can also be used to protect retirement plans, to protect an anticipated inheritance, to avoid the high costs of probate, or supplemental a prenuptial agreement.
The benefits of an offshore trust include:
- Increase Privacy
- Encourages Lawsuit Settlement
- Tax Neutrality
- Foreign Law
- Diversification of Your Financial Portfolio
- Limits Professional Liability
- Protects Retirement Plans
If you would like to arrange a discussion regarding these matters in more detail, please feel free to contact our office to discuss your objectives.