What Is a Trust?

A trust is a three-party wealth management arrangement in which the settlor (the asset grantor) transfers assets to a trustee, who professionally manages them for the benefit of beneficiaries (which may include the settlor or others). This ensures that assets are effectively operated and protected according to your wishes.

Trust structures are widely recognized around the world. In Hong Kong, they not only comply with local regulations such as the Trustee Ordinance (Cap. 29) and the Recognition of Trusts Ordinance (Cap. 76), but also meet the requirements of the Hague Convention, enabling international courts and financial institutions to easily recognize and apply this framework.

Trust law originates from the centuries-old English legal system, initially designed to address gaps in common law. Today, these historical precedents remain a core legal foundation in Hong Kong and many Commonwealth jurisdictions.

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