Comparison Of Will, Trust And Foundation


WILL TRUST FOUNDATION
Purpose For estate planning For assets protection, estate and tax planning For assets protection, wealth management and succession planning
Maintenance Cost Low fee (fixed) Varies depends on assets value Relative low (fixed)
Registration Optional Optional Registration is required
Legal Structure Effective after death Need to go through probate process Effective after Trust instrument created Trustee to execute according to Letter of Wishes Effective when the Foundation is registered Foundation can be dissolved and distribute the assets to the beneficiaries and continue the legacy
Ownership of Asset Legal title remains with the Testator prior to the demise of the Testator Trustee having the legal title on the asset and the beneficiary having the beneficiary ownership on the asset The Foundation having legal title on the asset that endowed by the Founder into the Foundation
Creditor/Forced Heirship Proof No creditor/forced heirship proof Yes, after 5 years Yes, after 2 years
Constituent Document Will or other legal instrument Trust Deed Charter and/or Articles
Duration The latest Will supersede the earlier Will Fixed duration or perpetuity Fixed duration or perpetuity
Rights of Beneficiary to Assets Upon the execution of the probate Upon distribution in accordance with the Trust Deed Upon the distribution to the beneficiary in accordance with the Charter and/or Articles of the Foundation

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