Understand what family trust is in one minute.

Family trust has a history of several hundred years in the United States, and it is also very popular in China and Hongkong. Family trust is still a new thing in Chinese mainland, but with the growth of age, the top rich in Chinese mainland have also changed from the initial stage of creating wealth to the current stage of maintaining wealth. In addition, in recent years, China has been studying the implementation of inheritance tax, and I believe that family trust will soon enter the public's sight. Family trust is mainly aimed at the isolation, protection and inheritance of assets. In the United States, it is basically standard for wealthy families. Family trust has the functions of tax avoidance, wealth inheritance, property isolation and enterprise stability.

Tax avoidance. Mainly inheritance tax. The trustor can transfer the wealth to the beneficiary through the trust. The property legally incorporated into the trust does not belong to the client, so it naturally does not belong to the category of inheritance, and there is no need to pay inheritance tax.

Wealth inheritance. As the old saying goes, wealth is a family heirloom, but it's only three generations. In foreign countries, those top rich people can guarantee the inheritance of family assets for a hundred years through family trusts. Rockefeller, the famous founder of Standard Oil Company, used family trust to make his huge family assets continue from 1934 to this day.

Property segregation. Once the assets are entrusted to the trust institution, a wall will be built between the trust property and other properties, so that the client will not be liquidated or divided when facing the bankruptcy or divorce of the company.

Stabilize enterprise development. Because the trust has the function of isolation, wise entrepreneurs will put the equity of their own enterprises into trust assets to prevent the equity separation caused by divorce and other changes, and listed companies will also cause stock price fluctuations and endanger the company's interests.