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Trustee
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https://www.oldmutualwealth.co.uk/globalassets/documents/literature-library/omwla/generic-and-intermediary/omw_sk6867_a_guide_to_investment_for_trustees.pdf
https://whichinvestmenttrust.com/trusts-we-like/
http://www.telegraph.co.uk/investing/funds/telegraph-25-favourite-funds-has-buy-list-performed/
http://monevator.com/low-cost-index-trackers/
http://monevator.com/automatic-investing/
may be worth a read.
Be sure that you establish the type of Trust - probably accumulation/discretionary for tax purposes?0 -
You are getting excellent comments latterly from xylophone and Alex. Edit: and apologies should have included you here too Ian!
You MUST initially understand your responsibilities as trustees.
The trust will have costs even if no more than tax so you need a trust account to operate the trust.
You will need to inform HMRC trusts and complete a trust tax return each year regarding income and capital gains.
You cannot divide up the funds into individual accounts on behalf of the beneficiaries - you do not know how many there will be and your costs come out of the trust's funds.(you are right therefore as mentioned at the outset to be very aware of professional fees both initially and recurring ones).
My experience would lead me to not have a trust of that amount set up from any estate I might leave!
There is such a thing as a deed of variation that might be employed to effectively change a will -provided the beneficiaries agree but I doubt if that would be appropriate when the beneficiaries are not adults or even unknown at present. You would need to get legal advice regarding that!!
Trusts can look simple especially when you have been given the freedom to invest as you choose by the settlor (your father) but you hands are also tied to an extent by trust law and ensuring you do EVERYTHING in the best interest of the beneficiaries. That might not be just what you think is best for them!
Good luck.0 -
Heedtheadvice wrote: »There is such a thing as a deed of variation that might be employed to effectively change a will -provided the beneficiaries agree but I doubt if that would be appropriate when the beneficiaries are not adults or even unknown at present. You would need to get legal advice regarding that!!
A Deed of Variation is a complete non-starter. Minor beneficiaries do not have the legal capacity to make a deed, and as I said in my earlier post, the class of beneficiaries of this trust does not crystallise until 1.1.2030 so you are stuck with administering this will trust until you can finally pay out to the youngest beneficiary born before that date, when he or she reaches 18.0 -
Thanks for clarifying Ian.
I thought that was the case but was not absolutely certain!0 -
one more question! have been looking at the types of trust on HRMC. xylophone mentioned to establish the type of trust
"Be sure that you establish the type of Trust - probably accumulation/discretionary for tax purposes"
Is this something we as trustees determine, or does the trust set out what it should be?0 -
Is this something we as trustees determine, or does the trust set out what it should be?
It is not a bare trust.
https://www.gov.uk/trusts-taxes/types-of-trust
See above and check with your solicitor.
As it is not a bare trust and as you propose stockmarket investments see
https://forums.moneysavingexpert.com/discussion/comment/73883589#Comment_738835890
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