Offshore Trust Types

> Collection Trust

Normally, a collection trust is arranged with relatively limited authority for the trustees (the party responsible for maintaining the trust). The assets and any generated income is held in the collection trust, with payments made to the beneficiaries at agreed-upon intervals.

> Holding Trust

A hold trust is usually arranged to hold specific assets (e.g. shares in another company). Given that this is a trust, it is managed with the benefit of the beneficiaries taken into account. For instance, a holding trust that is charged with holding shares will manage and vote those shares in the best interest of the trust holder.