Trustee Services

Codan Trust provides a variety of services to its clients and specialises in trust administration with confidential personal service tailored to the client’s particular requirements. These requirements commonly include ownership of a family run business, wealth preservation and succession planning or commercial applications of trusts. Each trust is administered by an experienced trust manager who often works with professional advisors, investment managers and custodians, to coordinate and oversee the affairs of the trust and any related companies. Examples of the types of trusts Codan Trust administers are as follows:

Discretionary Trust

The discretionary trust often provides the most flexible and efficient structure for the settlor and the beneficiaries. Under the terms of a discretionary trust, the trustee is given wide powers over the trust fund to make decisions in the best interests of the beneficiaries as a whole. For this reason the beneficiaries are regarded as not having a specific interest in the trust, but only a right to be considered when the trustee exercises its discretion.

Fixed Interest Trust

Under a fixed interest trust, primary beneficiaries will normally be granted a right to receive the income (and possibly a portion of the capital) of the trust fund and the trustee’s discretion over the trust fund will be limited. Secondary beneficiaries may also be included who will have rights after the primary beneficiaries’ rights have terminated.

Charitable Trust

A charitable trust may be established under Bermuda law to create a charitable fund or to make provision for existing charitable institutions or purposes. Charities may also be created in the form of a company limited by guarantee:

Purpose Trust

A purpose trust is created for the benefit of purposes and not for persons. Purpose trusts have been used in a variety of commercial transactions including ownership of private trustee companies, ship and aircraft financing, insurance company ownership structures, and securitization structures.

Pension & Employee Benefit Trust

International businesses may wish to establish pension and employee benefit structures in jurisdictions such as Bermuda, the British Virgin Islands or the Cayman Islands. The use of such trusts to hold assets can offer added protection to the assets for the benefit of employees and the employer. The trust can help avoid unduly onerous regulations and, in some cases, can provide for tax savings.

Commercial Trust Structures

The Codan Trust administration team are familiar with specifically crafted escrow trusts, insurance trusts, listing trusts or other trusts designed for a corporate purpose or transaction.