Private banking management fees?

[Martin Everson]

BlueMist said:
What about investments (stocks) or properties? Can they also be put onto such trust?
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Yes and Nedbank has its own investment platform also to make it easy. However the stocks don't even need to be on their platform it can be anywhere but will just make it a little more cumbersome to manage. Property, art, gold and literally most assets can be placed into the trust.

BlueMist said:
If so, why not to use such trust by default?
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Well you can't control the assets in a discretionary trust. Also thinking you can stick stocks and bonds in there and then control them wont work. The term discretionary means the trustees decide how assets are distributed. A letter of wishes you create for the trust however can be used to provide guidance to the trustees. However it is also important if you have stocks in the trust to appoint a portfolio manager to the trust. Appointing one early helps in case you become a vegetable after a car accident for example and the trust needs the stocks to be manager. Nedbank provides portfolio managers as an extra service. You can discuss with them early your investment wishes and style or leave written instructions and if worst happens everything gets fully managed with them already appointed.

BlueMist said:
Does having such trust help or make it easier passing the wealth towards family members?
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100% yes.

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Please note my posts should not be taken as financial or tax advice. Please seek professional advice in that respect.

 

[TrueTroop]

Nacho said:
Nedbank Private Wealth in Isle of Man will give you a dedicated ”˜Client Advisor' and allow you to open USD EUR and GBP accounts with Visa debit cards and zero fees. Good experience for me so far!
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What exactly is "zero fees" with them?

Never heard of them, and they are originally from South Africa so a little skeptical but still interested...

 

[BlueMist]

Martin Everson said:
Well you can't control the assets in a discretionary trust. Also thinking you can stick stocks and bonds in there and then control them wont work. The term discretionary means the trustees decide how assets are distributed. A letter of wishes you create for the trust however can be used to provide guidance to the trustees. However it is also important if you have stocks in the trust to appoint a portfolio manager to the trust. Appointing one early helps in case you become a vegetable after a car accident for example and the trust needs the stocks to be manager. Nedbank provides portfolio managers as an extra service. You can discuss with them early your investment wishes and style or leave written instructions and if worst happens everything gets fully managed with them already appointed.
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Interesting, thanks for sharing. I wonder what long term use of such trust could be. For instance I build some nice investment stock portfolio over the years but let's say I don't want to allow next generations to withdraw more than 3% p.a. from it. I don't want next appointed family trustee to ruin the wealth overnight in Vegas lol. I also wonder what are the chances of the bank or such portfolio manager of any wrong doing?

 

[Nacho]

TrueTroop said:
What exactly is "zero fees" with them?

Never heard of them, and they are originally from South Africa so a little skeptical but still interested...
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Zero fees = no monthly or annual fees of any kind for maintaining your multi-currency accounts

 

[Martin Everson]

BlueMist said:
Interesting, thanks for sharing. I wonder what long term use of such trust could be. For instance I build some nice investment stock portfolio over the years but let's say I don't want to allow next generations to withdraw more than 3% p.a. from it. I don't want next appointed family trustee to ruin the wealth overnight in Vegas lol. I also wonder what are the chances of the bank or such portfolio manager of any wrong doing?
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That's where the Letter or Wishes you leave with the trust comes in. You outline in it clear instructions on how everything should be managed. If you start trust early you can watch trust assets being managed. For me watching the next generation squander wealth like buying a Bugatti Chiron and spending rest on strippers is enough to create a trust where next of kin just get an allowance.

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Please note my posts should not be taken as financial or tax advice. Please seek professional advice in that respect.

 

[tacokai]

Martin Everson said:
For me watching the next generation squander wealth like buying a Bugatti Chiron and spending rest on strippers is enough to create a trust where next of kin just get an allowance.
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now I know what you are doing in your spare time. Watching peter schiff in the strip club.

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[MiddleEuroAsia]

@TrueTroop there is also the UOB option, but you need to join their Privilege Banking program by having a minimum $350,000 SGD in deposits/investments with them. Could be what you're looking for.

 

[ShillGates]

UOB? whatsthat for a thing - and why do we need 30 characters....

 

[jjrapy]

OffMyBack said:
UOB? whatsthat for a thing - and why do we need 30 characters....
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united overseas bank