The trustee of a Testamentary Trust can be a person or a company, and is responsible for managing the trust assets, making investment decisions, and distributing income or capital to the beneficiaries as specified in the trust deed. The beneficiaries can include family members, friends, charities, or other individuals or organizations named in the will.
One of the key benefits of a Testamentary Trust is that it can provide a level of protection for the assets from risks such as bankruptcy, divorce, or legal action, as the trust is a separate legal entity from the beneficiaries. It can also provide tax benefits, as the income distributed to minors or other low-income beneficiaries may be taxed at a lower rate.
Testamentary Trusts can be set up in a variety of ways, depending on the needs and goals of the will-maker and their beneficiaries. They can be structured to distribute income or capital in a particular way, to hold assets for a specific period of time, or to provide for specific needs or circumstances of the beneficiaries.
It's important to seek professional legal and financial advice when setting up a Testamentary Trust, as it can be a complex and technical process. A lawyer or financial adviser can help you understand the legal and tax implications, as well as the costs and requirements involved in establishing and managing a Testamentary Trust.