stages of transferring assets into trust management
Posted: Tue Jan 28, 2025 6:24 am
Transferring any property, whether real estate, money or securities, into trust management consists of six steps:
Selecting the object of the contract
First, decide what exactly you want to transfer to the trust. Your potential income, the criteria for choosing a manager, the size of his bonus and the term of the agreement depend on the object. Under no circumstances should you transfer to management the money that you may urgently need, and soon: the trust does not guarantee either income or the preservation of the invested amount, and by abruptly ending the trust management, you may lose your funds.
Selecting a counterparty
Choose among well-known south korea email list management companies with an unblemished reputation and, of course, a license for this type of service. Do not trust your property, money and rights to suspicious persons posing as representatives of financial organizations.
Collection of documents
Each management company has its own list of documents that the client must present. Everything depends on how the intermediary is to manage the entrusted assets and on the level of participation of the principal in the management.
Trust management of assets
Execution of the contract
Ask the management company representative clarifying questions on all unclear and controversial points of the agreement. All phrases present in the agreement should not allow for double interpretation and hidden meanings. If in doubt, demand that the wording be changed. Usually, management companies have a general template of the trust management agreement, which includes only the client's details, the validity period of the document, the amount of payment for the service and the rights of the founder - check all this carefully.
Management company remuneration
The payment can be fixed (and then the client pays the entire amount immediately after the contract is concluded) or represent a share of the profit received. The second option is more profitable for the founder: it motivates the management company to work more actively in order to receive more profit from the use of your assets, which means an increase in income for the founder himself.
Control over the manager's work
The trust agreement must necessarily include everything that concerns the founder's control over the contractor, so that the latter can promptly assess the effectiveness of management and have the opportunity to intervene in time to save its assets. For example, the agreement can include a clause that the manager regularly reports to the customer on profits and expenses.
Trust Management Accounts
The property transferred to the trust must not be mixed with the rest of the trustor's property - a separate balance sheet and income accounting must be maintained for it. The Central Bank of the Russian Federation has developed rules for accountants engaged in accounting for trusts. If the property is under trust management, the following accounts must be opened for it:
Cash: it will be used to account for financial resources transferred by the principal and received by him.
For shares: it reflects the price and revaluation of all securities - both those provided by the founder and those acquired during trust management.
For precious stones and metals: these values - both those given for management by the owner and those purchased by the manager during the period of cooperation - are also taken into account separately.
For loans: This includes money paid to creditors.
To control expenses for purposes not covered by these rules.
For settlements with the investor: the debt to him is reflected here.
For costs and losses incurred in the course of the trust.
It is possible to issue separate accounts for settlements with each person.
Selecting the object of the contract
First, decide what exactly you want to transfer to the trust. Your potential income, the criteria for choosing a manager, the size of his bonus and the term of the agreement depend on the object. Under no circumstances should you transfer to management the money that you may urgently need, and soon: the trust does not guarantee either income or the preservation of the invested amount, and by abruptly ending the trust management, you may lose your funds.
Selecting a counterparty
Choose among well-known south korea email list management companies with an unblemished reputation and, of course, a license for this type of service. Do not trust your property, money and rights to suspicious persons posing as representatives of financial organizations.
Collection of documents
Each management company has its own list of documents that the client must present. Everything depends on how the intermediary is to manage the entrusted assets and on the level of participation of the principal in the management.
Trust management of assets
Execution of the contract
Ask the management company representative clarifying questions on all unclear and controversial points of the agreement. All phrases present in the agreement should not allow for double interpretation and hidden meanings. If in doubt, demand that the wording be changed. Usually, management companies have a general template of the trust management agreement, which includes only the client's details, the validity period of the document, the amount of payment for the service and the rights of the founder - check all this carefully.
Management company remuneration
The payment can be fixed (and then the client pays the entire amount immediately after the contract is concluded) or represent a share of the profit received. The second option is more profitable for the founder: it motivates the management company to work more actively in order to receive more profit from the use of your assets, which means an increase in income for the founder himself.
Control over the manager's work
The trust agreement must necessarily include everything that concerns the founder's control over the contractor, so that the latter can promptly assess the effectiveness of management and have the opportunity to intervene in time to save its assets. For example, the agreement can include a clause that the manager regularly reports to the customer on profits and expenses.
Trust Management Accounts
The property transferred to the trust must not be mixed with the rest of the trustor's property - a separate balance sheet and income accounting must be maintained for it. The Central Bank of the Russian Federation has developed rules for accountants engaged in accounting for trusts. If the property is under trust management, the following accounts must be opened for it:
Cash: it will be used to account for financial resources transferred by the principal and received by him.
For shares: it reflects the price and revaluation of all securities - both those provided by the founder and those acquired during trust management.
For precious stones and metals: these values - both those given for management by the owner and those purchased by the manager during the period of cooperation - are also taken into account separately.
For loans: This includes money paid to creditors.
To control expenses for purposes not covered by these rules.
For settlements with the investor: the debt to him is reflected here.
For costs and losses incurred in the course of the trust.
It is possible to issue separate accounts for settlements with each person.