amicorp trustees presentation 2013

Amicorp Trustees (India) Pvt. Ltd.

NOV

18 Amicorp Trustees (India) Pvt. Ltd.

TRUST MANAGEMENT & ESTATE / SUCCESSION PLANNING SERVICES

www.amicorp.com


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Amicorp

o Founded in 1992

o Currently 40 offices, in 27 countries

o Over 650+ employees worldwide

o Amicorp Group A.G. is a Swiss company

o Started India operations in 2007

o In 2012 Amicorp established its Estate & Succession

Planning company “Amicorp Trustees (India) Pvt. Ltd.”

www.amicorp.com


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Estate & Succession Planning


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What is Succession Planning?

Succession planning - is the process of anticipating

and arranging for the disposal of estate during and

after your life time

An succession plan includes:

o Estate management

o Estate preservation and

o Estate legacy


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Who needs Succession Planning?

o Business Houses, Entrepreneurs & Professionals

o Nuclear family or Joint family

o Family with no legal heir or with special child

o Family with beneficiaries across globe with different residential status

o NRI family with assets in India

o Family looking at generation skipping

o Multiple marriages

o Inheritance tax planning

o Muslim Families

o Person looking to protect his / her assets against unforeseen events

o Person who would like to distribute his assets as per his or her wish

and not as per the governed law


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Advantages of Succession Planning

o Asset protection from litigation

o Avoid claims, fights and litigation from within or outside the family

o Seamless & smooth asset distribution

o Safeguard interests of the dependents

o Efficient and uninterrupted management

o Asset protection during divorce & separation

o Medical emergencies

o Old age

o Care of special child

o Wealth preservation

o Demarcation of personal & business income

o Appointing a guardian for a minor

o Consolidation of assets

o Tax planning

o Philanthropic aspirations


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Consequences of not having a Succession plan

If one dies intestate, his wealth gets distributed among

his natural legal heirs as per personal succession laws

o It can be a lengthy process with undesired results

leading to family disputes

o Legal heirs may have to go through long drawn out

legal battles to claim their rights

o Business built over generations may split

o Business may pass over to person who does not have

the right skills to manage


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Will or

Trust

Succession Planning in India can be established in two ways:


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WILL

o Will is a Legal document that comes in play on the

demise of the testator

o It carries the wishes of an individual regarding his /

her estate / assets, i.e. Distribution of assets,

Guardian for the children, etc.


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Who can write a Will?

Eligibility:

o Should be a major

o Indian National/ NRI/ PIO/ OCI

o Should be of sound mind

o Should not otherwise be debarred from

making a Will


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Will Versus Nomination

Often there is confusion between a Will and a nomination.

A nomination is not a Will.

The nominee merely acts as the Trustee or Guardian for

that asset

A Will supersedes all Nominations


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Trust


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Private & Public Trust

PRIVATE

TRUST

PUBLIC

TRUST


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What is a Trust?

Private Trust:

o A Trust is a relationship whereby property (real or personal,

tangible or intangible)

o Is transferred by one party (Settlor)

o To be held by another party (Trustee)

o For the benefit of a third party (Beneficiaries)

o Governed by the Indian Trust Act, 1882

Public Trust:

o When a trust is formed for the benefit of the public or any

section of the public, religious or charitable purpose includes

a temple, any other religious or charitable endowment


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Parties to a Trust

Investment Portfolio

Business ,

Inherited

Assets

Real Estate, Bank Acc,

Art, Etc

Settlor : (One who transfers the assets in the

Trust, either direct or through the letter

of Wishes)

Protector :

(Protects the interest of the

Beneficiaries. Keeps a check on

the Trustees)

Trustees :

One who holds the Trust property in

the Trust for the benefit of others Trust Assets

Administrator / Managing

Trustee : (One who actually does the trust

Job in terms of Filing Returns or

Investment for the Trust)

Wife Parents Charity Children Settlor


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Assets that a Trust can hold

Beneficiaries

Family

Trust

Investments

Portfolio

Business/Inherited

Assets

Real Estate

Bank Accounts Art & Jewelry


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Different Trust Structures


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Trust for Investments

Mutual Funds Equity

ART / FD / Bank Acc

Others

o Trustees: Amicorp / Customer

o Managing Trustees: Amicorp /

Customer

o Investment Advisory board.

Investment Trust

o Beneficiary: Settlor or family members

Trust Objective:

o Investments

Settlor

Administrator:

Amicorp or Customer

Customer

Investment Advisory

Board

Customer /

Family Members


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Trust Through a Will

Bank Acc, Art, Etc

Settlor

Registered Will

Administrator:

Amicorp or Customer

Children

Family Trust

Wife

Trustees – Amicorp and/or Family

members?

Assets

Secondary Beneficiary

Primary Beneficiary


Business

Inherited

Assets


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Independent Trust for ABC Family

Trust 2 for

Daughter

(Minor)

Trust 1 for

Son (Minor)


Business ,

Inherited

Assets

Real Estate, Bank Acc, Art,

Etc o Trustees: Amicorp

o Managing Trustees: Amicorp

o An Advisory board would be

set up for ABC Family Trust.

Trust 3 for

Wife

ABC

Family Trust

o Beneficiaries: Trust 1 Son (Minor)

o Beneficiaries: Trust 2 Daughter (Minor)

o Beneficiaries: Trust 3 Wife

o On the demise of the Wife, Trust 3 would be dissolved and the assets would be distributed to

Trust 1 and Trust 2 in equal proportion


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Direct Trust for XYZ Family


Wife Parents Child 2

Mr. XYZ seeks options for the protection of his family and

himself against any unforeseen event.

Business,

Inherited

Assets

Real Estate, Bank Acc, Art,

Etc

XYZ

Family Trust

Child 1 Mr. XYZ*

o Trustees: Amicorp

o Managing Trustees: Amicorp

o An Advisory Board was set up

for XYZ Family Trust

o *Mr. XYZ will be the beneficiary

to the Trust only in special

cases i.e. when hospitalized


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Our Expertise


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Estate / Succession Planning Services Will

o Drafting of Will

o Registration of Will

o Safe custody of Will

Executorship Services

o Identifying assets of the Testator

o Obtaining letter of administration /

probate from the court

o Recovering dues

o Paying debt, duties and expenses

o Distributing the assets to the

beneficiaries

o Co-ordinating the preparation of tax

returns

o Filing final statement with the court

Trust’s Formation

o Drafting of Trust Deed

o Registration of Trust

o Management of Trust as

Trustee / Managing Trustee

Document Preservation /

Custodial Services

o Safe custody of Will / Trust Deed

o Safe custody of property

documents mentioned in a Will or

held under a Trust


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Amicorp as Trustees or Managing Trustees

As Trustees or Managing Trustees Amicorp will strictly

abide and follow instructions defined in the Trust deed

Scope of work:

o Property management

o Transferring movable (i.e. shares) and immovable

assets (i.e. real estate) to the Trust

o Pay rent or collect rent on behalf of the Trust

o Payment of tax return and audit for the Trust

o Conducting board/shareholders meetings where the

Trust holds shares in a company

o Family welfare and maintenance in reference to

medical or any other requirements


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Amicorp India Team

o Trust Specialists: 12 members

o In-house Legal Team: 17 members

o Back-office Operations: 60 members

Amicorp Trustees (India) Pvt. Ltd. www.amicorp.com

Copyright Notice: ©2010 Amicorp Group. All rights reserved. The contents of this presentation have been prepared by the Amicorp Group A.G. for informational purposes only. The information contained in this presentation does not constitute or contain any type of advice, and neither our

presentation of such information nor your receipt of it will create a commercial or legal relationship. Consequently, you should not act or rely upon the information contained in this presentation without seeking professional counsel. The information presented in this presentation, the access to the

information contained herein or your receipt of it will not create any service provider-client relationship. Amicorp Group A.G. is the owner of all copyright and other rights in and to all copyrightable text and graphics on this presentation. Your company or its representatives may lawfully use this

presentation for its own, non-commercial purposes, by displaying this copyright notice. Any other reproduction, copying, distribution, retransmission or modification of all or any parts of this presentation is strictly prohibited without the express prior written permission of the Amicorp Group.

Trademark Notice: The Amicorp word and device are trademarks of Amicorp Holding Limited. All rights reserved.

THANK YOU Amicorp Trustees (India) Pvt. Ltd. # 63, Maker Chambers VI

6th Floor, Nariman Point

Mumbai 400 021

Mob: +91 9870500786

Tel.: +91 22 2204 9894 / 95

Fax.: +91 22 2204 9893

Email.: [email protected]

amicorp trustees presentation 2013

Documents

amicorp o

litigation o

testator o

countries o

india o family

o amicorp group

o business houses

rights o business