SMFOS

The origin of the family offices

The family office began in the 6th century, when the king’s butler was in charge of managing the royal wealth. Later, the nobles asked to participate, and the concept of management came into being and continues to this day. The modern family office was developed in the 19th century. In 1838, as financiers and art collectors, the J.P. Morgan family founded the Morgan Consortium to manage family assets. In 1882, the Rockefeller family established their own family office. The family office is still in operation today and provides services to other families. The family office covers various organizations and service forms for managing private wealth.

Discretionary Trust

Trust does not have an independent legal personality, but a legal responsibility and obligation. When the trust founder (the settlor) entrusts his own property to the professional trust manager (the trustee) in order to protect the rights and interests of some beneficiaries (the beneficiary), a trust-based entrustment relationship This was born, called a trust! The existence of Trust is essentially a relationship. The principal (Appointer) allows the trustee (Trustee) to manage the assets under the Trust name. Everything must be operated in accordance with the regulations (Trust Deed), and the beneficiary and distribution method will be written on it. Trustee is the owner of Trust assets in the legal sense, but the beneficiaries (beneficiaries) are subject to the provisions of Trust Deed. Trust itself is not an entity, but from a tax perspective, it has its own ABN and tax number.

Related Concepts for Trust Structure

Founder • Establish a trust by donating the first asset of the trust; • This is the sole obligation of the founder; • Generally your accountant; • Cannot be a beneficiary. Principal • Those who control the appointment and removal of trustees; • Usually a joint appointment. trustee • Usually an individual or a company; • The trustee is the legal representative of the trust assets; • Distribute trust income or capital gains to each beneficiary according to the terms of the trust deed • Responsible for managing the trust's annual financial and tax planning and submitting tax reports. Trust deed • It is a memorandum to govern and regulate the trust business; • Confirmed the identity of the beneficiary; • Explain the responsibilities and obligations of the trustee; • Set out the distribution rights of trust income

About ASIC

The Australian Securities and Investments Commission (ASIC) is an independent commission of the Australian Government tasked as the national corporate regulator. ASIC's role is to regulate company and financial services and enforce laws to protect Australian consumers, investors and creditors.[2] ASIC was established on 1 July 1998 following recommendations from the Wallis Inquiry. ASIC's authority and scope are determined by the Australian Securities and Investments Commission Act 2001. ASIC, which reports to the Treasurer, is responsible for the administering the following legislation:[3] Australian Securities and Investments Commission Act 2001 (ASIC Act) Business Names Registration Act 2011 Corporations Act 2001 (Corporations Act) Insurance Contracts Act 1984 National Consumer Credit Protection Act 2009 (National Credit Act)