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FSRE 1 · Understanding Trust Structures
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Understanding Trust Structures

The three parties to a trust, the difference between bare and discretionary trusts, why life assurance in trust avoids IHT, and the charges on discretionary trusts.

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Understanding Trust Structures

Trusts are legal arrangements that separate the legal ownership (trustee) from the beneficial ownership (beneficiary).

Question 3

True or false?

Trusts are legal arrangements that separate the legal ownership (trustee) from the beneficial ownership (beneficiary)

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What the exam tests

The three parties to a trust, the difference between bare and discretionary trusts, why life assurance in trust avoids IHT, and the charges on discretionary trusts.

Question 5

True or false?

The three parties to a trust, the difference between bare and discretionary trusts, why life assurance in trust avoids IHT, and the charges on discretionary trusts

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Additional notes

Question 7

Which term matches: "Creates the trust and transfers assets into it"

Question 8

What does "Trustee" mean?

Question 9

Match each term in "Additional notes" to its meaning

Tap a term, then tap its matching definition.

Question 10

Fill in the blank

______ — Beneficial owner; entitled to benefit from the trust