UOB Trustee (Malaysia) Berhad is a Trust Company duly registered under the Trust Companies Act and forms part of the UOB Group.

With trained wealth management professionals, we aim to deliver estate planning, trust and custody and various financial services that help us build, manage and protect our clients' wealth. AT UOB Trustee, we understand you have needs that are unique to you alone and in this regard, we take the time to tailor our comprehensive services to your specific needs regardless of the size of the account.

Trusts

What is a trust
A trust is a legal arrangement concerning the ownership and disposition of assets. The owner of the assets (the settlor) transfers legal ownership to a trust with another person or company serving as trustee.

A trust is therefore based on a legal relationship between the parties concerned and is not considered to be a separate legal entity. While the trustee has the legal ownership of the trust property, the beneficial ownership rests with the beneficiaries. The trustee is responsible for managing the trust assets for the benefit of the beneficiaries according to the written terms and conditions of the trust document. In some trust the settlor may also be a beneficiary.

A trust may be created by will upon a person's death. More commonly, a living person may create a trust by executing a document called a "trust deed", whereby certain assets are transferred to the trustee. The trust deed, together with the provisions of the governing legislation, depending on the jurisdiction under which the trust is created, define the trustee's rights and obligations in dealing with the trust property.

Trusts can either be "fixed" or "discretionary". A fixed trust is one whereby at the outset, the trust deed clearly states who the beneficiaries are and when and how they are to benefit. It is common with fixed trusts to declare a specific order of succession among the beneficiaries. For example, the settlor may wish the trust income to be distributed to his wife during her lifetime, and after her death to his children in equal shares.

In the case of a discretionary trust, the trust deed merely specifies a class of beneficiaries and the trustee is empowered to distribute, within this class, the income and capital of the trust property at his discretion. It is usual in this type of trust for the settlor to express his wishes from time to time as to the way in which the income and/or capital is to be distributed and this is normally done through a "letter of wishes" at the time of creating the trust. It should be noted, however, that due to the nature of a discretionary trust, such wishes are not binding on the trustee. It merely acts as a broad guideline on the management of the trust and distribution.

Should the settlor requires more comfort given the wide "powers" of the trustee, the trust deed can provide for the appointment of a "protector" for the trust. The role of the protector is to act as a check and balance on the powers of the trustee. The protector is usually given the power to remove and appoint new trustee and in certain instances, notice is required to be given to the protector before the trustee can exercise any of its discretionary powers. Trusts have traditionally been created for both estate and tax planning purposes. The possibilities for their use are countless. Some typical situations where a trust would be of benefit are as follows:

• To ensure that property will remain within the family after the father has passed away and that it will not be dissolved through mismanagement or a marriage breakdown.
• To provide for a disabled or mentally handicapped person without giving this person control over the trust property
• To keep the ownership of property and investments confidential
• To avoid probate process and ensure financial privacy
• Fulfill charitable intentions
• Distribute assets according to specified instructions

The Right Trust for You
Trust arrangements are as varied as the people who use them. At UOB Trustee (Malaysia) Berhad we can help you and your attorney choose a trust arrangement that best applies to your unique situation.

Estate Administration
UOB Trustee (M) Berhad administers estates of persons who die with or without a Will when an executor, family member or other eligible person either does not wish to or is unable to carry out the administration of the estate.

Without a Will
When a person dies without a Will, any one of his heirs can apply to court to administer his estate with the consent of the other heirs. If there are no next of kin willing and able to handle this responsibility or when an administrator is unable to give security for the due administration of the estate, then UOB Trustee (Malaysia) Berhad can be appointed to administer the estate instead.

Administering an estate can be a lengthy process and the duties of an administrator includes making funeral arrangements, identifying, securing and dealing with assets, obtaining Letters of Administration from the Court, identifying and paying valid debts and claims against the estate, filing tax returns, dealing with any legal issues that arise and identifying, locating and distributing the balance of the estate to the rightful heirs.

With a Will
When a person dies and leaves a Will, it is the responsibility of the executor named in the Will to handle funeral arrangements and administer the estate. If the executor cannot act and there is no one else willing and able to administer the estate, UOB Trustee (Malaysia) Berhad can be appointed to provide this service.

UOB Trustee (Malaysia) Berhad, with its written consent, can also be named as the executor in a Will. In either case, the estate is administered and distributed according to the instructions set out in the Will.

In administering an estate UOB Trustee (Malaysia) Berhad provides expert, impartial and professional service. Each estate is handled in accordance with established policies and procedures, including strict controls over how assets are secured, evaluated and disposed of and how estate funds are invested. Money held by UOB Trustee (Malaysia) Berhad are put into interest earning accounts with financial institutions.

For a fee, UOB Trustee (Malaysia) Berhad can be appointed as executor or administrator of an estate.

Why would you require the services of a corporate executor?
Some of the reasons why you should appoint a trust corporation as the executor of your Will instead of an individual:

Creating your legacy
Estate planning is the key to creating the legacy that you want for yourself, not the one someone else wants for you. It is simply arranging for what will happen to your assets after your death. Making a will can help reduce the confusion and uncertainty that death sometimes brings and provides reassurance to your family.

A will:

• Allows the person you name as your executor to act immediately - to make funeral arrangements and take charge of your estate
• Protects your worldly possessions and ensures they are dealt with as you have directed
• Affords the opportunity to make suitable financial arrangements for minor children, other dependents and pets
• Clarifies for family and friends what your wishes are and who is to carry them out
• Minimizes the costs of dealing with your estate and the effort involving in managing it.