The first legislation on trusts in Singapore dates back in 1967 when the Trustees Acts was enforced. Singapore has various legal frameworks in order to legalize and allow locals and foreign citizens to set up trusts here. Other laws regulating the establishment of trusts in Singapore are:
It must also be mentioned that the Trustees Act was last amended in 2005 when it underwent significant changes in order to be brought up to date with the latest international regulations. The new Singapore Trustees Act facilitates and promotes wealth management.
Foreign citizens can set up the following types of trusts in Singapore:
One can also set up testamentary trusts as asset protection solutions. Testamentary trusts must be set up under the wills legislation in Singapore. The Singapore tax legislation also allows for the establishment of foreign trusts which can benefit from significant advantages, such as tax exemptions. Our Singapore consultants in company formation can provide you with all the information related to the advantages of setting up trust funds in the city-state.
We invite you to read about the creation of a Singapore trust fund in the scheme below:
Trust funds can be set up by signing a will, a deed or a declaration confirming the intention of the settlor to create such trust. The document must clearly state the property to be placed under the protection of the Singapore trust and must also identify the beneficiaries. Foreign citizens setting up trusts funds in Singapore can settle the following properties into the trust:
The settlor must also appoint a trustee who will administer the trust in favor of the beneficiaries. Singapore trusts can be fixed or discretionary and can last up to 100 years.
If you want to set up a trust and need assistance, do not hesitate to contact our local agents. In case you would like to open a company in Singapore, our team is at your disposal.