We think the corporate co-trustee arrangement is an ideal solution for families with wealth. In this arrangement, a family member or individual shares the responsibility of trusteeship with a corporate trustee like Cumberland Trust.
This week, as part of our ongoing blog series The Case for Corporate Co-Trustees, we will cover the importance of impartiality in a trustee.
A corporate co-trustee remains unbiased, helping your family maintain harmony through different life stages or after the loss of a loved one. Because of the emotional stress families may go through during life changes or loss, even the most stable and close-knit families can experience divide and unintended tension. When a beneficiary, family member, or close friend serves as the individual trustee or executor for a family, there is inherently a higher risk for bias and conflicts of interest among the involved parties.
As a corporate co-trustee, companies like Cumberland Trust must remain impartial and unbiased. Often, having a neutral third-party trustee or executor on the team prevents disagreements and discord among family members. By appointing a corporate trustee to serve alongside an individual as co-trustees, the family maintains a role in the trust management, providing a means for family input while Cumberland Trust provides technical expertise.
Look out for new insights coming to Trusted Ideas each month as we continue to delve into the benefits of enlisting a corporate co-trustee for your family.
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