Directed Trust definition: Copy, customize, and use instantly
Introduction
The term "Directed Trust" refers to a trust arrangement in which a trustee is required to follow the directions of a designated third party or advisor regarding the management, distribution, and investment of trust assets. It is essential for clarifying the allocation of responsibilities within the trust, ensuring that the trustee carries out specific tasks as directed while a third party retains control over critical decision-making aspects. This arrangement is commonly used when the grantor or beneficiaries prefer specialized expertise or want to maintain oversight over the trust's assets.
Below are various examples of how "Directed Trust" can be defined in different contexts. Copy the one that fits your needs, customize it, and use it in your contract.
Definition of "Directed Trust" as trustee direction by a third party
This definition ties "Directed Trust" to the concept of third-party direction.
"Directed Trust" means a trust arrangement in which the trustee is required to follow the directions of a designated third party regarding the management or distribution of trust assets.
Definition of "Directed Trust" as delegated decision-making authority
This definition connects "Directed Trust" to delegated authority.
"Directed Trust" refers to a trust in which the trustee holds the legal title to trust assets but is obligated to follow the instructions of a specified advisor or co-trustee regarding trust decisions.
Definition of "Directed Trust" as trust with investment direction
This definition links "Directed Trust" to investment decisions.
"Directed Trust" means a trust in which the investment decisions are directed by an advisor or another entity, rather than the trustee, who is limited to administrative duties.
Definition of "Directed Trust" as trustee limited to administrative functions
This definition ties "Directed Trust" to administrative functions.
"Directed Trust" refers to a trust structure where the trustee is limited to carrying out administrative functions while a third party or advisor directs the investment and distribution decisions.
Definition of "Directed Trust" as trust with advisory role for trustee
This definition connects "Directed Trust" to an advisory role.
"Directed Trust" means a trust in which a designated advisor has the power to direct the trustee on specific matters related to trust assets, such as investment or distribution decisions.
Definition of "Directed Trust" as trustee guided by external instructions
This definition links "Directed Trust" to external instructions.
"Directed Trust" refers to a trust where a trustee follows the instructions of a designated person or entity, such as an advisor or family member, for managing or distributing trust assets.
Definition of "Directed Trust" as trust with power of direction
This definition applies "Directed Trust" to the concept of directed power.
"Directed Trust" means a trust in which a third party is granted the power to direct the trustee on specific matters of the trust, such as the allocation of trust funds.
Definition of "Directed Trust" as trust with limited trustee responsibility
This definition connects "Directed Trust" to limited responsibilities for the trustee.
"Directed Trust" refers to a trust where the trustee’s role is limited to executing the directions given by a designated party, without discretion over the decisions.
Definition of "Directed Trust" as trust with specific investment guidelines
This definition links "Directed Trust" to investment guidelines.
"Directed Trust" means a trust where the trustee is obligated to follow the investment guidelines or directions given by a third-party advisor or co-trustee.
Definition of "Directed Trust" as trust with power to direct investments
This definition connects "Directed Trust" to the power over investments.
"Directed Trust" refers to a trust in which a third-party advisor or individual has the exclusive power to direct the trustee on how the trust’s assets should be invested.
Definition of "Directed Trust" as trust with beneficiary designation control
This definition applies "Directed Trust" to beneficiary control.
"Directed Trust" means a trust in which a designated person, such as a trust protector or advisor, has control over the distribution of assets to beneficiaries.
Definition of "Directed Trust" as trust with specific distribution directions
This definition connects "Directed Trust" to distribution decisions.
"Directed Trust" refers to a trust where the trustee must follow specific instructions regarding the distribution of trust assets, provided by a third-party director.
Definition of "Directed Trust" as trust with external decision-making power
This definition ties "Directed Trust" to external decision-making.
"Directed Trust" means a trust where the trustee is required to act according to decisions made by an external party, such as an investment advisor, regarding trust administration.
Definition of "Directed Trust" as trust with investment authority held by advisor
This definition links "Directed Trust" to investment authority.
"Directed Trust" refers to a trust where an advisor or another designated person holds authority over the investments, while the trustee is responsible for executing the directives.
Definition of "Directed Trust" as trust with beneficiary control over distributions
This definition connects "Directed Trust" to control over distributions.
"Directed Trust" means a trust where a beneficiary or group of beneficiaries have authority over the distribution of trust assets under the guidance of a third party.
Definition of "Directed Trust" as trust with power to alter terms
This definition ties "Directed Trust" to power over alterations.
"Directed Trust" refers to a trust where the power to alter the terms of the trust, such as the distribution schedule or asset management strategy, is vested in a third-party advisor.
Definition of "Directed Trust" as trust with directed management of real estate
This definition links "Directed Trust" to real estate management.
"Directed Trust" means a trust where an appointed advisor directs the trustee on managing, buying, selling, or leasing real estate assets held by the trust.
Definition of "Directed Trust" as trust with external oversight on trustee's actions
This definition applies "Directed Trust" to external oversight.
"Directed Trust" refers to a trust where an external party, such as a protector or advisor, has oversight over the trustee’s actions, ensuring compliance with the trust’s terms.
Definition of "Directed Trust" as trust with authority over specific assets
This definition connects "Directed Trust" to authority over specific assets.
"Directed Trust" means a trust where an advisor or third party has the authority to direct the trustee regarding the management or disposition of specific trust assets.
Definition of "Directed Trust" as trust with allocation of duties between trustee and advisor
This definition ties "Directed Trust" to the division of duties.
"Directed Trust" refers to a trust where specific duties, such as investment decisions and distributions, are allocated between the trustee and an appointed advisor.
Definition of "Directed Trust" as trust with oversight by a protector
This definition links "Directed Trust" to the role of a protector.
"Directed Trust" means a trust where a trust protector is responsible for overseeing and ensuring that the trustee follows the directions provided by the designated third party.
Definition of "Directed Trust" as trust with flexible investment guidelines
This definition applies "Directed Trust" to flexible investment strategies.
"Directed Trust" refers to a trust where the trustee follows flexible investment guidelines set by an advisor or third party, allowing for tailored strategies based on market conditions.
Definition of "Directed Trust" as trust with guidance on tax strategies
This definition connects "Directed Trust" to tax planning.
"Directed Trust" means a trust in which a designated advisor provides guidance to the trustee on tax strategies, such as income distribution or asset allocation to minimize tax liability.
Definition of "Directed Trust" as trust with compliance supervision
This definition ties "Directed Trust" to compliance.
"Directed Trust" refers to a trust where an external advisor ensures that the trustee’s actions align with legal and tax regulations, as well as the specific instructions of the trust.
Definition of "Directed Trust" as trust with advisory committee oversight
This definition links "Directed Trust" to advisory committee involvement.
"Directed Trust" means a trust where an advisory committee has the responsibility of guiding the trustee in making decisions that align with the trust’s objectives.
Definition of "Directed Trust" as trust with family-based advisory direction
This definition connects "Directed Trust" to family direction.
"Directed Trust" refers to a trust where the family members or a family office act as advisors, directing the trustee on matters such as asset management and distribution to beneficiaries.
Definition of "Directed Trust" as trust with specific asset management strategies
This definition applies "Directed Trust" to asset management.
"Directed Trust" means a trust where the trustee is instructed by a third party on specific strategies for managing assets, such as investment in particular sectors or regions.
Definition of "Directed Trust" as trust with appointed decision-making parties
This definition ties "Directed Trust" to appointed decision-makers.
"Directed Trust" refers to a trust where certain decisions, such as financial distributions or asset sales, are made by designated decision-making parties rather than the trustee alone.
Definition of "Directed Trust" as trust with control over business decisions
This definition links "Directed Trust" to business decisions.
"Directed Trust" means a trust where the trustee is directed by a third party to make specific decisions about business operations, such as mergers or acquisitions, of a business owned by the trust.
Definition of "Directed Trust" as trust with multiple trustees and directed functions
This definition connects "Directed Trust" to multiple trustees.
"Directed Trust" refers to a trust with multiple trustees, where one trustee is responsible for carrying out the directions given by another trustee or advisor, who controls specific functions.
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