Establishing a trust in the UAE: protecting assets and planning for the future

Provides the owner with the ability to change its structure, beneficiaries, or completely revoke the trust at any time during their lifetime. This type is often used to manage real estate, investments, and family resources. Flexibility is the key advantage of a revocable trust. It allows the owner to adapt their financial decisions to changing circumstances, such as changes in family situation or financial status. However, it should be remembered that a revocable trust does not provide rigid protection against risks, as the assets remain under the control of the owner.

Unlike a revocable trust, once created, it separates the assets from the owner, meaning that they lose direct control over them. This creates additional benefits in terms of reducing legal and tax risks. This structure is often used to protect capital from creditors' claims and lawsuits, making them attractive to those who want to secure their legacy. However, owners must be confident in their decision, as changes to the trust structure become impossible after its creation.

Created with the aim of minimizing external risks to capital. They are structured in such a way that resources are protected from legal claims and creditor demands. At the same time, owners retain the economic benefits of their assets. This type is especially useful for entrepreneurs and wealthy individuals who want to keep their resources safe without losing the opportunity to profit from them.

This type is often chosen by families and entrepreneurs seeking to combine income, tax optimization, and long-term social goals. In this case, the assets are transferred to a trust, and the owner receives regular income from them for a certain period of time. After the term expires or certain conditions are met, the remaining portion is directed to charitable projects or foundations. This allows not only to maintain financial stability, but also to contribute to society.

Created with the aim of ensuring financial stability and preserving family capital over several generations. The main task is to prevent the fragmentation of assets and to ensure clear rules for the transfer of inheritance to children and grandchildren. In other words, they allow you to avoid the complexities associated with inheritance, such as high taxes or disputes between heirs. Such structures are created with the family's long-term goals in mind and can include various assets: real estate, securities, businesses, and other investments. This not only protects capital but also ensures its growth, which is especially important for future generations.

Created to provide financial support to people in vulnerable situations without losing their social or state rights. This may be relevant for people with disabilities, senior citizens, or those who need constant care. The trustee is responsible for using the funds strictly for the person's needs, including medical treatment, education, and daily expenses. This ensures that financial support is provided only when it is needed and does not result in the loss of social benefits or other forms of government assistance.

This is a tool used to protect capital from unreasonable use by heirs. In this case, the funds are distributed according to pre-established rules, and the trustee ensures that the money is used only for specific needs. This approach avoids situations where heirs may spend their inheritance on unnecessary items or unwise investments. The trustee usually has experience in financial planning and can help heirs manage their funds wisely, ensuring their long-term well-being.

Trust-like structures are not a universal solution, but a set of tools that can be adapted to various tasks: asset protection, inheritance planning, expense control, and ensuring peace of mind for future generations. They provide an opportunity not only to preserve capital, but also to manage it in such a way that it works for the benefit of the family and protects the interests of each of its members.