Previous Old North State Trust Insights have outlined sound advantages to incorporating a living trust as part of your estate plan. Among them is avoiding probate at your death, which reduces the delay and costs associated with the settlement of an estate that passes under the terms of a will. In addition, a living trust can distribute assets to your heirs privately, not subject to the public records of a probated will. There also could be tax advantages associated with a living trust and protection in the event of incapacity.
These so called “estate planning” advantages of a living trust are practical and very worthwhile. And surprisingly to many people, with a revocable living trust, you maintain the flexibility and authority to alter, amend or terminate it any time you wish.
But have you thought about the money management advantages associated with a living trust? At Old North State Trust, we are long-term investors. Our clients expect us to provide investment guidance that is prudent, personalized and oriented away from short-term thinking and speculation. Growing and preserving wealth for our clients is one of our core objectives. As your trustee, we provide:
- Expert guidance in setting your investment goals and objectives. This includes analysis of your current financial needs as well as planning for your family’s protection at death or in case of a short- or long-term incapacity. As we begin our relationship, our clients are asked to complete a questionnaire to help determine their individual investment profiles. A number of factors, both quantitative and qualitative, are used in determining the investment objective for each client. These tools assist in setting and implementing an individualized investment game plan.
- Personalized development of a sound asset allocation plan based on your specific goals and objectives. The sure way to achieve investment success is to choose an appropriate mixture of asset classes. This includes how much should be allocated to stocks, how much to bonds, how much to alternative asset classes, and how much to be reserved for cash needs. We offer a time-tested investment process that has produced proven results based on prudent trust-investing principles. Once the asset allocation is set, an Investment Policy Statement (IPS) is developed that acts a guide for the overall investment of the client’s portfolio. The IPS allows us to monitor and adjust the portfolio as needed through this systematic process to attain the client’s desired results.
- Continued portfolio supervision to ensure your goals are being achieved in a rapidly changing financial environment. This includes on-going capital gains and losses analysis and year-end tax planning. We constantly monitor the investment products used for our trusts to ensure internal mutual fund investment expenses and other costs are minimized. We also monitor for the cash needs of the client.
We realize that granting a trustee full management discretion is not a decision to be made easily these days. But we are prepared and ready to assist in achieving your financial success and providing for the well-being of your family. We charge competitive, asset-based fees for our services, rather than relying upon transaction fees or commissions. Our clients can be confident that we are acting in their best interest and we are mandated by law to do so.
Also of significant importance is that Old North State Trust, LLC is a corporate trustee.
A corporate trustee provides many advantages over an individual or family member trustee. Number one is that a corporate trustee has the fiduciary experience and money management expertise usually lacking by individuals. A corporate trustee also ensures consistent, continuous management of the trust assets and is not subject to the health, death or human frailties of an individual. And there is the added security that a corporate trustee is examined routinely by internal auditors as well as governmental regulators. At Old North State Trust, we are examined and regulated by the North Carolina Banking Commission.
Let us assist you with exploring how trusts can grow and preserve your wealth. Please contact any of our trust and investment professionals with questions or if we may help you.
Old North State Trust, LLC (ONST) periodically produces publications as a service to clients and friends. The information contained in these publications is intended to provide general information about issues related to trust, investment and estate related topics. Readers should be aware that the facts may vary depending upon individual circumstances. The information contained in these publications is intended solely for informational purposes, is proprietary to ONST and is not guaranteed to be accurate, complete or timely.
Susan Willett is the director of trust services and oversees all aspects of trust administration for Old North State Trust, LLC. Old North State Trust, a North Carolina chartered trust company, provides: asset management services; income, estate and trust tax consulting; retirement planning and administration; and trustee and estate services to both individuals and businesses. Old North State Trust professionals have many years of experience and for over a decade have assisted clients in identifying and reaching their financial goals. For more information, visit www.oldnorthstatetrust.com or call