Trust Fund
A trust fund is an investment account that contains any number of diverse assets and could include cash, stocks, bonds, real estate or any valuable assets.
The fund is set up by a grantor (or trustor) who contributes the assets to the fund. The fund is managed by a trustee for the benefit of its beneficiaries who could be the children, relatives, or charities of the grantor.
Generally, a trust fund is set up by a parent for the benefit of her children. The child usually has to wait until they reach a certain mature age before they can access or control all of the assets in the fund. Prior to this, the fund is used to pay for the child’s education and living expenses.
Author: Kris Tabetando
Kris Tabetando provides mergers & acquisitions (M&A) advisory and brokerage services to Internet companies. He also partners with investors to acquire & manage Internet businesses.
- Connect with Kris:
