Trust company can be termed as an institution that performs the responsibilities of an agent or trustee. These companies provide their services to the business entities as well as to the individuals. On behalf of the clients, the trust companies are involved in providing services like administration of several funds, estates and many more. At the same time, a trust company can also be identified as a corporation that has been established with the view of managing those properties that are meant to provide services to the individuals as well as to the institutions. The particular person who forms the trust makes legal arrangements for use of the property according to his or her wishes.
Now, there may be several types of owner of a trust company. There are the reputed law firms, banks and independent collaboration that can form a trust company. These law firms and the banks are the specialists in their fields and can provide customized services as a trust company. These trust companies use to offer services like handling investments, asset management, bill payments, distributing certain part of income from the property among the authorized persons and many more. At the same time, the trust companies also play the role of a fiscal agent and supervise registration process of the securities and the banking business for the clients.
A trust company or an officer of that company can act as a minor’s guardian and can manage his or her properties. Once the minor attains adulthood, the property is transferred to that person. On the other hand, there are several adults who are not eligible enough to manage their own property for several reasons. The trust company takes care of these types of properties also. The trust companies not only take care of the properties but at the same time they are also involved in providing valuable investment advices to the clients so that the client’s property can grow rapidly. These services come under the asset management services and also include portfolio management on behalf of the clients.
There are a number of banks that are involved in providing corporate trust services. Deutsche Bank AG, Bank of New York, Bank of America, HSBC Bank USA and many more are involved in providing such services to the clients.
Last Updated on : 27th June 2013