Questions to Ask When Reviewing an Existing Trust Structure

Periodic governance reviews are essential in complex trust structures, particularly where cross-border assets, family governance and multiple advisers are involved. The following questions can help identify potential structural weaknesses or governance risks within an existing trust.

1. Is the balance of authority between trustee and protector clearly defined?

A well-structured trust should preserve trustee fiduciary discretion while allowing the protector to exercise oversight without interfering in day-to-day decision making.

2. Are protector powers proportionate and properly documented?

Overly broad protector powers or poorly documented interventions can create governance uncertainty and legal risk.

3. Are potential conflicts of interest identified and managed?

Relationships between trustees, protectors, advisers and beneficiaries should be assessed to ensure independence of decision making.

4. Is there a clear succession mechanism for key governance roles?

Trustees, protectors and other governance roles should have defined succession provisions to prevent operational disruption.

5. Are trustee decisions and protector interventions properly documented?

Comprehensive documentation ensures transparency and strengthens the governance record of the trust.

6. Does the structure still reflect the settlor’s original intentions?

Over time, changes in family circumstances, asset composition or tax residence may require structural adjustments.

7. Are governance arrangements aligned with current regulatory expectations?

Modern fiduciary practice increasingly emphasises governance transparency, risk management and proper oversight.