An international trust is created when you transfer assets to a trustee residing in a location abroad for the benefit of others (your beneficiaries). When you (the “settlor”) transfer your assets into the trust, the title to the assets is transferred into the trustee’s name and the trustee becomes the “legal” owner. There is a distinction between “legal” and “beneficial” owners. “Beneficial” or equitable ownership of the trust assets is held by your chosen beneficiaries. The trustee is responsible for investing and administering the assets of the trust for the chosen beneficiaries of the trust in accordance with the instructions you have delineated in the trust agreement.

Hence, the burden of ownership of the trust assets falls on the trustee, while the benefits of the property or assets go to your chosen beneficiaries and, in appropriate circumstances, yourself.