The difference between family office and family trust

The difference between family trust and family office lies mainly in the different operation modes. In family trust, the ownership of assets and the right to income are separated. Once the rich entrust the assets to the trust company, the ownership of the assets will no longer belong to him, but the corresponding income will still be collected and distributed according to his wishes. If the rich divorce, property division, accidental death or expropriation, the money will exist independently and will not be affected. Family office. It is equivalent to managing a family trust or helping customers set up a family trust.

family office

On June 9th, 2002 1, the Hong Kong Securities Regulatory Commission officially approved the1Securities Trading License, 4 Securities Proposal License and 9 Asset Management License applied by Honghu Baishi Global Family Firm.

Family office originated from "Domus" in ancient Rome and "Domo" in the middle ages. The family office in the modern sense appeared in the middle of19th century. Some tycoons who seized the opportunity of the industrial revolution brought together financial experts, legal experts and financial experts. The core content of the study is how to manage and protect their family's wealth and extensive business interests. Therefore, there is a home office that only serves one family. 1882, john D Rockefeller established the world's first family financial office.

Under the background that China's economy continues to maintain rapid development, wealthy families in China will show a trend of sustained and rapid growth. With the awakening of wealth consciousness of wealthy families in China, it is their most urgent task to find a suitable wealth management model. Providing more intimate services to China families in the form of expert advisory group is not only conducive to the financial services for the development of family business, but also pays more attention to the exclusive services for the details of family members' lives.

Family trust

Family trust is a kind of property management mode in which trust institutions are entrusted by individuals or families to manage and dispose of family property on their behalf, so as to realize the wealth planning of the rich and the inheritance of the target family trust. Asset ownership is separated from income right. Once the rich entrust the assets to the trust company, the ownership of the assets will no longer belong to him, but the corresponding income will still be collected and distributed according to his wishes. If the rich divorce, property division, accidental death or expropriation, the money will exist independently and will not be affected. Family trust can better help high-net-worth people plan "wealth inheritance", and it is gradually recognized by the rich in China.