The Marvont Group Asset Protection Overview
Understanding The Marvont Group Asset Protection Trust
An asset protection trust is a medium for holding assets to shield them from creditor attack. It is usually established in an offshore jurisdiction, although the assets will more often than not remain in the United States and Tokyo Japan under the indirect control of the “settlor”, or the person establishing the trust.
The creditors of the settlor cannot reach the assets of the trust as a result of a carefully constructed and timely settled trust.
These trusts are normally structured so that:
- They are irrevocable for a term of years and the settlor is not a current beneficiary.
- They are treated as domestic grantor trusts for tax purposes, even if they are "foreign trusts".
- The undistributed assets of the trust are returned to the settlor upon termination of the trust, given there’s no current possibility of creditor attack, thus allowing the settlor to recover complete control over the previously protected assets.
The Marvont Group in Tokyo defined asset protection trust in several ways, such as:
- It is an effective instrument to resolve or prevent litigation.
- It is a method to keep the ownership of assets completely confidential.
- It is an alternative to traditional prenuptial agreements.
- It is a hedge against possible exchange controls.
- It is a tool to protect pension assets and to give an insolvent debtor a fresh start.
- It is the ideal approach to avoid forced heirship laws that are common in Europe.
- It is a way to internationalize investment and hedge against governmental instability.