Trust Planning and Powerful Modern Trust Law in the midst of COVID-19

As we continue to monitor the COVID-19 (Coronavirus) outbreak, our thoughts turn to the health and well-being of our friends across the country and around the world. All of us at Bridgeford extend our most heartfelt thoughts and prayers to all of you during this unprecedented, uncertain, and difficult time.

The very unique aspect of the current economic situation and financial landscape makes trust planning using powerful modern trust law even more compelling and relevant than perhaps ever before. Especially around state tax planning using trusts in no state income tax jurisdictions like South Dakota, asset protection, and privacy. As we move through this crisis together, Bridgeford will continue its commitment to provide relevant and timely education through all of our digital media platforms including interactive webinars, podcast episodes, videos, and blog posts.

Watch the video below for a presentation given by David Warren, Co-Founder and Chairman of the Board of Bridgeford Trust Company and President/CEO of Bridgeford. In it, David discusses important state tax planning opportunities under recent Supreme Court case law and the vital importance of proper trust jurisdiction selection in the planning process.

 

 

As the COVID-19 situation continues to evolve, know that your friends at Bridgeford have you all in our thoughts, and look forward to our continued collaboration, friendship, and work together as we move through, and emerge from this crisis together, stronger than ever. Below is a piece that greatly resonated, and inspired hope and clarity during these difficult times for Bridgeford. Please do all you can to care for yourselves and your families. Stay healthy and safe!

“And the people stayed home. And read books, and listened, and rested, and exercised, and made art, and played games, and learned new ways of being, and were still. And listened more deeply. Some meditated, some prayed, some danced. Some met their shadows. And the people began to think differently.

And the people healed. And, in the absence of people living in ignorant, dangerous, mindless, and heartless ways, the earth began to heal.

And when the danger passed, and the people joined together again, they grieved their losses, and made new choices, and dreamed new images, and created new ways to live and heal the earth fully, as they had been healed.”

~ Kitty O’Meara

 

Bridgeford Trust to Sponsor 16th Annual International Estate Planning Institute in NYC

Bridgeford Trust is very pleased to be sponsoring the 16th Annual International Estate Planning Institute, presented by STEP New York, STEP Mid Atlantic, and the New York State Bar Association (NYSBA).

Taking place on Thursday, March 12th and Friday, March 13th at the Crowne Plaza Times Square in NYC, this Institute is a much anticipated annual event at which trust and estate practitioners, bankers, and accountants from around the world gather to hear leaders in their fields exchange ideas and discuss developments regarding cross-border planning with a U.S. component. As more and more international families are seeking U.S. trust solutions, Bridgeford Trust is excited to continue to sponsor this event. Below are links to informational pieces that may be of interest to advisors working in the international space.

Foreign Grantor Trust – https://www.bridgefordtrust.com/what-we-do/foreign-grantor-trust/

Educational Brochure, outlining powerful planning options under South Dakota law – https://www.bridgefordtrust.com/wp-content/uploads/2020/02/Bridgeford-Educational-Brochure.pdf

Our team will be attending the Institute and if you are going to be there as well, we encourage you to visit Bridgeford Trust’s exhibit booth and talk with us about how we may be able to collaborate to best serve the international community.

For additional details about the Institute, click here. We hope to see you there!

South Dakota Again Considered a Top U.S. Trust Jurisdiction by Trusts & Estates Magazine

Trusts & Estates magazine once again names South Dakota as a top tier trust jurisdiction. Annually, Trusts & Estates magazine evaluates trust jurisdictions utilizing an objective approach that considers the following factors: 1) whether a state has a Rule Against Perpetuities; 2) whether a state has income, inheritance, or premium taxes; 3) whether the state has adopted “modern trust laws” such as decanting provisions, directed trust capability, and privacy options; 4) whether a state has an asset protection statute and the effectiveness of the statute; 5) the effect of migration on the rights of beneficial interest.

Interestingly noting that Delaware, long considered to be a leading U.S. trust jurisdiction, is not keeping pace with other progressive U.S. trust jurisdictions, the authors’ state,

“While Delaware has been in the top four jurisdictions consistently for the past 10 years, we think that its asset protection laws still need to be strengthened for it to remain competitive.”

Alternatively, South Dakota has been consistently considered by many commentators and planners to be the best trust jurisdiction in the nation because of its cutting edge laws around asset protection, dynasty and directed trusts, and privacy. Trusts & Estates magazine’s article again accentuates the vital importance of selecting the proper trust jurisdiction, stating,

“Planning professionals catering to high net worth clients need to understand the difference in trust laws and planning opportunities, and how it affects those clients and their beneficiaries.”

You can view the complete article entitled “Which Trust Situs is Best in 2020?” by clicking here. This article was featured on WealthManagement.com which is the digital resource of Trusts & Estates magazine.

The authors’ conclusion is particularly compelling when considered in conjunction with the fact that South Dakota…

  • Is generally regarded by most practitioners and academics, including Steve Oshins, as being the best Dynasty Trust state, and having the best Decanting Statute in the nation. In addition, the authors of the aforementioned article concur with Mr. Oshins, stating, “South Dakota has the most flexible decanting statute…and appears to provide the best example of flexibility for trust remodeling.”
  • Unequivocally has the most robust privacy laws in the country, as pointed out in the Trusts & Estates magazine article wherein the authors noted, “Of the top tier trust jurisdictions, South Dakota has the best trust privacy laws.” (Also, take note of footnote 49 in the Trusts & Estates Magazine article, where a post written by Bridgeford Trust was cited and quoted.)
  • Is one of only two states with a Community Property Trust, a compelling tax planning tool for spouses.
  • Is the only state in the country with the Family Advisor, referred to as a “Trust Protector Light,” not mentioned in the article but a very important planning tool.
  • Has one of the lowest insurance premium tax in the nation at 8 basis points, which applies to both policies held by individuals and policies held within an LLC. (While Delaware boasts 0 basis points on policies held by individuals, policies held within an LLC – which is typically the case – are taxed at 200 basis points.)
  • Is the most fiscally sound among all top tier trust jurisdictions.

When all of these attributes are considered in the aggregate, South Dakota clearly emerges as the superior trust jurisdiction in the nation. Click here for a well-researched chart comparing the leading U.S. trust jurisdictions, with a particular emphasis on areas that clearly distinguish South Dakota as the superior trust jurisdiction in the overall analysis.

For more information, please contact Bridgeford Trust via our contact page.

South Dakota’s Decanting Statute is Ranked, for the 7th Time, as Best in the Nation

South Dakota is again ranked, for the 7th consecutive year, as having the top decanting statute in the nation! Published by Nevada attorney Steve Oshins, the new 7th Annual Trust Decanting State Rankings Chart is an excellent resource for advisors and clients because of his methodical and objective approach to evaluating the factors that impact the viability of a state’s decanting statute.

The concept of decanting has become a very powerful tool for planners to modify irrevocable trusts, and has emerged as one of the most progressive planning strategies available in dealing with dynasty planning issues. Appropriately referred to as a “do over,” decanting essentially distributes assets from an irrevocable trust into a new trust with different, and presumably more desirable and flexible terms, leaving the unwanted terms in the original trust and not binding on the assets. Decanting is also a streamlined option for easily transferring a trust from one state jurisdiction to another more favorable jurisdiction, such as South Dakota, with directed and asset protection trust statutes.

Steve Oshins’ findings regarding South Dakota’s decanting statute are particularly compelling when considered in conjunction with the fact that South Dakota…

  • Is generally regarded by most practitioners and academics, including Steve Oshins, as being the best Dynasty Trust state.
  • Unequivocally has the most robust privacy laws in the country, as pointed out by an article appearing in the January 2020 edition of Trusts & Estates magazine comparing U.S. trust jurisdictions wherein the authors noted, “Of the top tier trust jurisdictions, South Dakota has the best trust privacy laws.”
  • Is one of only two states with a Community Property Trust, a compelling tax planning tool for spouses.
  • Is the only state in the country with the Family Advisor, referred to as a “Trust Protector Light.”
  • Has one of the lowest insurance premium taxes in the nation at 8 basis points.
  • Is the most fiscally sound among all top tier trust jurisdictions.

When all of these attributes are considered in the aggregate, South Dakota clearly emerges as the superior trust jurisdiction in the nation. Click here for a well-researched chart comparing the leading U.S. trust jurisdictions, with a particular emphasis on areas that clearly distinguish South Dakota as the superior trust jurisdiction in the overall analysis.

For a more detailed discussion about decanting and how it modifies irrevocable trusts that were once considered unchangeable, click here for a video on the concept and how it works in the planning process.

Please contact Bridgeford Trust via our contact page if you have any questions on decanting and the power of the South Dakota Advantage.

Delivering Direction and Control Podcast Series – Episode 8 with Marty Jackley, former South Dakota Attorney General

Episode 8 is now available on Bridgeford Trust Company’s Delivering Direction and Control Podcast Series! Head on over to our podcast page at bridgefordtrust.com/podcasts to hear the latest episode!

Episode 8 features David WarrenCo-Founder/Chairman of the Board of Bridgeford Trust Company and President/CEO of Bridgeford – and guest Marty Jackley – current Partner at Gunderson, Palmer, Nelson, and Ashmore, who has also served as South Dakota’s Attorney General, United States Attorney for South Dakota, and Chairman of the Nation’s Attorneys General. David and Marty’s discussion includes background on his work as a prosecutor, Marty’s campaign for Governor of South Dakota, as well as his Supreme Court Practice with Wayfair and work on the Kaestner case.

Our Podcast Series was developed to educate, challenge, and inspire listeners. As we interview experts in the trust planning arena, we will keep listeners updated on developments regarding modern trust law and provide practical discussion on the powerful planning opportunities available to advisors around the country and the world – all in an effort to deliver far more direction and control to clients and their advisors than ever before.

We hope you enjoy Episode 8!

Bridgeford Trust to Sponsor STEP Orange County’s 2020 Conference

Bridgeford Trust is excited to be sponsoring the 9th Annual Institute on Tax, Estate Planning and the World Economy, presented by STEP Orange County. Taking place on February 3rd and 4th in Newport Beach, CA, this much anticipated conference presents the latest issues for U.S. and international private client planning.

For a myriad of reasons, including asset protection and privacy, international families from around the world are seeking U.S. trust solutions, and looking specifically to South Dakota because of its leading and progressive modern trust laws. Below are links to educational pieces that may be of interest to advisors working in the international space with clients interested in a U.S. trust solution.

Foreign Grantor Trust
https://www.bridgefordtrust.com/what-we-do/foreign-grantor-trust/

Common Reporting Standard
https://www.bridgefordtrust.com/common-reporting-standard/

Our team will be attending the conference and if you are going to be there as well, we encourage you to visit Bridgeford Trust’s exhibit booth and talk with us about how we may be able to collaborate to best serve the international community.

STEP is a global professional association for advisors specifically specializing in family inheritance and succession planning in the international space. STEP works to improve public understanding of issues facing international families, promote education, and strongly encourage very high professional standards among their members and practitioners. To learn more about STEP, click here.

If you would like additional details about the event, visit the conference website at https://stepoc.org/2020-institute/.

In case you missed it…

Join Bridgeford Trust Company, along with Venable LLP and Coastal Bridge Advisors, after the STEP OC conference for a very timely and highly informative multidisciplinary presentation with advisors and professionals, all of whom routinely advise families on powerful state tax planning strategies. Our presenters will examine the evolution of case law and tax regulation, with a specific focus on practical and applicable information on compelling state tax planning concepts that participants can include in overall wealth planning.

This presentation will be available on the following dates and in the following locations. Click on the links below to register today!

Wednesday, February 5 – Los Angeles, CA

Venable’s office at 2049 Century Park East, Suite 2300, Los Angeles, CA 90067
CLICK HERE TO REGISTER

Thursday, February 6 – San Francisco, CA

Venable’s office at 101 California Street, Suite 3800, San Francisco, CA 94111
CLICK HERE TO REGISTER

The events will begin at 5:00 p.m. The presentation (approved for CLE and CPE) will take place from 5:30 p.m. to 7:00 p.m., and a networking reception will follow until 8:00 p.m. Contact us via our contact page with any questions. We look forward to seeing you in California!

Bridgeford Trust to present “State Tax Planning Using Trusts” in Los Angeles, California – February 5th

In light of changes in the federal tax code and recent favorable tax cases, state tax planning using trusts has emerged as a powerful tool; this was most recently affirmed and validated by the Supreme Court’s unanimous decision in the Kaestner case and the Court’s Denial of Cert. in the Fielding case. Simply by selecting the proper trust jurisdiction (a no income tax state), taxpayers in high income tax states can avail themselves of compelling state tax savings – particularly in the areas of taxation on undistributed trust income and capital gains tax on the sale of low-cost basis assets, such as closely held stock and property.

Join Bridgeford Trust Company, along with Venable LLP and Coastal Bridge Advisors, for a very timely and highly informative multidisciplinary presentation with our advisors and professionals, all of whom routinely advise families on powerful state tax planning strategies. Our presenters will examine the evolution of case law and tax regulation and how this evolution impacts wealth planning.

Wednesday, February 5 – Los Angeles, CA

Venable’s office at 2049 Century Park East, Suite 2300, Los Angeles, CA 90067
CLICK HERE TO REGISTER

The event will begin at 5:00 p.m. The presentation (approved for CLE and CPE) will take place from 5:30 p.m. to 7:00 p.m., and a networking reception will follow until 8:00 p.m.

We look forward to seeing you there!

Bridgeford Miami – Launch Event on January 22

Bridgeford Miami

David A. Warren, Co-Founder and Chairman of Bridgeford Trust Company and President and CEO of Bridgeford Advisors (dba Bridgeford) ­­— a sister company of Bridgeford Trust Company providing powerful trust planning to wealthy families across the United States and around the world — is extremely proud and enthusiastic to announce the launch of Bridgeford Miami! The Bridgeford Miami office is located at 1221 Brickell Avenue, Suite 900, Miami, Florida 33131 in the heart of Miami’s financial district, referred to as “Wall Street South” by Forbes Magazine.

Recently approved by the Florida Banking regulators for representative offices in Florida, Bridgeford’s expansion into South Florida is a natural progression given our company’s extensive work with advisors in the region and deep commitment to serving U.S. families, as well as Latin American and international families coming to the U.S. Since Bridgeford does not manage assets, and no trust administration will occur in Florida, Bridgeford is an integral partner for advisors and international families who have a desire to avail themselves of the power, sophistication, and flexibility of U.S. and in particular, South Dakota modern trust law — considered the best in the nation by many advisors and commentators around asset protection, privacy, and prudent tax planning.

To learn more about the power of South Dakota trust law, click here for a detailed information piece in English and click here for Spanish.

Many international trust companies have come to the U.S. and obtained trust powers in an attempt to capture the business of international families coming to America, with little understanding of U.S fiduciary law or regulatory requirements. However, Linda M. Voller, CTFA, incoming Bridgeford Trust Company President and CEO, who oversees all trust administration and corporate governance from our two offices in South Dakota, states,

“Bridgeford has been a U.S./South Dakota trust company since its inception in 1993, with origins tracing back to serving the family that founded General Mills, one of America’s largest dynastic families. We fully understand the very important nuances around trust construction, administration, and corporate governance with regard to proper application of U.S. and South Dakota fiduciary law.”

David A. Warren, JD, who will oversee the South Florida expansion, as well as expansion into New York City and California, adds,

“Bridgeford’s deep experience with fundamental U.S. fiduciary principals and regulatory requirements, coupled with our extensive knowledge of foreign grantor trusts; issues facing international families coming to the U.S.; and understanding of important Know Your Customer (KYC) and reporting requirements; will be a powerful differentiator in the market, quickly propelling Bridgeford as a leading trust provider in the region, and beyond, working with large domestic and international families and their advisors from across the nation and around the world.”

Bridgeford Miami Launch Event – January 22, 2020

Bridgeford invites you to join us for its Miami launch event on January 22nd from 4:30pm-7:00pm at Truluck’s (777 Brickell Avenue, Miami)! In addition to enjoying an evening to network and celebrate Bridgeford’s expansion into Florida, the event will also be substantive and informative in nature, with a panel discussion entitled “America as Jurisdiction of Choice for International Families: Planning Issues in the New Year.” The panel will be moderated by Bridgeford and will include several well respected international advisors in the region, in addition to providing complimentary continuing education credit. You can learn more and RSVP for this event by clicking here.

For more information about Bridgeford and this exciting expansion into Miami, please contact us via our contact page.

Bridgeford Trust to Sponsor 54th Annual Heckerling Institute on Estate Planning in January 2020

Bridgeford Trust is excited to once again be a sponsor at the 54th Annual Heckerling Institute on Estate Planning from January 13-17, 2020 in Orlando, Florida.

If you are attending Heckerling this year, we encourage you to visit with us at our exhibit booth (Booth #400) and attend our sponsored receptions on Sunday and Tuesday nights!

Pre-Conference Reception with Akerman, Bridgeford Trust, and Morris + D’Angelo – January 12, 2020

Join us on Sunday, January 12th at 5:00pm as we come together for a cocktail reception in advance of the 2020 Heckerling Institute on Estate Planning. The evening will take place at Hawk’s Landing Golf Club, which is located on the grounds of the Orlando World Center Marriott. Click here to RSVP.

South Dakota Trust Advantage Reception – January 14, 2020

Be sure to join Bridgeford Trust and many other advisors from across the state and around the country, as we celebrate the power of South Dakota trust law on Tuesday, January 14th from 6:00pm – 7:00pm. This reception is located in Crystal A-B on the Convention Floor at Orlando World Center Marriott. The evening will be a great time of food, spirits, and networking with friends and colleagues. Click here to RSVP.

You can keep up-to-date with our activity at Heckerling, by visiting www.bridgefordtrust.com/heckerling2020.

If you have any questions or would like to set up a time to meet with our team, please feel free to contact Melissa Roberson, Marketing Director with Bridgeford Trust Company at mroberson@bridgefordtrust.com.

We look forward to seeing you in Orlando!

Delivering Direction and Control Podcast Series – Episode 7

Episode 7 is now available on Bridgeford Trust Company’s Delivering Direction and Control Podcast Series! Head on over to our podcast page at bridgefordtrust.com/podcasts to hear the latest episode!

Episode 7 features David WarrenCo-Founder/Chairman of the Board of Bridgeford Trust Company and President/CEO of Bridgeford – and guest speaker, Dr. Daniel Kim – Founder and President of Sweetwater Digital Asset Consulting, LLC – for an intriguing discussion on cryptocurrency, including the history of this asset class and how to identify a quality cryptocurrency project. This episode also includes Dr. Kim’s take on the research and advisory services available that provide investors guidance in considering cryptocurrency exposure for their portfolios.

Our Podcast Series was developed to educate, challenge, and inspire listeners. As we interview experts in the trust planning arena, we will keep listeners updated on developments regarding modern trust law and provide practical discussion on the powerful planning opportunities available to advisors around the country and the world – all in an effort to deliver far more direction and control to clients and their advisors than ever before.

We hope you enjoy Episode 7!