Trust funds are a widely used device in the realm of estate planning. Different types of trust accounts have sprung up to suit the needs of various individuals and entities. The basic idea of a trust fund, however, is the same. Through a trust, assets are legally held for one person by another person or entity. Every trust must have a trustee, an individual or entity who actually holds the assets for the benefit of the beneficiary. Not all trustees, however, can be trusted. As an article in Forbes reports, often as trust funds grow larger, problems with trustees grow as well. When trustees unscrupulously take funds from trust accounts, they rarely embezzle the funds outright. Rather, they find ways to apply fees to the funds that are reimbursable to the trustee. The two most common forms such fees are investment advisor fees and legal fees. In order to deal with unscrupulous trustees, settlors have begun to employ trust protectors. Trust protectors are people who simply monitor trustees for any potential misconduct. Trusts can be drafted with provisions that allow the trust protector discretion to terminate the trustee and appoint a successor trustee should there be any misconduct. For assistance in setting up or monitoring your trust, call us at 818.956.9200