AffidavitA written and signed document made by someone under oath. An affidavit can be used as proof in a court of law.
ArbiterAn individual who acts as judge in an argument and has the authority to settle a dispute.
AssetSomething of value that belongs to an individual or organisation i.e. a possession, property, money, land.
Beneficial OwnerAn individual or organisation who has the ultimate ownership or majority control over an entity or asset and has the right to receive income or profits from it.
BeneficiaryAn individual or group of individuals that benefit financially or in some other form.
Benefit in KindA benefit or perk an employee receives from their employer in addition to their salary i.e. a car, mobile phone.
BequestThe property or assets that someone, after death, gives to someone else.
CapacityThe ability of an individual to use and understand information to make a decision and communicate a decision made.
CapitalMoney or assets used to start a business or invested to produce more wealth.
Capital Gains TaxA tax applied on profits made from selling something you own i.e. property or investments.
ChattelsAn item of personal property in a tangible form (moveable or immovable) i.e. jewellery, cars, antiques.
Civil partnerAn individual who enters into a civil partnership with another person with whom they are not related.
ClientAn individual to whom an organisation provides, has provided, or intends to provide services to.
Common Reporting StandardAn annual requirement which requires jurisdictions to obtain information from their financial institutions and automatically exchange said information with other jurisdictions.
CreditorAn individual/organisation to whom another individual/organisation owes money.
An individual or organisation with responsibility for protecting or taking care of something i.e. holding assets of a trust.
DebtorAn individual/organisation that owes money.
DecedentA deceased individual.
Deed of SettlementA legally binding agreement signed by two or more people that settles a dispute and any related claims between them.
Deed of Trust/Declaration of TrustA legally binding document through which legal title of an asset is transferred to a trustee to be held on trust for the benefit of one or more beneficiaries.
Deed of VariationA legally binding document, through which changes to a deceased individual’s will may be made by its beneficiaries.
DescendantAn individual that is related to and lives beyond another individual.
DisclaimerA formal statement that removes connection or legal responsibility for something where one has a right to claim.
DiscretionaryLeft to individual choice or judgement.
DistributionSeparation and dispersing of funds and/or assets to those entitled to the estate of the diseased.
DomicileA place that an individual treats as their permanent home, where they live or with which they have a significant connection.
EquityThe value of residual ownership in an organisation or an asset.
EstateThe total money and property of an individual, particularly at death.
Estate planA plan or set of instructions that manage an individual’s estate upon their death.
ExecutorAn individual or organisation appointed with the responsibility to carry out the terms of a will of a deceased individual.
ExonerationA formal action that absolves someone from blame, a duty or obligation.
Family officeA private owned company that handles the financial affairs of a wealthy family, usually comprising investment management, estate and tax planning and concierge services.
FATCA (Foreign Account Tax Compliance Act)A law that requires U.S. citizens to declare any financial assets they hold outside of the country.
FiduciaryAn individual or organisation that acts on behalf of and in the best interest of another individual, with a duty to preserve good faith and trust i.e. the relationship between a trustee and a beneficiary.
GiftSomething that is given to a beneficiary (directly or indirectly) as a present, where full consideration is not received in return.
GuardianAn individual who has the legal responsibility of protecting and looking after something or someone.
HeirAn individual legally entitled to the property of an ancestor upon their death.
IncomeTotal money received from earnings, benefits, property and pensions.
IndemnitySecurity or protection against a loss or other financial burden, or legal liability for one’s actions.
In extremisIn an extremely difficult situation or at the point of death.
Inheritance Tax (IHT) also known as Estate TaxTax levied on property and money acquired by gift from a deceased individual.
Inter vivosBetween the living.
IntestateWithout a will upon death.
IrrevocableSomething that is final and cannot be changed, reversed or recovered.
Joint TenancyShared ownership of a property where each individual owner has an undivided interest in the property. When an owner dies, the deceased owner’s interest is acquired by the living owner.
LegacyMoney or property left to a beneficiary upon death or a long-lasting impact of a person’s life through their actions or events.
Letter of WishesA document that outlines how the settlor of a trust wishes for trust assets to be treated and distributed. Whilst not legally binding, it must be taken into account and in practice, is usually followed by the Trustees.
LiabilityLegal responsibility for something.
MinorAn individual under the age of full legal responsibility.
Nil-rate BandThe amount of an individual’s estate which can be passed on to their beneficiaries upon death with no Inheritance Tax payable.
Non-residentAn individual that does not live in a particular place.
Perpetuity PeriodA period of time (the length of a life in being plus 21 years) that applies to future interests in assets.
Person with Significant Control (PSC)An individual that owns or controls a company.
PersonaltyAn individual’s personal (moveable) property.
Power of Attorney (POA)Legal permission for a designated individual to act and make decisions about another individual’s property, finances or care.
ProbateThe process of proving that the will of a deceased individual is valid.
PropertyPossessions belonging to an individual i.e. cash, land, property, luxury assets, shares, investments etc.
ProtectorAn individual appointed by the settlor of a trust to oversee the administration and decisions made by the trustees in relation to the trust.
Real estate/realtyLand or buildings that an individual owns.
ResidencyThe principal place where someone lives.
ResidueThe remaining estate after all expenses and charges have been paid.
RevocableCan be changed, revoked or cancelled.
SettlementThe arrangement through which property passes to designated beneficiaries as stipulated by the settlor.
SettlorAn individual who sets up a Trust, where legal ownership of assets is transferred to the Trustee(s) for administration and distribution according to the settlors wishes.
SpouseThe husband or wife of an individual.
Tenancy in commonA legal arrangement in which two or more parties share ownership of a property but where the share does not automatically go to the other owner(s) upon death. The share can be passed on to another party via the will.
TestamentAn individual’s will, in particular relating to their personal property.
TestatorAn individual who has made a will.
TrustA legal arrangement by which the owner of an asset transfers its legal ownership to Trustees to hold and administer subject to the defined terms of the Trust Deed and in accordance with the governing law, for the designated beneficiaries.
Trust AdministratorAn individual or organisation that is appointed to administer the Trust and its assets. A Trust Administrator may also be appointed by the probate court to oversee a deceased individual’s estate when there is no will.
TrusteeThe legal owner of the assets held in a trust. An individual or organisation appointed by the Settlor to administer the trust asset(s) according to the Settlor’s wishes as set out in the Trust Deed.
Trust Service Provider (TSP)A professional organisation that provides trust administration and trustee services to trusts. Usually licensed by a regulatory body in their jurisdiction.
Ultimate Beneficial Owner (UBO)An individual that is the ultimate beneficiary of an entity – the individual who ultimately owns and controls the entity.
WillA legal document that contains instructions for the treatment and care of one’s property or estate upon death.
WitnessAn individual who sees an event, or is present at the signing of a document and confirms the same.

Are you ready to make sense of your future?

Get in touch
Copyright © Sentient 2023