Leaving your legacy intact with corporate fiduciaries.
You may have heard or read the term “corporate fiduciary” but feel a bit fuzzy on what that really means. Let’s take a look at the role of the corporate fiduciary and clear up some of this confusion.
What is a corporate fiduciary?
A corporate fiduciary is an organization like a bank or trust company that is empowered with the ability to manage finances, administer trusts and estates and invest assets on your behalf.
How can a corporate fiduciary play a role in your life?
Let’s consider some common situations:
You change jobs. You want to roll over your IRA into your new employer’s retirement program.
You love the arts and would like to ensure that your local theater receives your support for decades to come – even after you can no longer attend.
You want your children, grandchildren or other family members to have a financial safety net in the years following your death.
When the time comes to reinvest accrued wealth, create trusts or foundations that will support the people and institutions you love, manage investments while you are physically or mentally incapacitated or perform the legally and financially complicated task of executing a will, a corporate fiduciary is a great help.
What if I’m more comfortable having one of my adult children or trusted attorney manage my money or execute my will?
Many people may believe that “keeping it in the family” will ensure that their wishes are kept. Unfortunately, emotion and subjectivity can sometimes color the decisions of the ones we love, particularly when we’re not around to keep our well-laid plans on track.
Attorneys may be legal experts, but even the most talented lawyer still needs the help of financial professionals to properly handle investments, taxes and other wealth-related issues.
Corporate fiduciaries are neutral – their decisions are made with the best results for your wealth in mind. Corporate fiduciaries also offer comprehensive services that cannot be found elsewhere.
“A corporate fiduciary will have all of the resources available to manage, invest, account for and spend the beneficiary’s estate, trust or guardianship assets under one roof,” Julie Garber, wills and estate planning expert, writes. “This will include investment services, brokerage services, estate or trust accounting services and business and real estate management services.”
How can I trust that a corporate fiduciary will make the best decisions on my behalf?
By law, a corporate fiduciary is required to make financial decisions that bring you the greatest benefit – even if it does not bring the corporate fiduciary a similar degree of return.
Corporate fiduciaries are strictly regulated by state and federal governments. Money managers, financial advisors and brokers, for example, are not held to the same exacting standards as the corporate fiduciary.
Most importantly, corporate fiduciaries offer peace of mind when dealing with complicated issues that will someday be beyond your control. As your corporate fiduciary, Northwest can offer outstanding infrastructure for accounting and record keeping, broad investment sophistication and a team of advisors whose judgment, experience and availability will let you rest easy when considering the big-picture financial issues that may otherwise keep you up at night.
To learn more about Northwest’s corporate fiduciary program, contact Trust Services today.