Annual trust review meetings are more than just a regulatory formality – they are an essential tool for effective governance and risk management as Trustees are liable for the management and performance of the trust regardless of whether they are also a beneficiary. Annual trustee meetings provide an opportunity to:
- Revisit the trusts purpose and terms, and ensure the trusts activities align;
- Evaluate the trusts financial performance, investment strategies, and tax compliance;
- Review distributions, gifting and trust activity;
- Consider all the beneficiaries circumstances and the trusts obligations to them;
- Ensure all decisions are unanimous and documented; and
- Respond to changes in the law or market conditions.
A well-run trustee meeting ensures Trustees are performing their role well and in accordance with the trust deed and associated legislation. It can help to protect Trustees should there be a potential claim by a beneficiary down the track and will keep Trustees focused on the obligations owed by them to the beneficiaries of the trust.
By staying proactive and engaged, Trustees can provide peace of mind to themselves and those relying on the trust, knowing it is well managed and fit for the future. If you need advice or have any questions, our friendly team is here to help!