The following is my answer to a Quora
question: “Is it permissible for a single trustee to also be one of a number
of beneficiaries of the trust?”
It is legal in most places, but it is not wise. Firstly, there is the issue of checks and balance. There is an obvious conflict of interest here, and there is no other trustee to be that check and balance. Even if there is no misconduct, there will always be that shadow of allegations. Secondly, there will be a complications when that sole trustee dies. Finally, we have to consider how one person can adequately manage all the assets of a trust and maximise earnings. Even a company needs a board.
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