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Follow the links below to find material targeted to the unit's elements, performance criteria, required skills and knowledge

Elements and Performance Criteria

1. Determine client needs and advise client on suitable trust structure
   • 1.1 Discuss needs and expectations of client and confirm relevant details of client’s personal and financial circumstances, including intended beneficiaries' relevant details and information
   • Explain to client nature and purpose of trusts and how they are administered, including taxation and legislative requirements
   • Explain to client types of benefits paid from trust and specific factors that must be considered when investing trust assets
   • Explain role and responsibilities of trustee in language appropriate to client
   • Document and present to client trust structure that is suited to client’s needs in accordance with legislative requirements, and organisational policy and procedures
2. Address client concerns
   • Discuss and clarify any concerns client has about advice and recommendation, and determine how client wishes to proceed
   • Explain associated fee and cost structures to client and gain formal agreement to proceed
   • 2.3 Explain process and timeframes for execution and confirm client's understanding
3. Prepare and document trust deed
   • Prepare trust deed according to client and legislative requirements, and appropriate organisational policy and procedures
   • Execute settlement deed and take receipt of initial assets
   • Undertake record keeping and safe storage of trust deed according to organisational and legislative requirements
   • Confirm all relevant details and information of beneficiaries
4. Provide ongoing service
   • Agree on type of reporting service with client
   • 4.2 Review needs of beneficiaries for both income and capital, and change trust's investment strategy where appropriate
   • Provide ongoing service and management of trust, as required
5. Determine client needs and advise client on suitable trust structures
   • 1.1 Discuss the client's personal, financial and family circumstances and identify areas of risk to preservation of the client's assets
   • Advise client on trust structures available to mitigate the identified risks including the type of trust, how the trust is created and administered, the taxation consequences of the trust, any legislative requirements for the trust and the role of the trustee
   • Discuss and confirm with the client the fees and cost structure for the advice on trust structures and the preparation of trust documentation
   • 1.4 Identify relevant legislation and organisational policies and procedures for consideration in drafting the client's trust documentation
   • Seek assistance, advice or other services from internal or external specialist advisers as required
6. Prepare draft trust documentation
   • Research relevant strategies, laws and trust structures
   • Identify and consider the benefits, risks and taxation consequences of each trust structure proposed
   • Prepare, in accordance with legislative and organisational policy requirements, appropriate draft trust documentation for the client to review and consider
7. Present draft trust documentation to the client
   • Explain to the client the draft trust documentation, trust structure and trust objectives
   • Discuss with the client how the trust structure will achieve asset protection for the client
   • Explain to the client what the client will need to do to finalise and implement the draft trust documentation
   • 3.4 Seek and consider the client's feedback on the draft trust documentation
8. Finalise trust documents
   • 4.1 Document any amendments to the draft trust documentation arising from the client's feedback on the draft trust documentation
   • Finalise the draft trust documentation and prepare an execution copy of each document
   • Discuss with the client any changes in the final trust documentation
   • 4.4 Arrange for the client's due execution of the trust documentation

Performance Evidence

Evidence of the ability to:

advise the client on suitable trust structure in compliance with legislative and organisational requirements

accurately prepare and present trust and related financial documents according to legal, industry and organisational requirements.

Note: If a specific volume or frequency is not stated, then evidence must be provided at least once.

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Knowledge Evidence

To complete the unit requirements safely and effectively, the individual must:

describe a range of client needs and circumstances relevant to trust structures

explain the key legislation and regulations relating to:

wills

trusteeships including investment and obligations of the trustees

investment of trust assets

taxation and tax obligations as they relate to the administration of trusts

describe the internal and external complaints resolution procedure

examine legal concepts and scope of law covering trusts with particular reference to:

structure of a trust

trust deed

common law duty

role and responsibilities of a trustee

types of trusts

bankruptcy and insolvency

summarise relevant social services benefits and qualification requirements including:

age

disability

unemployment provisions

describe organisational policies and procedures required when advising clients on trust structures

outline products and services offered by personal trustee organisations and fees and charges that apply

outline the role, responsibilities and authority of the senior personal trust officer including:

management and supervision responsibilities

organisational expectations

limitation of personal authority in giving investment advice

discuss the professional code of conduct, where applicable, in the personal trustee sector

explain the role of, and how and when to contact, key internal and external specialists relating to the personal trustee sector.

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