Naked Trust

(redirected from Bare Trusts)
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Naked Trust

A trust in which the grantor leaves assets to the care of a trustee, whose only duty is to transfer those assets to a stated beneficiary. This contrasts with most other trusts, in which the trustee invests or otherwise safeguards the assets and gives the income they generate to the beneficiary.
References in periodicals archive ?
There are many different types of trust but the most common are: A Bare trust is where there is a beneficiary chosen at the outset who cannot be changed and is entitled to all of the capital and income from the trust fund once they reach 18.
The Government will look to progress the recommendations to streamline arrangements for bare trusts as part of the regulatory reform program.
Treasury will undertake further consultation on the scope of potential changes, for example, in defining the core characteristics of a bare trust for taxation purposes.
Bare Trusts and Implied Bare Trusts, which are the most common, straightforward and arguably the most tax efficient.