As we head into a busy fall season, Bridgeford Trust Company is proud to sponsor two highly anticipated events in the coming weeks: the STEP LatAm Conference and the Newport Beach Chamber’s 2025 Economic Forecast.

These forums offer excellent opportunities to connect with industry leaders, clients, and colleagues in key regions. Additionally, we’re excited to be hosting a table at the Newport Beach event and invite you to join us if you are in the area.

Read on for event details, and don’t hesitate to reach out if you’d like to schedule a time to connect!

STEP LatAm Conference 2024: September 26-27 in Buenos Aires, Argentina

Bridgeford Trust Company is once again proud to sponsor the STEP LatAm Conference, an annual event featuring innovative presentations and discussions on the planning, structuring, and management of wealth in Latin America. The conference brings together renowned lawyers, accountants, bankers, and trust, estate, and investment advisors from across the globe.

David Warren, Co-Founder & Chairman of Bridgeford Trust Company, and Mariano Marco, Global Managing Director of Bridgeford Global, will be attending this year’s conference. If you’re planning to attend, be sure to stop by Bridgeford’s exhibit table and contact us so we can connect during the course of the event!

Newport Beach Chamber’s 2025 Economic Forecast: October 3 in Newport Beach, California

Bridgeford Trust Company is also pleased to sponsor the Newport Beach Chamber’s Economic Forecast, a premier event focused on the 2025 economy. This event is designed to provide valuable insights for budgeting, finance, real estate, and investment planning.

David Warren will also be attending this event and is looking forward to hosting a table of distinguished professionals from the region as we continue to expand our presence in California through our sister company, Bridgeford Advisors.

We have a limited number of tickets available to join David at this exclusive event, so if you’ll be in the area and would like to attend, please contact us. The event will take place from 11:00 a.m. to 1:30 p.m. at the Balboa Bay Resort in Newport Beach, with lunch and valet parking included.

For more information or questions about these upcoming events, please reach out to us via our contact page or call us at (605) 224-9189.

In the face of global geopolitical instability, political uncertainty in the U.S., and potential changes in the tax code, a key question arises: How should you approach planning, and how can well-settled trusts provide security in unsettled times? These challenges not only highlight the importance of proactive planning but also showcase the trust industry’s strength in leveraging modern trust law to create stability amidst uncertainty.

Establishing a well-settled trust can effectively address specific concerns. One significant area of opportunity lies in trust taxation, particularly leveraging South Dakota’s no state income tax status for substantial tax savings across generations. As we discussed in a previous article, the Spousal Lifetime Access Trust (SLAT) is an irrevocable trust created by one spouse for the benefit of the other. It offers a unique opportunity for married couples to transfer wealth, reduce estate taxes, and protect assets. South Dakota’s favorable trust laws further enhance the benefits of both Completed Gift and Incomplete Gift SLATs because of that state’s progressive approach to modern trust law.

We invite you to explore the power of SLATs in South Dakota in the video below. David Warren, Co-Founder and Chairman of Bridgeford Trust Company, provides insights into using well-settled trusts during uncertain times, with a focus on SLATs and the importance of jurisdiction selection.

Jurisdiction Matters: Why South Dakota?

South Dakota fiduciary law consistently ranks the state as one of the best U.S. trust jurisdictions for advisors and their clients worldwide. In the context of SLATs, understanding the powerful planning nuances of South Dakota is essential. Below are specific attributes that clearly distinguish South Dakota as a leading U.S. trust jurisdiction for SLATs.

• Dynasty Trust: South Dakota, the first state in the nation to abolish the Rule against Perpetuities, created the Dynasty Trust which allows trusts to “live forever,” avoiding federal transfer taxes for generations. You can watch this video about Dynasty Trusts on Bridgeford’s YouTube channel to learn more about its history, how they work, and why South Dakota has been ranked as the top Dynasty Trust state in the nation.
• No State Income Tax: South Dakota does not impose any form of taxation (income, dividend interest, capital gains) on these trust assets so there can be additional compelling tax savings for clients and their families.
• Asset Protection: South Dakota’s asset protection statute has consistently been recognized as among the best and strongest in the nation. Whether a self-settled or third-party asset protection trust, this powerful protection tool allows clients to shield assets from third-party liability and lawsuits, while permitting settlors to retain some control over the trust assets and enjoy a discretionary benefit during their lifetime. With its two year “look-back” fraudulent conveyance statute, South Dakota’s provision is among the shortest in the country.
• Privacy: South Dakota has the most robust privacy trust laws in the nation, with a total, non-discretionary seal on trust information forever, allowing for increased privacy and confidentiality protections. Most states do not have privacy statutes specific to trusts relative to keeping private information out of the public domain or who can be granted information about a trust’s existence or details. Mandated and guaranteed by law, South Dakota unequivocally has the most robust privacy law in the nation.
• Direction and Control: Powerful trust planning tools, such as the Directed Trust and Trust Protector, allow settlors of trusts, beneficiaries, and their advisors to maintain tremendous direction and control over vital aspects of trust creation, administration, and modification, through the use of South Dakota’s powerful decanting statute, considered the best in the nation.
• Modern Trust Law: Modern trust laws, available only in progressive trust law jurisdictions such as South Dakota, have revolutionized trust formation and administration in the United States. The availability of the Special Purpose Entity, as well as the Community Property Trust and Family Advisor (all planning tools not available in other U.S. trust jurisdictions) are just a few of South Dakota’s modern trust laws that rank that state as a top-tier trust jurisdiction.

We encourage you to view Bridgeford Trust Company’s comparison chart of the leading top-tier U.S trust jurisdictions and where they rank in terms of progressive trust topics and laws that distinguish South Dakota as the best U.S. trust jurisdiction in the overall analysis.

For more information on SLATs and how they combine with South Dakota’s modern trust laws to create a powerful planning opportunity for advisors and their clients – even in times of uncertainty – please contact us via our contact page or by calling (605) 224-9189.

David Warren, Co-Founder and Chairman of Bridgeford Trust Company, was recently featured on The Truth About Wealth podcast hosted by Copper Beech Financial Group – a financial planning firm who acts as a family CFO, providing family office services that focus on tax efficiency, asset protection, and family governance. This episode marks David’s second appearance on this insightful podcast hosted by John Parise, Managing Partner and Michael Parise, Chief Compliance Officer, guiding listeners through eye-opening questions to help them discover the truth about their wealth.

In this latest episode, David explores the innovative concept of a purpose trust – an underutilized yet powerful tool for estate planning that can provide asset protection, perpetuate family values, and even accommodate unique needs like cryogenics.

During the discussion, John, Michael, and David cover:

• An introduction to the purpose trust: its definition and primary functions.
• Real-world examples, including charitable purposes and maintaining lifelong commitments such as taking care of pets or holding a family property.
• The benefits of purpose trusts over traditional trusts, focusing on asset protection and longevity.
• How South Dakota’s favorable trust laws make it an ideal jurisdiction for establishing these trusts.

You can listen to this new episode by clicking here.

If you missed David’s first appearance on the podcast – How to Choose the Right Trustee – you can listen to that episode here. In the episode, David discusses the challenges of selecting the right trustee and/or trust company and highlights strategies for making better decisions for your family. The conversation covers modern trust law, asset protection, conflicts of interest in trust planning, and the importance of top-tier trust jurisdictions.

If you have any questions on purpose trusts, choosing the right trustee, or any other topics of interest, don’t hesitate to contact us via our contact page or by calling (605) 224-9189.

The Spousal Lifetime Access Trust (SLAT) offers a unique planning opportunity for married couples to pass wealth to future generations while potentially reducing their taxable estate.

This powerful planning tool is particularly advantageous under South Dakota’s progressive modern trust law and is important for high and ultra-high-net-worth individuals and families to consider in the planning process.

Understanding SLATs

A SLAT is an irrevocable trust created by one spouse for the benefit of the other spouse. It allows the funding spouse to transfer assets into the trust, which are then managed by a trustee for the benefit of the beneficiary spouse and potentially other family members.

SLATs offer several advantages:

• Tax Efficiency: By transferring assets into the trust, the funding spouse removes those assets from their taxable estate, reducing estate tax liability upon the funding spouse’s death.
• Asset Protection: Assets held within the trust are typically shielded from creditors, lawsuits, and divorce settlements, providing a layer of protection for the beneficiary spouse.
• Flexibility: SLATs can be structured to allow the beneficiary spouse access to income and principal distributions, providing financial support while maintaining the integrity of the trust.

By leveraging South Dakota’s unique and industry leading trust laws, married couples can harness the full potential of SLATs to preserve wealth, protect assets, and provide for future generations.

Completed v. Incomplete Gift SLAT

When it comes to understanding SLATs, there are two types: Completed Gift SLAT and Incomplete Gift SLAT. The Completed Gift SLAT tends to be the most common; however, it is important to understand the similarities and differences between the two as they share many characteristics but with key differences in how the gifts are treated for tax purposes.

Similarities:

• Irrevocable Nature: Once established, both the Completed Gift SLAT and Incomplete Gift SLAT cannot be altered or revoked.
• Beneficiary Access: In both types of SLATs, the non-donor spouse can access the trust’s income and, under certain conditions, the principal.

Differences:

• Gift Tax Treatment:
  • Completed Gift SLAT: Transfers to the SLAT are considered completed gifts, utilizing the donor’s lifetime gift tax exemption.
  • Incomplete Gift SLAT: Transfers to the SLAT are considered incomplete gifts for tax purposes, meaning they do not utilize the donor’s lifetime gift tax exemption.
• Estate Tax Benefits:
  • Completed Gift SLAT: Assets transferred to the SLAT are removed from the donor’s estate, reducing potential estate taxes.
  • Incomplete Gift SLAT: While the assets may still be included in the donor’s estate, they are protected from creditors and provide other non-tax benefits.

SLATs are considered a powerful planning tool for married couples looking to transfer wealth, reduce estate taxes, and protect assets. South Dakota’s favorable trust laws enhance the benefits of both Completed Gift and Incomplete Gift SLATs and understanding the differences between these two types of SLATs can help in choosing the right strategy for your client’s estate planning needs.

For more information on Spousal Lifetime Access Trusts (SLATs) and how they combine with South Dakota’s modern trust laws to create powerful planning opportunities for advisors and their clients, please contact us via our contact page or by calling (605) 224-9189.

Bridgeford Trust Company is thrilled to once again be the headline sponsor and a featured speaker at STEP LA’s 16th Annual International Tax & Estate Planning Forum. This event will take place on June 13-14, 2024, at the Terranea Resort in Rancho Palos Verdes, CA.

This highly anticipated forum will explore the latest issues in international private client planning, with presentations from leading national and international experts, including our Co-Founder and Chairman, David Warren. David will join a distinguished panel featuring Hanna Marais, Director at Legato Trust and Fiduciary Services, and Sarajane Kempster, Head of Fiduciary Clients at Royal Bank of Canada (RBC) Wealth Management. The panel will delve into the topic of well-settled trusts amid global challenges such as wars, terrorism, economic instability, and personal insecurity. They will discuss key considerations for locating, structuring, funding, and administering trusts to navigate these challenges and address their settlors’ personal and eleemosynary objectives for the future preservation, deployment, and enjoyment of their personal wealth.

The Power of U.S. Trusts for International Families

Despite current global uncertainties, the United States continues to be the jurisdiction of choice for international families because of powerful modern trust law planning tools available in top-tier jurisdictions such as South Dakota, including Domestic Asset Protection Trusts and progressive privacy trust laws and tax planning opportunities. These are just a few of the unique planning solutions available under South Dakota law that are important for families across the globe to consider when selecting the best U.S. trust jurisdiction.

If you are attending the forum, we invite you to visit our booth to discuss these powerful U.S. trust strategies with David and Doug Mikkonen, Senior Vice President and Senior Trust Officer. We look forward to connecting and exploring how we can collaborate to best serve the international community.

Bridgeford Dinner at STEP LA

Bridgeford’s team will be hosting a dinner at Nelson’s restaurant, located on-site at the Terranea Resort, after the first day’s events. The dinner is scheduled for Thursday, June 13, 2024, at 7:00 PM. Seating is limited, so if you would like to join us, please RSVP to mroberson@bridgefordtrust.com.

Contact Us

We hope to see you in California! For more details about the event, visit STEP LA’s website by clicking here. If you are unable to attend but want to learn more about David’s presentation and the topics discussed, please reach out to us via our contact form or call us at (605) 224-9189.