An ADGM Foundation provides a cost-effective solution for a range of financial planning challenges and it offers great flexibility for a variety of purposes including wealth management, tax planning, asset preservation, family estate planning and business succession.
A Foundation is a legal entity, traditionally viewed as being somewhere between a trust and a company. The key features of a Foundation are:
Distinct legal personality: allows for separation of liability between the Founder and the Foundation. A Foundation can hold assets and can sue or be sued in its own name.
Asset control: once the Founder establishes a Foundation, assets are transferred and become a property of the Foundation. Unlike a trust, a Foundation safeguards the Founder’s ability to exercise control over the Foundation assets.
Asset protection: Foundations are designed to preserve the Foundation’s assets from bankruptcy claims, claims in the event of divorce and from the effect of forced heirship rules.
Perpetual existence: the Foundation continues to exist perpetually after the death of the Founder.