Why choosing the right trust is important

Many advisers are in a ­conundrum when recommending a trust to clients. Should they go for a simple, ­straightforward but accessible bare trust, or a ­sophisticated but complex ­discretionary trust? That is, a bare trust which will be a potentially exempt transfer but can be claimed by a beneficiary over 18 years old? Or a discretionary trust with flexibility of beneficiaries but with immediate inheritance tax (IHT) payable if an amount more than the nil rate band is invested? This is a rather simplistic ­synopsis of two multi-faceted ­arrangements, so it is important to compare th...