Managing your trust assets

Presented by

Russell Albright

2011 Copyright Albright Investment Management LLC 1

Thank you for attending one of our premier educational seminars provided by our firm.

Our Presentation is to provide you with a better understanding of your role as trustee, and how Albright Investment Management can help you manage your family’s legacy.

Please save any questions you might have until the end of the presentation.


Russell Albright has served as an experienced financial services executive since 1994 at top Banking and Brokerage firms in the San Francisco bay area with a key role in achieving peak performance and profitability.

Russell’s unique background of financial services experience and post graduate certifications from Stanford University has provided a winning combination of specialized skills for private banking, wealth management, and trust administration.


If you are a trustee it is critical that you understand the role you are undertaking. As a professional banker we strongly recommend that you have an advisor.

With our firm, you will be provided with your very own Private Banker, Portfolio Manager, and Trust Officer to help you safeguard the assets, manage the investments, and provide clear and accurate records of administration.


Private Banking with Charles Schwab bank Sophisticated Investment Management Clear and Accurate records of Trust

Administration Real Estate Notary Public


Deconstructing the typical Bank, Trust Company, or Brokerage

The real strategic value lies in the consultative and advisory nature of its services, and not in the sales of financial products from the firm.

At our firm, your advisor has the advantage of independent research to develop clear and concise investment strategies that are suitable for the beneficiaries and in alignment with the investment policy of the trust without any conflicts of interest.

We are a fee based firm that derives a majority of its revenue from advisory services, and receives no commissions on any of the financial products it may recommend for your portfolio.


Accountability Commitment Duration of Service Experience managing Trust Assets Strategic Decision capability with all advisors Serve the Trustee Clear and Accurate Records available 24/7 Authority and Control remain with the Trustee Risk Management and Regulatory Compliance Value


Choosing the Right Advisor and Custodian Duties of a Trustee or Grantor Managing your Trust Assets The Power of Delegation


Personal liaison to the trustee and beneficiaries Dedicated and Qualified Trust Officer and

Fiduciary Assists in the administration, accounting, and

reporting for tax preparation. Trust Administration as directed by the trustee,

not by the agent. Best choice for delegation of the investment

management and administrative duties of the Trust.


Choosing the right Advisor is one of the most important decisions you can make for yourself and your family.

A trust that is mismanaged can create family disputes, lead to severe tax or legal consequences for your family’s estate, jeopardize the estate plan, and possible loss of principal.

Unfortunately, your local Bank or Credit Union will offer limited assistance with less than helpful branch managers.


1. Education2. Professional Associations3. Licenses and or Certifications4. Strategy vs. Execution5. Risk Management6. Specialized skills and Training7. Strategic Value8. Availability9. Industry expertise10. Independent Research


Charles Schwab Institutional services is our choice for custody of your managed assets.

Over 6,000 independent advisors use Schwab’s open-architecture platform

They custody over 700 billion for independent advisors

The leading custodian for over 20 years


Be prepared to accept the Powers and Duties of the Trustee.

Most Trusts fail due to improper administration

Upon acceptance of the trust by the trustee, he or she is under a duty to the beneficiary to administer the trust until the trust terminates or trustee resigns, or is removed.


Reg.9, Prudent Investor Rule and state –codified common law fiduciary duties

Active participation in administration of the trust

Loyalty to the beneficiaries

Keeping and rendering clear and accurate records of administration

Providing information requested by beneficiaries regarding the nature of the account’s assets, amount of the property, and all transactions.


Exercising care and skill that a person of ordinary prudence would exercise

Maintaining control over the property

Preserving the trust property

Enforcing trust claims and defending the trust against loss

Segregation of trust property from all other property not subject to the trust


Earmarking bank deposits that are trust assets

Exercising care when selecting a bank for trust deposits

Exercising reasonable skill and care to make trust property productive

If required, paying income to appropriate beneficiaries at reasonable intervals

Dealing impartially and fairly with beneficiaries at reasonable intervals…but not necessarily equal


Dealing with all co-trustees with respect to potential fiduciary breaches

Documenting the request for – and making of –discretionary distributions

Ascertaining if payments should be made directly to a beneficiary

Determining where beneficiaries are located

Ascertaining if payments should be made for the benefit of a beneficiary


What is an Investment Policy. Modern fiduciary duty in choosing investments

places more emphasis on risk management, appropriate diversification, and a prudent Investment Policy that is consistent with the needs of the beneficiaries.

Our Wealth Management includes both tactical and strategic planning for the best results in aligning your trust assets with your investment policy.


Establishing the Charles Schwab Trust Account and transferring the assets

Develop an Investment Policy Design your Trust’s Portfolio Quarterly Performance Review Continuous supervision and monitoring of

trust assets


Why Delegate? Common delegable acts include the use of

brokers, appraisers, agents, and specialized investment managers.

When delegation is transferred to a third party, the responsibility for determining if it is permissible and monitoring the agents chosen remains the Trustee.


Successful CEOs and other powerful financial players don't monitor all of their own financial activity - they have someone do it for them. But you don't have to be the CEO of a giant corporation to have 'people' – partner with an independent investment manager and trust advisor for the best results.


What if I already have a financial advisor or planner? We understand that many of our clients already have advisors. Our value is that we can complement those existing professionals, such as your attorney, CPA, Insurance Agent, and other advisors with specialized investment advice to help protect, preserve, and manage your family’s wealth.

Is it Expensive? Our fees are competitive with other local financial institutions offering the same services. We however, offers our clients a strategic value of personalized private financial services directly to you regardless of where you keep your accounts.


Where are my accounts held? Our qualified custodian for your trust assets are held at Charles Schwab, under our master account for institutional services. We have chosen Schwab Institutional as part of our Best Execution Policy for our Clients.

Do you manage other types of assets too? Yes, we are a full service financial advisory practice, so we can accept regular brokerage or banking accounts, pension & retirements accounts, to name just a few. We can mange your complete Estate, including the Real Estate holdings.

Do I need a Trust to get started? We are routinely referred by attorneys who practice in Trusts & Estates, so even if you are just starting the process we can help set up an Estate Plan that makes sense for you in cooperation with your other advisors and even help in the selection of the right professionals for your family’s needs.


Thank you for your attendance We appreciate all referrals, and work with

our Client Advisory Board to ensure we are exceeding your expectations.

We look forward to working with you.


Managing your trust assets

Economy & Finance

Transcript of Managing your trust assets