Rosemary Hueser, Senior Vice President, Manager Advisor Trust Services, BOK Financial Advisor Trust Services joined Keith Black, Managing Director of RIA Channel, to discuss trustee services.
Trust services can assist advisors in growing and maintaining multi-generational client relationships. Given the trillions in assets that will transition to the next generation over the coming decades, advisors should proactively discuss trusts and estate planning with their clients. Advisors who don’t have these conversations with their clients are at risk of losing those assets after the bequest, especially if they don’t have a relationship with the younger generation.
Working with an advisor-friendly trustee can allow the design of a program where the advisor can continue to manage client assets even after they have been transferred to a trust. While the trustee provides the trust administration services, the advisor can continue to manage the assets and provide financial planning services.
Many trusts have portability provisions that allow beneficiaries to move a trust from one trustee to another. While some trustees bundle all services, including investment management, others like BOK Financial, allow for unbundling of services.
Some grantors will name individuals as trustee, thinking that this decision can generate cost savings. If the individual trustee is not experienced or competent in these matters, there may be costs for attorneys or accountants even if the friend or family member serving as a trustee is not charging for their services. Individual trustees may also be personally liable for lawsuits brought by beneficiaries if any issues arise.
BOK is an impartial corporate trustee with 130 trust officers whose sole job is to make sure that all trust rules and legal requirements are followed.
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