How to Set Up a Trust Fund for Your Children in Zambia

A trust fund is a legal arrangement that lets you set aside money or property for your children, managed by a trustee according to rules you define — useful for school fees, inheritance planning, or protecting assets until children come of age.

What's generally involved

1. Decide on the type of trust. Common options include a living trust (set up during your lifetime) or a testamentary trust (created through your will, taking effect after death).

2. Choose your trustee(s). This is the person or institution responsible for managing the trust's assets in the beneficiaries' best interests — often a trusted family member, lawyer, or a licensed trust company.

3. Draft the trust deed. A lawyer prepares a legal document setting out the trust's purpose, the assets involved, the trustee's powers, and when and how the funds should be released to your children.

4. Fund the trust. Transfer the money, property, or investments into the trust's name.

5. Register where required. Depending on the assets involved, some trusts need to be registered with the relevant authority.