Answer:
There are 4 main documents you will need when you start and operate a discretionary trust; the trust deed, the minutes, a memorandum of wishes and a deed that appoints a new trustee in cases when the existing trustee resigns or retires, or where the appointer of the trust sees fit to replace the trustee.
The trust deed is the main document you’ll need; it sets out the terms and conditions upon which a trust is established, how it is to operate, including distributions to beneficiaries, and how it can be terminated.
The minutes serve to provide written evidence of the meeting of directors of a company acting as corporate trustee, and record what happens at the meeting.
A Memorandum of Wishes is another important document that gives guidance to the trustee as to the appointer’s wishes in relation to the distribution of income to beneficiaries that goes beyond what is included in the trust deed. A Memorandum of Wishes can be prepared at any point and updated at any time, but it’s usually best to have one at the same time that you create the trust deed.
In the event that the trustee is no longer able or fit to run the trust, a Deed Appointing a New Trustee can be signed by a new individual trustee, or by directors of a company if it is a corporate trustee.