Another Look at Private Trust Companies: An Family Office Association Podcast with Al King
Another Look at Private Trust Companies with Angelo J. Robles
In Part 24 of the Family Office Association Podcast Audio Series, Angelo J. Robles is joined by Al King as they discuss private trust companies. You can either read the transcription or listen to the podcast and learn more.
Angelo Robles: Hello everyone, this is Angelo Robles at Family Office Association. Welcome and thank you for joining us today for our Family Office Association audio podcast on private trust companies. We are very fortunate to be joined by Al King III, co-founder, co-chairman and co-CEO of the South Dakota Trust Company. I’ve known Al for a number of years, he is absolutely one of the true thought leaders in the world of private trust companies, which especially for larger families is usually a very important integral part of the concept around a single family office, governance and trustee issues. Al how are you today?
Al King: Very good thank you, Angelo.
Angelo: My pleasure. It’s a pleasure to have you on the call. Why don’t we begin? For those that may be a little bit newer to the concept of a private trust company or “PTC” very simply what is a private trust company?
Al: Yeah basically a private trust company is typically a family owned entity authorized by either a state or a – the federal government to operate as a trust company serving as trustee for a family’s trust. The typical structure is an LLC that we’re seeing but they do operate like corporations. So rather than naming a family member individually as many families typically do or by naming an institution, a large bank or another institution to serve as the trustee a family will end up setting up their own private trust company. And again that’s usually an LLC structure, typically in one of the more popular states and that will end up serving as trustee for their family trust.
Angelo: What is the difference between a regulated and an unregulated private trust company?Become a Member for Access