There may be one or more reasons. Perhaps the trust calls for a certain expertise that the named trustees do not have, e.g., securities, real estate or an ongoing business. Frequently, family member trustees are not able to make consensus decisions so a private fiduciary is required to step in and replace them. If a named trustee lives in another part of the county or world, a private fiduciary is likely necessary to mange the local assets of the trust. More often, in today’s world, trustors appoint private fiduciaries in the instrument rather than family members in order to avoid family in-fighting, thus preserving the existing family harmony.

The private fiduciary will most likely provide far more personalized service than a corporate/bank trustee. You will have only one point of contact for all your questions surrounding the trust and you will have the ability to communicate in a direct and timely fashion with the private fiduciary. A fiduciary should provide you with all of their contact information, including cell phone, so that you can reach out to them at any reasonable time.

Trust is paramount. As trustee, the private fiduciary controls trust  assets and is instrumental in both the management of those asets and in addressing the needs of the beneficiaries.The private fiduciary should have the appropriate educational and business background to assume that responsibility. Additionally and as importantly, you want to ensure that the private fiduciary makes a communication a priority. Quarterly, semi-annual and/or annual reporting is great, but you should be able to reach out to and hear back from the private fiduciary at any reasonable time you request. Timely, effective and fully transparent communication will eliminate most of the stumbling blocks that might otherwise arise.

Depending upon your situation, there may be any number of advantages. The private fiduciary should be easy to reach and communicate with. Your call should be returned that day or the next. You and your assets will be of primary importance to the private fiduciary. Unlike a corporate/bank trustee, your trust will not be one of hundreds that the private fiduciary is managing. You will have one point of contact and not three, four or five under a corporate/bank trustee arrangement. Assuming you do your homework and select a private fiduciary with the appropriate educational and business background, you are likely to receive a higher degree of care and success with your trust assets.