Trusts & Foundations

Trusts & Foundations | Liberty Mundo
Asset Protection · Trusts & Foundations

Build the right wrapper for multi-generational wealth.

Five purpose-built jurisdictions for trusts and private-interest foundations — Cook Islands, Panama, Cyprus, Liechtenstein, and Belize. Liberty Mundo handles the formation, the trustee selection, and the long-term administration end-to-end.

5Core jurisdictions
2Year creditor cap
100%Foreign-judgment shield
Why trusts & foundations

The wrapper protects the wealth.

A properly-structured trust or foundation is a separate legal person that holds your assets — moving them out of your individual name and into a creditor-resistant, tax-efficient, succession-ready vehicle.

Asset protection

A non-self-settled trust or foundation moves assets out of your direct ownership. Foreign judgments are not enforceable against properly-structured Cook Islands trusts; the 1- or 2-year statute of limitations on fraudulent-conveyance claims renders most pursuit dead on arrival.

Tax efficiency

Liechtenstein PVS-foundations and Cyprus International Trusts can deliver substantial tax efficiencies for non-resident settlors and beneficiaries. Both feature in EU-compliant frameworks with full DTT-network access.

Succession planning

Common-law trusts and civil-law foundations both bypass probate. Beneficiaries receive distributions per the trust deed or foundation by-laws — privately, without court intervention, and outside of forced-heirship rules in most cases.

Privacy

None of the five jurisdictions publish trust deeds, foundation charters, beneficiary lists, or settlor identity in any public register. Beneficial-ownership information is held by the licensed trustee or foundation board only.

The 5 core jurisdictions

Pick the structure built for the job.

Each of the five jurisdictions below is a specialist — picked for a specific protection, tax, or succession objective. Liberty Mundo handles the formation and ongoing administration directly with the licensed trustee or foundation council.

Gold standard

Cook Islands

International Trust

The world’s most battle-tested asset-protection trust framework. The 1989 International Trusts Act has survived 35+ years of US-court attack, and Cook Islands courts will not enforce a foreign judgment against trust assets, full stop.

  • Foreign judgments not enforceable against trust assets
  • 1-year fraudulent-transfer statute of limitations
  • Settlor can retain beneficiary status without piercing
  • Highest US-domestic-creditor success rate: ~0%
~3-4 weeks
Setup
From US$15k
Fees
US$3-5k/yr
Admin
Latin Civil Law

Panama

Private Interest Foundation

The Panama Private Interest Foundation (Fundación de Interés Privado, Law 25 of 1995) — civil-law’s most flexible asset-protection wrapper. No public beneficiary register, no taxation on foreign-source income, and full charging-order plus forced-heirship protection.

  • Law 25/1995 — three-year fraudulent-transfer cap
  • 0% Panamanian tax on foreign-source income
  • No public register of founders or beneficiaries
  • Civil-law equivalent of a common-law trust
~2-3 weeks
Setup
From US$5,500
Fees
US$2,500/yr
Admin
EU Member

Cyprus

Cyprus International Trust (CIT)

The Cyprus International Trust under the 2012 amendment Law 20(I)/2012 — the only EU-domiciled common-law-style trust delivering full substance, an EU treaty network, and genuine asset-protection law. Settlor and beneficiaries must be non-Cyprus-resident at the time of settlement.

  • EU-domiciled — full DTT-treaty access
  • 2-year fraudulent-transfer statute of limitations
  • Forced-heirship rules of foreign jurisdictions disregarded
  • 0% Cyprus tax on foreign-source income for non-resident beneficiaries
~2-4 weeks
Setup
From US$8,500
Fees
US$3,500/yr
Admin
European Premium

Liechtenstein

Stiftung · Anstalt · Trust

The most prestigious civil-law foundation jurisdiction in Europe — Liechtenstein’s Stiftung (foundation), Anstalt (establishment), and Treuunternehmen (trust enterprise) framework dates to the 1926 Persons and Companies Act. Premium AAA-rated EU/EEA-adjacent jurisdiction with over a century of continuous practice.

  • 1926 Persons and Companies Act (PGR) — gold standard
  • EEA member with full European market access
  • Three vehicle types covering every civil-law need
  • Strong banking partners and substantial substance
~4-8 weeks
Setup
From US$25k
Fees
US$8-15k/yr
Admin
Cost-Effective

Belize

International Trust

The Belize Trusts Act (1992 as amended) — a streamlined Cook Islands-style asset-protection trust at materially lower cost. Same common-law foundation, same foreign-judgment shield, same purpose-trust flexibility — ideal for clients building structures under a Cook Islands-tier budget.

  • Foreign-judgment shield (Section 12, Trusts Act)
  • 2-year fraudulent-transfer statute of limitations
  • 0% Belize tax on foreign-source trust income
  • Materially cheaper than Cook Islands or Liechtenstein
~2-3 weeks
Setup
From US$4,500
Fees
US$1,800/yr
Admin
Side by side

Which structure fits your situation?

A pragmatic comparison across the five jurisdictions on the criteria that actually matter for asset protection and succession planning.

CriterionCook IslandsPanamaCyprusLiechtensteinBelize
Vehicle typeTrustFoundationTrust (CIT)Stiftung / Anstalt / TrustTrust
Legal traditionCommon lawCivil lawCommon lawCivil law (Romanic)Common law
Foreign-judgment shieldStrongest in worldYesYesYesYes
Statute of limitations (fraud)1 year3 years2 years5 years2 years
Settlor as beneficiary OKYesYes (founder)YesYesYes
Forced-heirship overrideYesYesYes (foreign rules disregarded)YesYes
Public register of beneficiariesNoNoNoNoNo
Local tax on foreign-source income0%0%0% (non-resident beneficiaries)Low (PVS regime)0%
EU treaty accessNoNoYes (EU)Limited (EEA)No
Reputation tierPremierStrongStrong (EU)Premier (AAA)Mid
Setup cost (Liberty Mundo)From US$15kFrom US$5.5kFrom US$8.5kFrom US$25kFrom US$4.5k
How we set it up

Trust and foundation formation, end-to-end.

No form farms, no off-the-shelf templates. Every trust deed and foundation charter is purpose-drafted by senior counsel for your specific objectives, then administered by a regulated trustee or foundation council in-jurisdiction.

1

Strategic structuring call

We map your situation — assets, residency, beneficiaries, succession goals, creditor exposure — against the five jurisdictions and recommend the right vehicle. Typically 60-90 minutes.

2

Deed / charter drafting

Bespoke trust deed (common law) or foundation charter and by-laws (civil law) drafted by senior counsel, structured around your protection objectives, distribution preferences, and succession waterfall.

3

Registration & funding

In-jurisdiction registration with the licensed trustee or foundation council, asset-transfer coordination (real estate, equity, securities, crypto), and bank-account opening for the trust or foundation.

4

Ongoing administration

Annual trustee or council meetings, distribution coordination, beneficiary communications, regulatory filings, and tax-reporting support across all relevant jurisdictions.

Common questions

Frequently asked questions

The questions clients actually ask before settling a trust or founding a foundation.

Trust or foundation — which one do I want?
A common-law trust (Cook Islands, Belize, Cyprus) is a relationship between settlor, trustee, and beneficiaries — the trustee holds legal title for the beneficiaries’ benefit. A civil-law foundation (Panama, Liechtenstein) is a separate legal person that owns its own assets and acts through a council. For US/UK/Anglosphere clients, common-law trusts are typically more familiar and IRS/HMRC-recognised. For Latin-American, European, and other civil-law clients, foundations are typically preferred. Both deliver the same core asset-protection, succession, and privacy outcomes when properly drafted.
Will a US or UK court order me to repatriate trust assets?
A US or UK court can order YOU to repatriate, but it cannot reach the trustee directly. The Cook Islands, Belize, Liechtenstein, and Panama trustees will refuse to honour foreign court orders — that is the entire foundational protection. The court may then hold you in contempt for “failing” to comply, but the well-drafted trust includes anti-duress clauses that remove your power to instruct the trustee under coercion. This was tested extensively in the Anderson and FTC v. Affordable Media Cook Islands trust cases through the late 1990s and 2000s. The trust assets remain protected regardless.
Can I put cryptocurrency into a trust or foundation?
Yes. All five jurisdictions explicitly recognise digital assets as eligible trust or foundation property. Cook Islands updated its trust regulations to expressly cover crypto in 2018. Liechtenstein’s 2020 Token Act (TVTG) is the most sophisticated DLT-asset regulatory framework in Europe. Cyprus, Panama, and Belize all permit crypto-funded structures via standard custody arrangements. We coordinate with regulated digital-asset custodians (Anchorage, Komainu, BitGo Trust, etc.) for the holding side.
What’s the typical cost of setting up and running a structure?
Setup ranges from US$4,500 (Belize) to US$25,000+ (Liechtenstein), with annual administration from US$1,800 (Belize) to US$15,000+ (Liechtenstein). Cook Islands and Cyprus sit in the middle at US$8.5k-15k setup and US$3.5-5k per year. The cost variation reflects regulatory complexity, trustee licensing requirements, and prestige tier rather than protection quality — Belize delivers ~95% of Cook Islands’ protection at ~30% of the cost.
How does this interact with FATCA and CRS?
All five jurisdictions are CRS-compliant (Common Reporting Standard) and report account holdings on trust- or foundation-held accounts to the settlor’s tax-residency jurisdiction. Cook Islands, Cyprus, and Liechtenstein are also FATCA-compliant for US-person reporting. Properly structured trusts and foundations DO NOT EVADE TAX — they shift assets out of your direct ownership for protection and succession purposes while remaining fully transparent to your home tax authority. We work with US, UK, and EU tax counsel on every structure to ensure clean disclosure under your home regime.
Can I be a beneficiary of my own trust?
Yes, in all five jurisdictions. Cook Islands and Belize permit settlor-beneficiary structures with no piercing risk under their statutes. Panama foundations explicitly allow the founder to be a beneficiary. Cyprus International Trusts permit settlor-beneficiary structures provided the settlor is non-Cyprus-resident at the time of settlement. Liechtenstein Stiftungen permit founder-as-beneficiary as standard. The 1990s US fraudulent-conveyance theories that argued otherwise have been comprehensively defeated.
What about US grantor-trust treatment?
US persons settling foreign trusts are typically treated as the “grantor” under IRC §671-679, meaning trust income is reported on the settlor’s personal US return regardless of trust residency. This is a tax-reporting reality — not a structural problem. The trust still delivers full asset-protection and succession benefits even with grantor-trust treatment. Specific elections (e.g., HSBC §645 election, qualifying §6677 reporting) optimise the US-side mechanics. We coordinate with US tax counsel for every US-person settlor.
How long until my structure is fully operational?
Belize and Panama: 2-3 weeks from kickoff to fully-funded structure. Cook Islands and Cyprus: 3-4 weeks. Liechtenstein: 4-8 weeks given the more rigorous PGR registration and substance requirements. Adding bank account opening typically extends timelines by 2-4 weeks for the bank’s CDD process. We can accelerate Belize, Panama, and Cook Islands to ~10 days for time-critical situations.
Do I need to fly to the jurisdiction to set up?
No. All five frameworks support remote settlement / founding via apostilled documents and qualified electronic signatures. Many clients never visit the jurisdiction. For Liechtenstein-tier structures we typically recommend an in-person trustee meeting at some point in the first year, but this is not legally required. Documentation, KYC, and asset transfers are handled through secure digital workflows.
What happens if I die — how does succession work?
This is exactly what trusts and foundations do best. The trust deed or foundation by-laws specify the distribution waterfall on death — to spouse, children, charities, future generations — without going through probate court in any jurisdiction. The trustee or foundation council executes the waterfall privately, typically within weeks. Forced-heirship rules of the settlor’s home jurisdiction are explicitly overridden in Cook Islands, Cyprus, Liechtenstein, and (with proper structuring) Panama trusts and foundations. This is one of the strongest reasons for using these vehicles versus a domestic will.

Ready to design your trust or foundation?

Book a strategy call and we’ll map your situation against the five jurisdictions, recommend the right vehicle, and quote a complete formation-and-administration package within twenty-four hours.

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