A foundation is a legal entity that holds and manages assets for a specific purpose, typically for the benefit of individuals, families, or charitable goals. It combines features of both a company and a trust, offering a structured yet flexible approach to wealth management.
Unlike a trust, a foundation has its own legal personality, meaning it can own assets, enter into contracts, and operate independently.
Common types of Foundations:
Private (Family) Foundation
- Used for managing and preserving family wealth
- Beneficiaries are typically family members
Charitable Foundation
- Established for philanthropic or social purposes
- Assets are used to support charitable activities
Hybrid Foundation
- Combines private benefit with charitable objectives
- Increasingly popular in modern wealth structuring
