
Asset Protection Trust
An effective wealth preservation strategy is incomplete without the protection of assets from unforeseen risks. Asset Protection Trusts (APTs) represent the most crucial safeguard for individuals, families, and entrepreneurs, yet they are often the missing puzzle piece in many personal and business structures. Properly designed, these trusts create a legal barrier between creditors, lawsuits, and your wealth, ensuring that hard-earned assets remain secure for future generations. Both Domestic Asset Protection Trusts (DAPTs) within the U.S. and Foreign Asset Protection Trusts (FAPTs) abroad offer unique advantages, and selecting the right jurisdiction requires careful analysis of each client’s circumstances, objectives, and risk profile.

At Donam Consulting, we bring decades of combined experience in structuring both domestic and international asset protection strategies. We know the trustees, understand the intricacies of trust law across jurisdictions, and have the expertise to identify the most suitable structure for each client. Whether integrating a trust into an existing estate plan, or creating a new protective structure around real estate, business interests, private aircraft, yachts, or digital assets, our approach is comprehensive and tailored. We don’t just establish trusts—we design long-term protection plans that balance security, privacy, and flexibility, ensuring our clients’ legacies are shielded against future uncertainties.
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Domestic APTs (DAPTs):
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Established under the laws of certain U.S. states (e.g., Nevada, Delaware, South Dakota).
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Offer creditor protection within the U.S. while keeping assets closer to home.
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Generally lower cost and simpler to administer.
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May be subject to U.S. court jurisdiction, which can limit effectiveness against certain claims.
Foreign APTs (FAPTs):
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Formed in international jurisdictions with strong asset protection laws (e.g., Cook Islands, Nevis, Belize).
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Provide enhanced protection from foreign judgments and certain U.S. claims.
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Often viewed as stronger “firewalls” due to favorable trust statutes.
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More complex and costly to establish and maintain, with additional compliance requirements.
OUR APPROACH
At Donam Consulting, we help clients evaluate the trade-offs between DAPTs and FAPTs, selecting the most effective jurisdiction and trustee for their unique circumstances.
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