Plain-language terms used in hong kong trust services. Not legal advice. Execution is by a licensed TCSP.
Settlor
The person who creates the trust and transfers assets into it. Sometimes called the grantor in US tax writing.
Trustee
Holds legal title and must administer the fund under the deed and fiduciary duties. In Hong Kong, a business providing trustee services generally needs a TCSP licence.
Beneficiary
The person or class who may receive income or capital. In a discretionary trust they usually have no fixed share until the trustee appoints.
Protector
An optional office with defined powers (often consent to trustee changes or distributions). Not a second trustee unless the deed says so.
Letter of Wishes
A non-binding note from the settlor to the trustee about hoped-for distributions or investments. It is not the trust deed.
TCSP
Trust or Company Service Provider, licensed by the Hong Kong Companies Registry under AMLO (Cap. 615).
PTC
Private Trust Company: a company formed to act as trustee of a family trust, usually with a licensed TCSP providing administration.
EPT
Excluded Property Trust: a UK inheritance-tax label for certain foreign-situs settled property. Rules changed from 6 April 2025. Not a Hong Kong statute name.
CDD / KYC
Customer due diligence / know-your-customer: identity, source of wealth and ongoing monitoring that licensed TCSPs must perform.
Discretionary trust
The trustee decides which beneficiaries receive what, and when, within the class named in the deed.
Fixed interest trust
The deed states each beneficiary’s entitlement; the trustee has little or no distribution discretion.