What is an Asset Protection Bare Trust?

An Asset Protection Bare Trust, also known as a "Naked Trust" or "Discretionary Trust," is a type of trust that is used to protect assets from creditors and lawsuits. In a bare trust, the assets are transferred to a trustee who has discretion over how the assets are used and distributed, but the beneficiaries have no legal ownership of the assets. This means that the assets in the trust are not considered to be owned by the beneficiaries, and therefore cannot be claimed by creditors or taken in a lawsuit. Bare trusts are commonly used to protect assets such as real estate, investments, and other valuable property.