(Ask for a subscription!) Ask for a ticket)

There is an old saying in China - "rich can not be more than three generations".

There is a very strange phenomenon, it seems that only a few children of Chinese entrepreneurs have inherited the fine qualities of their parents' diligence and hard work.

Choosing the right successor has become an urgent problem for many Chinese entrepreneurs.

In contrast, in the ugly country, there can be many big families that have stood for a hundred years.

These large families have had legends for generations, and the family assets have been passed down for many generations, and although some have caused problems in the struggle for property, they have all ended up in a relatively peaceful way.

The reason for this is that the secret of the longevity of these ugly families stems from the inheritance and protection of assets by trusts.

Generally speaking, high-net-worth individuals in ugly countries set up trusts for three purposes:

One is wealth inheritance, which transfers assets to designated beneficiaries;

The second is asset protection and debt segregation, the establishment of a trust can protect some assets from being traced back by creditors, and at the same time, in many divorce cases, trusts are also used to protect assets from being divided due to divorce;

The third is tax planning, through the establishment of trusts, you can reduce the tax that may be generated when assets are appreciated or inherited.

Microsoft founder Bill Gai and his wife, Melinda Gai, founded the Lid Foundation.

Prior to 2006, the Foundation invested in philanthropic efforts as well as in the past.

In 2006, Lao Ba, the "God of Stocks", donated a huge amount of money to the Cap Foundation.

In the same year, the organizational structure of the foundation underwent a major adjustment and was transformed into a dual-entity structure, including the Cover Foundation and the Cover Trust Fund.

The Cover Foundation is responsible for donations to charitable projects, while the Trust Fund is responsible for operating trust assets to achieve appreciation and value preservation.

Foundations and trusts are two separate legal entities that regularly grant money to the Gates Foundation to carry out charitable projects.

As of the fourth quarter of 2016, the total size of the Trust Fund reached $40.3 billion, and the Cover Foundation has donated more than $41 billion to the community since its inception.

This is a typical "foundation + charitable trust" model, which is widely used in the circle of rich people in ugly countries.

So, what exactly is a charitable trust?

A charitable trust is also a type of private foundation that manages the donor's property funds and distributes the assets according to the donor's wishes.

In general, there are two types of charitable trusts:

Charitable Advance Trust and Charitable Residual Trust.

A charitable trust is a fixed annuity or a fixed percentage of trust assets delivered to a charity within a certain number of years.

After the payment is terminated, the remaining assets are transferred to the non-charitable beneficiary.

A charitable residual trust, on the other hand, pays a specific amount to a non-charitable beneficiary over a period of time, and then gives the remaining assets to the charity in perpetuity.

Comparatively speaking, more wealthy people choose charity first trusts.

The process is also simple, the settlor first sets up a charitable trust and donates assets to the trust.

Charitable trusts are managed and invested by designated trustees to increase the value of trust assets and regularly donate a fixed amount or percentage of assets to charities.

At the end of the specified payment period, the remaining assets of the trust are transferred to the designated non-charitable beneficiaries (usually the descendants of the settlor).

One of the significant advantages of charitable trusts is the tax benefits, which is why more and more wealthy people are choosing charitable trusts as a means of wealth inheritance.

The tax incentives are mainly reflected in the exemption of capital gains tax for the part of the appreciation of charitable trust assets; Partial income tax deduction is available; Exemption from inheritance tax.

The first thing that wealthy people need to consider when planning for wealth succession is how to avoid high inheritance taxes.

In the country, tax residents are exempt from inheritance tax for life, while excess assets are subject to federal estate tax of up to 40% when passed on.

By setting up a charitable first trust, after the specified period of payment to the charity has ended, the remaining assets in the trust are distributed to the designated non-charitable beneficiaries, and the beneficiaries are not required to pay estate tax.

Compare Murdoch with the news corp he founded, one of the world's largest and most international integrated media companies.

In addition to the identity of the news mogul, Murdoch also has an identity that is better known to Chinese people - Wendy Deng's partner.

When Murdoch divorced his second wife, Anna, in 1999, the news mogul spent $1.7 billion to end the 31-year marriage, the most expensive breakup fee in history.

Not only that, but concerns about the division of Murdoch's assets have also affected the operations of Murdoch's News Corp. and 21st Century Fox.

The news tycoon then immediately put most of his assets into a trust, realizing the isolation and protection of assets.

At the same time, there are two types of equity (Class A and Class B) clearly stipulated in the trust contract - Class A shares have no voting rights, while Class B shares have voting rights.

The Murdoch Family Trust holds about 38.4 percent of News Corp.'s Class B shares, but only the four children of Murdoch and his former two wives have access to those Class B shares.

With this design, control of News Corp. is in the hands of the four children of Murdoch and his two ex-wives.

After 14 years, his marriage to Wendy Deng ended, and Wendy Deng was given only a mansion in Manhattan, New York, and a courtyard house in Beijing.

And their daughter can only enjoy trust income from the trust instead of company equity, and Murdoch is still sitting on a family fortune of about $10 billion.

On the whole, the establishment of a trust fund is beneficial and harmless to Li Yaoyang.

Of course, he must first have an heir.

Strange to say, he has had a lot of women, but none of them won the bid.

First of all, it should be emphasized that he did not take contraceptive measures, and he would not deliberately avoid having an outhouse because of his fear of Ah Xiang's existence.

For him, children are much more important than women.

But none of them were pregnant, and after such a long time, he once suspected that there was something wrong with him.

——————————

In the office of the Pacific Hotel, Li Yaoyang is listening to a young man explain his financial products.

To be precise, it was this man who inspired him to set up a trust fund, Elgin Müller, an ugly man of German origin.

The golden curly hair looks vibrant, but he is a little older than Li Yaoyang.

Listening to his mouth, Li Yaoyang wandered out of the world.

Usually the person who can say so is either a liar or a liar.

Their eloquence is very good, even Li Yaoyang can't help but be moved when he hears it.

A stable annual yield of 15% with a minimum investment of $500,000 sounds tempting indeed.

If you invest 100 million yuan, you will do nothing, and you will have a stable income of 15 million every year.

You may not be able to make so much money by going out to invest on your own, and there is a risk of losing money.

If you hadn't been brainwashed by the word Ponzi scheme, you would have been fooled if you couldn't say it well.

When it comes to Ponzi schemes, the most successful is not the person, but a tycoon named Madoff.

He orchestrated the biggest Ponzi scheme in history that caused a sensation in the world, and succeeded in earning the disgraceful title of "financial fraud".

He was arrested in 2008 and died of natural causes before he had survived a tenth of his sentence in prison.

As a legend of Wall Street, he is known as the "legend of Wall Street", an "investment expert" on a par with Lao Ba, and has also served as the chairman of the board of directors of the NASDAQ stock market company.

But at the same time, he also single-handedly masterminded the biggest investment fraud in history.

While Madoff himself stresses that the fraud began in the early '90s, the co-dealer's accusations of criminal activity date back to the '70s.

When the scam was uncovered by Madoff's two sons in December 2008, a total of 37,000 people in 136 countries were deceived, including celebrities such as Spielberg, Kevin Bakken and real estate developer Fred Wilpen.

The amount of fraud exceeded $65 billion, causing many investors to deplete their pensions and make a mess of their lives.

Madoff pleaded guilty in 2009 and pleaded guilty to 11 felony counts related to securities fraud, money laundering, and forgery of documents and was sentenced to 150 years in prison;

At the same time, the court also issued a sky-high $170 billion in fines and forfeitures.

Madoff was born into a Jewish family in New York, and after graduating from Hofstra Law School in New York in 1960, he spent the summer working as a lifeguard and installing garden sprinklers to earn $5,000.

Later, he borrowed an office from his wife, Ruth's father, and founded Madoff Investment Securities, a securities brokerage firm known primarily for acting as an intermediary for buying and selling stocks.

After years of trying to get around, Madoff has gradually become a star in the brokerage business on Wall Street with his ingenuity.

In the early 80s of the 20th century, Madoff actively promoted over-the-counter electronic trading on Wall Street, moving stock trading from the telephone to the computer.

At that time, Madoff had become the largest independent securities dealer in the country.

In 1983, Madoff opened an office in London and became one of the first companies to trade on the London Stock Exchange.

In 1991, Madoff became Chairman of the Board of Directors of Nasdaq.

Madoff Securities Trading Co., Ltd., a subsidiary of Madoff Securities, manages wealth for wealthy individuals, hedge funds and other institutional investors.

Under his leadership, the NASDAQ became a stock exchange that competed with the New York Stock Exchange, and made great contributions to the listing of Apple, Cisco, Google and other companies on the NASDAQ in the future.

By 2000, Bernard Madoff had approximately $300 million in assets.

At that time, Madoff was known as one of the three major brokerage firms providing listing advice on the NASDAQ stock market and the third largest brokerage firm on the New York Stock Exchange.

After his success in 2000, the trajectory of Madoff's life changed dramatically, and it was a turning point in his dramatic life.

Perhaps he was too nostalgic for his glory days on Wall Street, and he orchestrated a huge "Ponzi scheme".

The use of hedge funds, bait with fictitious investment projects, and the promise of high yields of 10%-15% have attracted huge sums of money from financial institutions, individual investors and even veteran bankers.

Madoff's method of fraud is very "high-level", and he first used the opportunity to join the Palm Beach Country Club to meet rich Jews and develop his "clientele".

The Palm Beach Country Club has a very high threshold for membership, with a membership fee of $300,000 and an annual charitable donation of more than $300,000.

After gaining the trust of members, Madoff will also meet more wealthy people through member referrals.

He promised his "clients" that the annualized return of the funds under his management could reach more than 10% regardless of whether they were in a bull market or a bear market, but he was very secretive about the operation and investment strategy of the fund.

If the "client" breaks the casserole and asks for the end, he refuses to accept the investment of the "client".

Bernard Madoff set a very high investment threshold, starting with a single investment of more than $1 million, then only accepting a single investment of more than $5 million, and finally only accepting a single investment of more than $10 million.

Madoff's awesomeness lies in the fact that the original "Ponzi scheme" could only last for two or three years, but his clever deception actually lasted for more than 20 years.

In a way, this is a testimony that Wall Street is greedy enough, and if it weren't for greed, it would have been difficult for a crook to run rampant for so long.

What's even more ridiculous is that it also allowed the scammer to sit in the position of chairman of the China Securities Regulatory Commission, and there are countless touters.

In response to that sentence, if you succeed, a fart is fragrant.

It wasn't until the global financial crisis erupted in 2008 that more and more investors demanded redemptions that Madoff panicked.

In early December 2008, Andrew, the youngest son of the company's general manager, reported to Madoff that European customers had requested an urgent $7 billion to deal with the financial crisis, which was the last straw that broke for Madoff.

As a last resort, Madoff confessed to his two sons that he had "nothing" and that he had lost at least $50 billion.

The two sons denounced their father that night, revealing the biggest financial fraud in history!

The "Wall Street legend" became the "Wall Street giant swindler", and he successfully fooled half the world:

According to reports, a total of 4,800 investment accounts have suffered losses, and the victims are all over Asia, Europe and the Americas, including some charitable organizations and international institutions, and a large number of billionaires, banks and fund companies have been mired.

In addition, there is no shortage of ugly politicians and celebrities among the victims, which can make so many big people fall into it, and it also proves the "greatness" of Madoff's scam from the side.

Including famous director Steven Spielberg, actor Kevin Bacon, former MLB New York Mets owner Fred Wilpen, Hall of Fame pitcher Sandy Koufax, Nobel Peace Prize winner Elie Wessel, etc.

On March 12, 2009, Madoff pleaded guilty at the trial. The prosecution has convicted him on 11 counts.

These charges include securities fraud, investment advisory fraud, money laundering, perjury, misrepresentation, falsification of documents, and more.

The amount of fraud adds up to $65 billion.

On June 29, 2009, a federal court in New York sentenced the 70-year-old Madoff to 150 years in prison;

At the same time, the court also issued a forfeiture bill of up to $170 billion, which means that Madoff could not pay the "fine" even if he was bankrupt.

To provide you with the fastest update of the king of the Atlantic who loves the big god deer and chubby, in order for you to see the fastest update of this book next time, be sure to save the bookmark!

Chapter 420: The Wolf of Wall Street (1) Free Read.