accumulation trust
accumulation trust see trust

Merriam-Webster’s Dictionary of Law. . 1996.

accumulation trust
A trust in which the income is retained and not paid out to beneficiaries until certain conditions are met. For example, if Uncle Pierre creates a trust for Nick's benefit but directs that Nick not get a penny until he gets a Ph.D in French; Nick is the beneficiary of an accumulation trust.
Category: Wills, Trusts & Estates → Living Trusts & Avoiding Probate

Nolo’s Plain-English Law Dictionary. . 2009.


accumulation trust
An arrangement whereby property is transferred by its owner—the settlor— with the intention that it be administered by someone else—a trustee— for another person's benefit, with the direction that the trustee gather, rather than distribute, the income of the trust and any profits made from the sale of any of the property making up the trust until the time specified in the document that created the trust.

Dictionary from West's Encyclopedia of American Law. 2005.


accumulation trust
An arrangement whereby property is transferred by its owner—the settlor— with the intention that it be administered by someone else—a trustee— for another person's benefit, with the direction that the trustee gather, rather than distribute, the income of the trust and any profits made from the sale of any of the property making up the trust until the time specified in the document that created the trust.

Short Dictionary of (mostly American) Legal Terms and Abbreviations.

Look at other dictionaries:

  • accumulation trust — See discretionary trust …   Big dictionary of business and management

  • trust — n 1 a: a fiduciary relationship in which one party holds legal title to another s property for the benefit of a party who holds equitable title to the property b: an entity resulting from the establishment of such a relationship see also… …   Law dictionary

  • accumulation — ac·cu·mu·la·tion n: increase or growth by addition esp. when continuous or repeated; specif: an increase in the amount of a fund or property by the continuous addition to it of the income or interest it generates to treat a stock dividend as… …   Law dictionary

  • trust — A legal entity created by a grantor for the benefit of designated beneficiaries under the laws of the state and the valid trust instrument. The trustee holds a fiduciary responsibility to manage the trust s corpus assets and income for the… …   Black's law dictionary

  • accumulation period — England, Wales The period during which the trustees of a trust may accumulate the trust income (that is, add it to the trust capital, rather than pay it out to or for the benefit of the beneficiaries (beneficiary) (see accumulated income)). After …   Law dictionary

  • accumulation and maintenance trust — A trust established under section 71 of the Inheritance Tax Act 1984 which has certain tax advantages where there are young children. The beneficiaries must generally attain an interest in the income or capital of the trust fund by the time they… …   Law dictionary

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  • Accumulation Unit — 1) In the case of a variable annuity, a measurement of the value invested in the account during the accumulation period of the contract. The more funds you contribute to your annuity account, the more accumulation units you will build. 2) In the… …   Investment dictionary

  • accumulation unit — Type of unit in a unit trust where the income is reinvested automatically, thereby increasing the price of the unit. * * * accumulation unit accumulation unit ➔ unit * * * accumulation unit UK US noun [C] FINANCE ► a share in an investment trust… …   Financial and business terms

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