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Another thing trusts and convertibles can be used for are getting around transfer restrictions placed on the securities or owner You can always swap out the tr
by vmception 6y ago
Another thing trusts and convertibles can be used for are getting around transfer restrictions placed on the securities or owner
You can always swap out the trustee on a trust, giving full control without transferring title of the security
A lot of fun things you can do in the financial engineering space
edit: I’ve seen them done on employee shares/stock options, or on LLC membership interests, but in this case I could imagine being able to change ownership without reporting insider sales (likely not 100% compliant from the regulatory perspective but its likely never been challenged in court especially if nobody knows the trustee changed lol), or just easier asset management for inheritance purposes