In addition to the attributes of a good trustee, a trustee must be able to manage a Trust effectively. If a trustee does not personally have the necessary expertise, he or she must know enough to hire other advisors and work well with them. The following list includes some of the important management issues:

• Investment expertise is an important factor in Trust management. If the trustee(s) lack the expertise, they should have the ability to hire and work with an investment manager.

• Business sophistication is important if the Trust owns non-financial assets such as real estate or businesses. If a business is very specialized, then a family member or business associate with expertise may need to be considered even if there are impartiality issues. Usually, a corporate trustee will not wish to hold businesses, real estate, art or other non-financial assets.

• Accounting and tax-planning expertise - if the trustee is not an expert in these areas, they must hire the appropriate individuals. Planning policy and decisions cannot be delegated by a trustee so they must know enough about Trust tax and accounting laws to work effectively with those they hire for assistance. Corporate fiduciaries have a definite advantage over nonprofessional individual trustees in this area.

• Recordkeeping and reporting ability - a trustee must make sure that there is careful long-term record storage and that information in available to produce reports of receipts, disbursements and assets of the Trust as required under the Trust instrument.

• Financial security - as it refers to the security of the funds entrusted to the trustee. It is important to have Trust assets deposited with financial institutions with a system to monitor the assets. Likewise, if there are significant non-financial assets, there must be a system of checks and balances to review the acts of the person administering the Trust.

In summary, a Trust is a complex and enduring entity, so careful thought needs to be given when setting one up. No one is able to predict future events, but we can be certain that unexpected and difficult issues will arise over the course of time. A good Trust instrument will allow a trustee flexibility to meet the changing needs of beneficiaries in a way that the grantor would approve. A good trustee will use the flexibility of a Trust instrument to adapt to the complex and changing needs of those the Trust is intended to serve.