As investors seek strategies and tools to streamline their tax planning and asset protection, entities like Private Interest Foundations (PIF) have become increasingly attractive. A PIF is a distinct legal entity which possesses characteristics and features of Trusts and companies.
As a distinct legal entity, a Private Interest Foundation has the ability to hold property, sue and be sued in its own name. Its use in contemporary times is predominantly in the protection of family wealth as well as a means of minimizing taxation. While it is created pursuant to the relevant law in the jurisdiction, its operations are carried out in accordance with its Charter and Regulations. Furthermore, it is generally permitted only to hold assets but within some limits(depending on the jurisdiction), it possesses the power to conduct some profit-oriented commercial activities.