Abstract This article provides a comparative analysis of Hungarian trusts and asset management foundations as legal instruments for long-term asset structuring and wealth management. It examines their historical foundations, legal nature, governance structures, and tax treatment, with particular emphasis on personal income tax, corporate income tax, and accounting rules. While the two institutions pursue similar functional objectives, they differ significantly in terms of flexibility, duration, governance, and cost. The article concludes with a practical assessment of their typical use cases, highlighting the considerations that guide the choice between trusts and asset management foundations.
Horváth et al. (Tue,) studied this question.