A trust is a legal entity created by a person known as the trustor, grantor, or settlor who owns assets (cash, stocks, bonds, real estate, art, jewelry, machinery, etc.) and transfers ownership of the assets to the trust—while directing a person or entity known as the trustee to hold and manage the assets for the benefit of a certain person or persons, or classification of persons (descendants) known as the beneficiary or beneficiaries. The assets or property in a trust are sometimes referred to by the Latin word res (pronounced “rays”).

Beneficiaries are often descendants or heirs of the trustor, grantor, or settlor, but in some states (and other countries) the trustor, grantor, or settlor may be the beneficiary—and in that case the trust is known as a self-settled trust.

A trust is generally created when a trustor, grantor, or settlor shows or manifests an intent to create a trust by signing or executing a written trust agreement that is also signed by the trustee.

In New Hampshire, a trust is established when an individual (trustor, grantor, or settlor) expresses the intention to create a trust, typically through the execution of a written trust agreement, which must also be signed by the trustee. The trust agreement outlines how the trust assets, or 'res,' will be managed and distributed. These assets can include a wide range of property such as cash, stocks, real estate, and personal items. The trustee is responsible for managing the trust assets for the benefit of the beneficiaries, who may be descendants, heirs, or even the trustor themselves in the case of a self-settled trust. New Hampshire law allows for the creation of self-settled trusts, where the settlor may also be a beneficiary, under certain conditions. Trusts in New Hampshire are governed by state statutes, including the New Hampshire Trust Code, which provides a framework for the creation, management, and termination of trusts, as well as the rights and obligations of trustees and beneficiaries.