Foreign pool of assets with the purpose to bind assets (Vermögensmasse ausländischen Rechts, deren Zweck auf die Bindung von Vermögen gerichtet ist)

A "Foreign pool of assets with the purpose to bind assets" is considered a legal entity for inheritance and gift tax purposes under the German Inheritance and Gift Tax Act. A foreign pool of assets  (Vermögensmasse ausländischen Rechts) only has "the purpose to bind assets", if, under the terms of the trust, the trustee holds the trust assets for a considerable time in favor of a beneficiary without being obligated to distribute the trust assets to the beneficiaries without delay (like an executor or administrator).