A trust fund is a legal arrangement where assets, such as money or property, are held and managed by a third party, known as a trustee, for the benefit of specific individuals or organizations, called beneficiaries. Trust funds are often established to provide financial support for children, family members, or charitable causes, ensuring that the assets are used according to the wishes of the person who created the trust, known as the grantor. Trust funds can be set up in various ways, including revocable and irrevocable trusts. A revocable trust allows the grantor to change or dissolve the trust during their lifetime, while an irrevocable trust cannot be altered once established. Trust funds can help with estate planning, tax management, and protecting assets from creditors.