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. This setup allows for controlled distribution of the assets according to the terms set by the person who created the trust, often referred to as the grantor or settlor. Trust funds are commonly used for various purposes, including estate planning, education funding, and charitable giving. They can help protect assets from taxes or creditors and ensure that beneficiaries receive support at designated times, such as when they reach a certain age or achieve specific milestones.