Chapter 24 - WHAT SOFIA DOES NOT OWN
At eight, Sofia received her first age-appropriate trust explanation because school friends had heard something online about the Morello family.
“Do I own seventeen percent of Dad’s company?”
“No.”
“Mom says no too.”
“Your mother is correct.”
“Then what is seventeen?”
“A special trust has certain voting rights over a small group of very big company decisions.”
“Do I vote?”
“No.”
“Do you?”
“Not for your branch.”
“Mom?”
“No.”
“Grandma?”
“Definitely no.”
She smiled.
“Who?”
“Professional trustees.”
“That sounds boring.”
“It is supposed to.”
Then beneficial interest.
“You are protected under the descendant trust. There are investments and future economic rights separate from the seventeen-percent governance number.”
“Am I rich?”
“Yes.”
No pretending.
“How rich?”
“Enough that you will need education before you control much.”
“Can I buy horse?”
“Not with trust money today.”
“This trust is terrible.”
Normal.
Then she asked:
“Did Grandma lock Mom because of seventeen?”
“Partly because she was afraid of losing temporary control of it and because a business deal was being reviewed.”
“Did she lose?”
“She lost the stewardship role.”
“Did Mom get it?”
“No.”
“You?”
“No.”
“Then nobody won.”
Exactly.
That was the correct lesson.
Then Sofia asked Eugenia directly months later.
“Why did you want seventeen?”
Eugenia answered:
“I didn’t own it. I had temporary authority connected to it, and I didn’t want to give that up.”
“Why?”
“Because I thought if I wasn’t in charge, I wouldn’t matter.”
Sofia frowned.
“That’s silly.”
“Yes.”
Children are ruthless fiduciary philosophers.
Then:
“Do you matter now?”
Eugenia’s eyes filled.
“I hope so.”
Sofia hugged her.
May you like
Not because a trust required.
Relationship.
