In India, wealthy individuals are increasingly opting for alter ego trusts to streamline succession planning and avoid lengthy court proceedings. These trusts, which benefit the settlor and their spouse during their lifetimes while designating the next generation as remaindermen, offer a more private and efficient alternative to traditional family trusts. Ashvini Chopra, executive director at Avendus Wealth Management, notes that as families become more international and wealth grows, the use of such trusts is on the rise. Reports indicate that the number of ultra-high-net-worth individuals (UHNIs), defined as those with assets exceeding $30 million, is expected to reach 13,600 by the end of 2025. The appeal of alter ego trusts lies in their ability to reduce the risk of disputes and ensure confidentiality, as probate proceedings can expose sensitive asset information to the public. However, legal experts caution that these trusts may not be tax-efficient, as current tax laws could challenge their tax-exempt status. Abhijit Joshi from Veritas Legal highlights that transfers to alter ego trusts may not qualify for tax exemptions, raising concerns for those considering this wealth management strategy.