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Alex is a Managing Director and the Chief Fiduciary Officer, Director of Delaware Trust Services, and Trust Counsel at Evercore Trust Company, N.A. and a Partner at Evercore Wealth Management. He is also the Chair of Evercore Trust Company’s Personal Trust Advisory Committee, which is responsible for setting the firm’s fiduciary policy for the personal trust business, and the Chair of Evercore Trust Company’s Fiduciary Oversight Group.
Prior to joining Evercore in May 2021, Alex served as President of Christiana Trust Company of Delaware, a wholly owned subsidiary of WSFS Financial Corporation. Prior to joining Christiana Trust in 2015, he served as Trust Counsel to Commonwealth Trust Company and, earlier, practiced as an estate planning and tax attorney at several law firms in Pennsylvania.
Alex earned a B.A. with distinction from Yale University, and both a J.D. and an LL.M. in taxation from the James E. Beasley School of Law at Temple University. He is a member of the Pennsylvania and New Jersey bars and a member of the Delaware bar under Rule 55.1.
When there is disruption or uncertainty, there is a natural urge to seek shelter elsewhere. While it may be prudent for a United States citizen or green card holder to diversify an investment portfolio by increasing exposure to foreign markets, moving financial assets overseas comes with significant challenges and potential pitfalls.
The first challenge will be finding an institution that is willing to open an account. Most foreign jurisdictions have onerous “know your client” and anti-money laundering rules (often more so than the United States) and are therefore reluctant to open accounts for nonresidents. Additionally, most foreign governments have agreed to report any accounts held by U.S. persons to the U.S. government, as stipulated by the U.S. Foreign Account Tax Compliance Act, or FACTA.
Any U.S. person (see the definitions in sidebar “Them vs. U.S.: The IRS”) who owns or controls one or more foreign financial accounts with more than $10,000 (in the aggregate) at any point during the year must file a Report of Foreign Bank and Financial Accounts – also known as an “FBAR” – with the Financial Crimes Enforcement Network, or FinCEN, on an annual basis. The civil penalty for failure to file, if non-willful, is up to $10,000 per return, and it can be up to the greater of $100,000 or 50% of the account balance if the failure is willful. In addition, criminal penalties may include fines and imprisonment.
U.S. persons may also need to file a Form 8938 (Specified Foreign Financial Assets) with their tax return to report assets over a certain dollar amount based on tax filing status. For those married filing jointly, the total value of assets must be more than $100,000 on the last day of the tax year or more than $150,000 at any point. Penalties for failure to file are up to $10,000, with an additional $10,000 for each 30 days of non-filing after receiving notice, and a potential maximum penalty of $60,000.
U.S. persons are taxed by the United States on their worldwide income, in addition to any tax imposed by the country where they or their assets are located. While many countries have a tax treaty with the United States that prevents or minimizes double taxation, there may be mismatches in tax type or timing that prevent the taxes from offsetting each other. In addition, the United States taxes U.S. persons on certain foreign assets, such as foreign mutual funds, under the punitive passive foreign investment company regime.
If a U.S. person transfers funds to an offshore trust, they will be treated as the owner of that trust for income tax purposes in any year that there is a U.S. beneficiary, meaning that the tax treatment would be the same as if they held the assets in their individual name. The U.S. owner of a foreign trust must also file Form 3520 (Annual Return to Report Transactions with Foreign Trusts and Receipt of Certain Foreign Gifts) and must ensure that the foreign trust files a timely and accurate Form 3520-A (Annual Information Return of Foreign Trust with a U.S. Owner), which is then attached to the owner’s Form 3520.
It also should be noted that certain foreign retirement plans or accounts are categorized by the United States as a foreign trust arrangement and therefore trigger Form 3520 filing requirements. Penalties for failure to file a Form 3520 for ownership of a foreign trust are significant, generally equal to the greater of $10,000 or 5% of the gross value of the trust’s assets. Additional penalties will be imposed if noncompliance continues for more than 90 days after the IRS mails a notice of failure to comply.
Moving assets abroad requires significant consideration and planning. Please contact your Evercore Wealth Management and Evercore Trust Company advisors to discuss your plans.
The term “United States person” means:
A “foreign person” includes:
Volume 53 of Independent Thinking® explores the shifting role of the U.S. dollar, long the world’s reserve currency, amid rising economic and political uncertainty. It examines historical context, current trade imbalances, and policy decisions that may weaken the dollar’s dominance, offering insight into how investors can adapt through diversification and strategic asset allocation.
The issue also highlights compelling investment themes, including private equity, asset-backed credit, and the evolving AI landscape. It provides actionable guidance on wealth planning during market downturns, navigating international asset transfers, and the importance of building a trusted team of advisors to navigate complexity and opportunity alike.
Investment and Wealth Management services are provided by Evercore Wealth Management, LLC an investment advisor registered with the U.S. Securities and Exchange Commission (the "SEC") under the Investment Advisers Act of 1940. Registration with the SEC does not imply a certain level of skill or training. Trust and custody services are provided by Evercore Trust Company, N.A. a national trust bank regulated by the Office of the Comptroller of the Currency.
Client retention rate is based on data from 06/30/24 – 06/30/25. Assets under management are as of 06/30/25
