As you recall, a declaration out loud or in writing is likely sufficient to create a trust. Establishing a trust can be informal but formalizing a trust is useful. Depending on how important the trust is, it can end up being highly scrutinized.A trust doesn’t need to be created in any formal way, but case law has been very specific on how a trust can be established. For example, creating a family trust requires a very specific method as it often gives rise to a tax advantage, and tax authorities want to be able to see that there exists a decision process, and that a trust was not just created in a few days to obtain the tax advantage.