Recognizing the potential behind the trillion dollar growth in individual retirement account assets, MEMBERS Trust Co. has launched a product that is married with the features of a trust.

The new Trusteed IRA manages funds during the life of the grantor and during the grantor's incapacity and at death. It contains multiple payout options to include outright payments, partial payments, time-sensitive payments, income only payments, principal discretionary payments, or a combination of the above.

According to the credit union firm MEMBERS Trust, the IRA/trust account combo maintains the same tax treatment as an IRA. A separate conduit trust is not needed, which eliminates the time and expense of drafting a new document, the Tampa, Fla.-based company said. Members can determine who will receive IRA assets and how they will be used.

The trusteed IRA is targeted to those individuals in second marriages with children from the first, those with concerns that their beneficiaries may be spendthrifts or have poor money management skills and single parents with adult or minor children.

From 1990 to 2007, IRA assets have grown from $637 billion in assets to $4.7 trillion, MEMBERS Trust said citing data from the Investment Company Research Report.