What does ringfencing assets in divorce mean?

Ringfencing refers to protecting certain assets from being divided or shared as part of the divorce settlement. By ringfencing, certain assets such as premarital wealth, inheritances, or businesses can be excluded from the matrimonial pot during divorce proceedings. It is normally done through prenuptial or postnuptial agreements.

Ringfencing an asset is not automatic or guaranteed. When considering whether to exclude an asset, courts will consider various factors, including:

Whether the asset has been shared or used by the family during the marriage, the financial needs of both parties and any children, and the length of the marriage.