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[ESTABLISHING A BUSINESS ENTITY IN MALTA]
recognises trusts which are not Maltese trusts; • Separate patrimony between property held trustee and other property of the settlor; • Flexibility when it comes to distribution amongst beneficiaries and ensures that the property is not divided but is administered as one, ensuring continuity across generations. • Corporate version of the private, individual trustee- a company can be set up in order to act as trustee and manage a family’s wealth and assets settled under trust; • It cannot be a company that holds itself out as providing trustee services or one which habitually acts as trustee; • Does not require MFSA authorisation but only registration in Register kept by the MFSA for that purpose.
• Trustee can resign or be removed by the Court. Once this occurs, ownership is transferred to the successor trustee.
Family Trust Company/ Private Trust Companies (PTC)
• Family members can act as directors or exercise control through shareholder voting rights; • Change in trustee can be carried out by simply changing the directors; • Minimum of three directors: must be approved by MFSA as being fit and proper; • At least one of the directors must be a person who has experience in the administration of trusts.
ILN Corporate Group – Establishing a Business Entity Series
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