The MFSA has today, 29th April, 2016, published the long-awaited Rules for Trustees of Family Trusts – these Rules enable PTC’s (or Private Trust Companies) to be set up in terms of article 43B of the Trusts and Trustees Act (Cap. 331, the Laws of Malta). This provision provides that while PTC’s do not need to be authorised by the MFSA as do professional trustees, they still require to register with the MFSA in terms of a procedure, regulated by the Rules, that will undoubtedly be a simpler process than a full authorisation.
The Rules lay down certain conditions that need to be satisfied by the PTC in order to qualify as such as well as the procedure for registration. The
Rules may be accessed here.
PTC’s are very useful vehicles for settlors who wish to design their own trustees and to man them with persons of their choice and confidence.
Author: Dr Anthony Cremona LL.D., M.A. (Fin. Serv.), Mag. Juris (Intl Law), TEP