Property in Malta can also be acquired via a trust. The setting up of
trusts in Malta is regulated by the Trusts and Trustees Act 2004. Four
years on, Malta has built a reputation as a respected and stable trust
jurisdiction, based on a modern trust law, proper authorisation and
regulation of trustees and a respected judicial system.
The trust is increasingly being adopted for varying levels of asset
protection and estate planning. Foreign and local families alike are not
too reluctant to shed the pride of direct property ownership in favour
of a well-planned family strategy and competent property management that
can be provided by a professional trust company, often recommended by
the family’s trusted lawyer.
Therefore, it is now very common for property to be bought in trust for
use by the new Malta resident family and friends, and to be maintained
and managed in the best interests of the beneficiaries and in a manner
that maximises the property investment held in trust. Specialist
property trustees are able to competently manage a real estate portfolio
in an effective manner, bringing together expertise not only in trust
and financial management but also in property development and property
management, as well as considerable experience in real estate
transactions in Malta.
Chetcuti Cauchi advises on the acquisition of property in Malta via a
Claris Trustees & Fiduciaries Ltd,
our licensed trust company, acts as professional trustee to a number of
private trusts including trusts holding estates of high net worth
individuals, including real estate and immoveable property, art,
vessels, luxury vehicles and aircraft. Claris Trustees provides
confidential wealth ownership and management for local and foreign HNW
The setting up of trusts in Malta is regulated by the Trusts and Trustees
Act. The Act provides for the
creation of trusts and authorisation and supervision of trustees. In this
regard, the MFSA is the competent authority for the purposes of the Act.
The Act incorporates within its provisions the Hague Convention on the Law
Applicable to Trusts and on their Recognition which Malta has ratified.
The Maltese Regulatory Environment
The Malta Financial Services Authority (MFSA) is responsible for the
authorisation, regulation and supervision of trustees. The MFSA also
licenses, regulates and supervises banking and financial institutions, and
investment services business.
The MFSA is an autonomous public authority constituted and regulated by
the Malta Financial Services Authority Act. The MFSA aims to
provide a seamless regulatory function for financial services. It also
houses the Registry of Companies.
The MFSA requires the highest standards of probity and honesty. Every
licence is issued subject to standard conditions which may be adapted to
suit certain circumstances so long as standards are not compromised.
Chetcuti Cauchi at IFA Paris 2011 the 65th
Congress of the International Fiscal Association | 09/09/2011