The MFSA has recently clarified the position of authorised trustees intending to act as administrators of private foundations. The MFSA has addressed any existing ambiguities by clearly stating that a person (an individual or a company) who is currently authorised to act as a trustee in terms of the Trusts and Trustees Act (TTA) is not required to submit another application to be able to act as an administrator of private foundations; the authorised trustee’s licence covers the additional activity of acting as an administrator of private foundations the latter being deemed to be an extension thereof. The trustee is merely required to submit the prescribed documentation to the MFSA in order to notify the Authority of its intention to act as an administrator of private foundations. The necessary documentation includes inter alia updated business plans, financial projections and Personal Questionnaires in order to assess the suitability of those will take part in the administration of private foundations.
The MFSA will, upon satisfactory receipt of the necessary documentation, approve the extension of the authorised trustee’s licence so as to include acting as an administrator of private foundations and will issue a revised trustee licence so as to include a specific reference to this additional activity.
Persons wishing to act solely as administrators of private foundations (and do not qualify for any of the exemptions under the TTA) are, however, required to apply for authorisation in terms of the TTA and to submit the relevant application documents and application form.