Why Foundations for Asset Management
“Maltese foundations offer families and entrepreneurs a single, EU-regulated vehicle to hold, manage, and protect their assets.”Priscilla Mifsud Parker explains that foundations can own property, shares, investments, and art while maintaining continuity through their board of administrators.
Legal Structure and Benefits
A Maltese foundation is established by a public deed or will, with an endowment of at least €1,165.
“Because the foundation is a legal person, it provides asset separation and succession continuity — advantages many families seek in a civil-law environment.”
The foundation’s statute defines its purpose, beneficiaries, and governance model, which can be adapted to the founder’s family or business needs.
Regulation and Governance
“Every foundation is registered and supervised by the MFSA, giving international families confidence in its integrity.”Administrators must act with fiduciary duty, maintain accounting records, and ensure compliance with AML/CFT obligations and the Beneficial Ownership Register.
Practical Applications
Malta foundations are used for:
- Family wealth holding and asset consolidation;
- Succession and inheritance planning;
- Corporate structuring and joint ownership;
- Philanthropy and impact projects.
“They bridge the civil-law and common-law worlds, offering familiarity to both European and Commonwealth clients.”
Tax and Compliance
Foundations may opt to be treated as companies (taxed at 35%) or as transparent entities where income is taxed in the beneficiaries’ hands.
“This flexibility enables advisers to align the foundation’s structure with the family’s international tax position.”
Why Malta
“Malta’s foundations law blends modern governance with centuries-old civil-law tradition,” Priscilla notes.Combined with Malta’s EU membership, English-speaking legal system, and professional fiduciary sector, the jurisdiction provides a stable and compliant environment for long-term wealth planning.
How Our Private Client & Family Office Lawyers Can Help
Our team advises on:
- Formation and registration of Maltese foundations;
- Drafting statutes, bylaws, and governance frameworks;
- MFSA authorisation and compliance for administrators;
- Integration with family office and philanthropic structures;
- Cross-border estate and tax planning under EU and international law.
With over 25 years’ experience, we serve global families, fiduciaries, and institutions seeking trusted EU-based structures.
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