Major financial places are undergoing significant changes. Places known for their stability tend to become less stable, places known for the protection they provide tend to become less protective and places known for their flexibility are currently under growing regulatory pressure.
What is a Bahamian Private Trust Company?
A Bahamian Private Trust Company (PTC), is a company formed (either as an International Business Company or a Bahamian Company) for the express purpose of acting as trustee of a specific trust, or a trust or group of trusts for the client’s family members. It can be tailored to suit a client’s need and has become the preferred tool in the structuring of estate and inheritance planning needs, ensuring protection for future generations.
A PTC allows settlors and beneficiaries to have more involvement and control in the administration of underlying trusts, without prejudicing the validity of those trusts. The PTC structure, with a Board of Directors made up of trusted professionals, and/or advisors and/or family members will give comfort and assurance to clients whose needs require specific attention.
The benefits of establishing a PTC
– Influence
You can ensure that your trustee is genuinely knowledgeable of, and sensitive to, your needs and the background and dynamics of your family.
– Privacy
– Continuity
A “trusted advisor” relationship can deliver continuity of service.
– Flexibility
The powers and operations of the PTC can be tailored to meet the needs of the family.
– Education and Empowerment
Involving the next generation is an effective way of preserving wealth across generations.
– Cost
The ongoing costs of a Private Trust Company can be very attractive, particularly at the more sophisticated end of the market in which it is most likely to be used.
– Fiduciary risk
The corporate entity enables individuals to act in connection with a trusteeship without exposing the assets of the individual to the same risk of unlimited liability, which flows from individual trusteeship.
– Asset Holdings
Non-liquid assets from real estate, boats, aircraft and artwork, to operating companies can be held through the same structure.