International Protector Group, a trust and estate planning consultancy, rolled out a family office service in November designed to help high-net-worth families and their advisors set up wealth protection structures using new legislation in the Bahamas.
That legislation, the Bahamas Executive Entity, came into force in February. It is designed to act as a shareholder of a private trust company, according to an analysis in The Bahamas Investor.
A BEE does not have beneficiaries or shareholders, but has the full executive powers of a purpose trust. It can act as a shareholder in a mutual trust or fund, as well as a protector and trust enforcer.
The advantage of this structure is that because it does not require shareholders, there is no need for an individual to assume fiduciary or legal responsibility.