All Collections
ADGM
Other
Can a trust be a shareholder of an ADGM enitty?
Can a trust be a shareholder of an ADGM enitty?

A trust is not a separate legal person so it cannot hold shares. However, the trustee of the trust can hold shares on behalf of the trust.

Updated over a week ago

Technically, a trust cannot own shares in another company as it is not a separate legal entity. However, the trustee of the trust can own the shares in another company on trust for the beneficiaries of the trust. The register of members would include the following:

John Smith in his capacity as the trustee of the John Smith Family Trust.

To record the trustee as the shareholder in their capacity as trustee for a trust, we will need the KYC for the trustee which will depend on whether the trustee is an individual or corporate entity. Check the KYC requirements for the trustee here. We will need the same KYC information for beneficiaries of the trust if they are named in the trust deed.

For the trust, we will need a copy of the trust deed, certified by the trustee within the last 2 months, including any amendments made to the trust deed.

Did this answer your question?