Increasing regulation leads Institute of Financial Services Practitioners to provide support to a specific niche of members and practitioners.
Independent directors provide an essential and important service to companies established or resident in Malta, be they international or domestic. Good corporate governance requires the board-level oversight provided by well-prepared and knowledgeable independent directors, which means that the individuals providing this service are increasingly coming under regulatory oversight. The provision of directorships falls within the definition of the Corporate Service Providers Act but this framework is currently being updated by the Malta Financial Services Authority for which new Implementation Guidelines are expected to be published later this year.
Many IFSP members interact with local non-executive independent directors and require a pool of high-quality, responsible and professional individuals to introduce to their clients. In addition, several IFSP members also provide independent directorship services themselves, putting their training and often extensive experience at the service of companies established in the Maltese jurisdiction. This is not a position to be taken lightly: it requires an appreciation of their responsibilities and an understanding of the mind-set required to adapt to a rapidly changing regulatory and international tax landscape.
The Institute of Financial Services Practitioners supports the MFSA’s initiative to ‘Raise the Bar’ with respect to the provision of Directorship services. It has therefore established this new Directors Working Group to be the voice of individuals who offer their services as directors and of financial services practitioners whose clients require such directors. It proposes to act as a forum with authorities and regulators and to provide the professional education that supports the level of professional preparation a director will need when embarking upon a board appointment or to stay abreast of significant new developments that could impact their role. The new working group will also look at developments in other relevant European jurisdictions to ensure that Malta remains aligned within an international context.
The members of the working group are Nick Captur (Chair), Chris Curmi, Juanita Bencini and Roseanne Bonnici from the IFSP’s Council, and Etienne Borg Cardona, Ben Muscat and Alexia Farrugia as IFSP members who are themselves active in the field of providing directorship services.
Wayne Pisani, President of the IFSP said: “I am delighted to report that we have set up this Directors Working Group as I feel this will help to address an area of great need in Malta as we work to support the regulators introduce change in a workable and proportionate manner whilst addressing the jurisdictional reputational state of play that we face.”
Eligible individuals who would like to join the IFSP and receive communications relating to this and other areas of interest are to contact Simon Gatt, Secretary-General of the IFSP on info@ifsp.com.mt .