BVI Trusts: Vista Trusts

Introduction

The Virgin Islands Special Trusts Act ("VISTA") came into force on 1 March 2004 and was introduced in order to allow a shareholder to establish a BVI trust over a BVI company which disengages the trustee from administrative and managerial responsibility in relation to the BVI company.

The principal effect of VISTA is to remove the duty of trustees to monitor and intervene in the conduct of the directors and in the running of the BVI company held in trust. Owing to the large number of companies incorporated in the BVI, VISTA was introduced on the one hand to offer a vehicle which would remove the need to obtain a grant of probate in the BVI (which would otherwise be a requirement on the death of the owner of BVI company shares) by implementing a trust structure, while on the other hand allowing the owner to retain effective management and control of the company after having divested himself of its ownership.