Security Trustee - An Active Protector Of Investor Rights

The security trustee represents the interests of the holders of notes (investors) and shall take over defined issuer's obligations, such as the all-important agreement to pay, on behalf of the noteholders. In essence the security trustee acts as an intermediary between the noteholders and the issuer. The security trustee is protecting the rights of the noteholders as set out in the trust deed and agreements.

In financial transactions such as securitisation it is essential that the security trustee is both an experienced professional and an independent party, having the right of access to appropriate and relevant information with regard to the assets so that the trustee can monitor the note issuers compliance to its obligations as set forth in the trust deed. The trustee's role is to reduce complications, as well as add value and comfort to the participants.