Directors Chambers Ltd, the first firm in Malta dedicated to providing corporate governance professionals to the funds industry, was launched earlier this month.
The firm was established in response to increasing demand for independent people qualified to hold non-executive directorships and compliance functions.
The firm, which currently hosts seven professionals with Malta Financial Services Authority approvals, has a business model similar to the ‘barristers chambers’ in the UK. The ‘chambers’ is an umbrella organisation providing centralised back office and peer support to a number of independent professionals.
Directors Chambers co-founder Petri Tuokko says the firm is open to taking on new partners and associates with complementary skill sets. His goal is to “bring more professionalism to the NED service in Malta”.
“We seek to maintain Malta’s reputation as a respected domicile by establishing a community of directors who offer transparency and independence,” co-founder Roger Buckley said.
“In particular, transparency in relation to conflicts of interest, individual responsibilities and directorships already held. A key principle of Directors Chambers is that individuals do not take on more responsibilities than they can properly fulfill, which is complementary to the guidance in the MFSA’s new Corporate Governance Manual for Directors.”
John Christmas, another co-founder, believes that non-executive directors can no longer merely act as rubber stamps – they have important legal and fiduciary duties and must add tangible value to the board.
Malta has seen a large influx of funds and fund service companies in recent years, with decision makers often citing the responsiveness of the MFSA and market competitiveness as reasons for choosing the jurisdiction. Furthermore, the implementation of more stringent European legislation such as the Alternative Investment Fund Managers Directive (AIFMD) and an increase in shareholders preference for funds to be based in more regulated ‘onshore’ domiciles are further reasons for the continued growth and success of the Malta funds industry.
Directors Chambers offers a range of value adding services including in-house code of conduct setting the standards in corporate governance for all partners and associates; independent directors supported by stand-in associate directors; transparency of roles occupied, including active prevention of potential conflicts of interest; back-office and team support including central monitoring and mandate administration; centralised directors’ and officers’ indemnity insurance; and regular internal continuous professional development to ensure on-going maintenance of high standards.