Non Depository Trust Company Formation in NH

What is the best state in which to organize a non deposit trust company? According to NH banking attorney John Funk in a nice introductory article on nondepository trust companies, the answer is New Hampshire. In the article, Funk provides a primer on organizing and operating a non depository, or fiduciary-services-only, trust company, calling New Hampshire "the best state in the country to organize a nondepository trust company" due to its unique and sophisticated regulatory environment.

He writes...

"Over the years, New Hampshire has streamlined the application and regulatory process and has amended its laws governing trusts so that they are among the most sophisticated in the country. Many companies have taken advantage of the state’s experienced regulatory environment. Recently, as federal regulators have tightened client protections under securities laws governing investment advisors, a number of firms have formed nondepository trust companies in New Hampshire to serve as qualified custodians to complement their advisory functions."

To read the full article, click on: Nondepository Trust Company.

UPDATE: March 11 = Attorney Funk has written a companion article, on New Hampshire Family Trust Companies, about a subset type of private trust company known as a family fiduciary services company, which offers "ultra-wealthy families an opportunity to have their own trust companies to manage their wealth over generations. And better yet, information relating to these companies is confidential so that their finances are not open to public view." The author describes a bill, Senate Bill 421, pending in the N.H. Legislature to make family fiduciary services companies even more attractive by creating "a separate chapter of the statutes to govern their formation and operation and re-name them family trust companies."