Bill No. 268 on the Monegasque Heritage Foundation

 

The National Council adopted, during the Public Session of June 18th, 2025, Bill No. 268 concerning the Monegasque Heritage Foundation, with the aim of providing Monegasque law with a new tool for long-term wealth management and transmission, specifically designed for high-net-worth residents of the Principality.

 

This legal instrument – a new form of foundation – is comparable to foreign law trusts and foundations in other countries (Switzerland, Liechtenstein, the Netherlands, Belgium), which share a common purpose: the preservation of wealth, the continuation of family businesses, and succession planning.

Should the Government later decide to turn this proposal into a draft law, it would further enhance the Principality’s attractiveness.

 

Who is this scheme intended for?

It primarily targets Monaco’s wealthy residents – High Net Worth Individuals (HNWI) – or family structures seeking to consolidate and transmit complex assets (real estate, company shares, works of art, copyright, etc.) in a manner protected from family or external disputes.

 

What are the objectives of the proposed law?

• To preserve and pass on wealth to one or more beneficiaries (while respecting reserved portions), usually members of the founder’s family, thereby ensuring coordinated management of family capital across generations.
• To protect against conflicts and external risks, by isolating assets within a distinct legal entity.
• To ensure regulatory compliance, through mandatory registration with the special RCI register, disclosure of beneficial owners, monitoring of transactions, audits, a Monegasque institutional account, and the appointment of an information officer – in full alignment with international standards and the transparency commitments of the Principality in the fight against money laundering and terrorism financing.

 

What are the key features of this scheme?

• The Founder must be domiciled in the Principality or have their registered office there, as must at least the majority of the foundation’s administrators.
• The initial endowment must amount to at least €10 million, which may include contributions in kind.
• The primary purpose of the foundation does not prevent it from engaging, on a secondary basis, in philanthropic activities. However, such activities may not constitute the foundation’s principal object, which remains reserved for those foundations established under Law No. 56 of January 29th, 1922 as amended.
• Similarly, the administration of the foundation’s assets may involve commercial activities, provided they are strictly subordinate to the foundation’s objectives. However, the practice of any liberal profession or any industrial or artisanal activity is strictly prohibited.
• Notwithstanding the above, the creation of a foundation may not infringe upon the hereditary reserve to which a founder’s heir may be entitled under the applicable succession law.

 

For Barnes Valeri Agency, this legislative development is particularly relevant.

Thanks to our in-depth knowledge of the Monegasque market and our international network, we are ideally positioned to identify investment opportunities aligned with the long-term wealth strategies of families seeking to invest in the Principality.